More than three-quarters (77%) of CMOs will be increasing their marketing spend over the next 12 months, despite almost half (44%) expecting the possible recession to have a negative impact on their business, according to new research out today.
The survey from digital marketing consultants ConsultMyApp which questioned 100 CMOs of businesses with more than 250 employees, found that marketing budgets are expected to increase on average 20% over the next year.
Despite common fears that marketing budgets are the first to be cut during a market downturn, the data from ConsultMyApp found that investment will continue in 2023 in light of recessionary fears.
The outlook looks relatively positive for agencies too, with more than half (52%) of CMOs looking to outsource their marketing requirements in 2023. Just over a third (36%) said they will be hiring internally instead.
The services CMOs will most likely require the support of agencies include marketing platform implementation and migration (32%); digital strategy & consulting services (32%); SEO (31%); and data integration, analytics and insight (27%).
Mike Rhodes, Founder and CEO of ConsultMyApp.com, said, “Any sign of a recession usually sends jitters through the marketing industry – particularly for those working agency-side. So, it’s encouraging to see an upbeat outlook from CMOs, with ongoing investment in key services like martech platform implementation and digital consulting services.
“Having said that, ahead of any economic downturn, it’s always vital for CMOs to review their entire marketing stack, to see what’s working and delivering, and what isn’t. Making sure marketing budgets are being utilised effectively and delivering consistently strong ROI is critical in these uncertain times.”
CMA was founded in 2016 and delivers a range of digital marketing services including digital experience platforms, mobile engagement automation, mobile-first experience design, messaging and e-commerce personalisation. Previous clients include Missguided, O2, Tide and Virgin.