Feature spotlights

What is Planning and Budgeting?

Planning and Budgeting is a core capability of Marketing Performance Management (MPM), which is a combination of the processes, technologies and actions used by marketing organizations to plan marketing activities, evaluate results against established goals and make more impactful decisions.

What is the goal? What are the stages?

The ultimate goal of MPM is to drive the marketing organization toward more effective planning and more impactful execution. The full extent of this impact cannot be realized without using a purpose-built cloud technology that unites the data from your marketing, sales and finance systems. Marketing performance management with planning and budgeting spans three connected stages in the lifecycle of a marketing organization: planning, investing and measuring results.

Stage 1: Planning

Best-in-class marketing organizations start with a top-down plan that supports corporate goals (such as objectives, which regions and product lines are responsible, how much budget do we have/need). From there, marketers in the field build bottom-up plans and budgets that align to, or meet, the top-down plans in the middle.

Stage 2: Investing

Once the plan is set, the CMO (supported by Marketing Operations) brings the finalized plan to the different marketing teams across the organization where it is executed. Money is invested in programs, campaigns and activities. The CMO and their team supports the field’s execution with processes and technologies that collect data, fine tune plans and reconcile results with finance and sales.

Stage 3: Measuring results

As marketing execution occurs and data is collected, the marketing department is able to measure performance and make decisions that result in greater business impact. To achieve this, marketers evaluate results, both financial and revenue contribution, against all aspects of the plan. These measurements range from investment areas to returns to ROI insights.