Planning for Marketing? Think Finance - Think Lifetime Value

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Marketing has borrowed quite extensively from Finance in the last 10 years.

As marketeers, we've started talking about returns on investments - finding the "biggest bang for our buck".

Some (like my former team in a previous company) have started talking about risk management procedures - not just in managing contracts (and employing "options"-like buying techniques), but also in delivering gross impressions and shares.

All these are well and good.

Perhaps this is one way of the marketing department proving themselves to the finance department - an attempt to say that 'we are more than just an expense line on the balance sheet'.

But as marketeers and suport-teams of the marketing department, we have got to do more.

Employing evidence-based marketing, metrics-based objective-setting and results evaluation, real profitability analyses that take into account present and future value of marketing investments --- all these need to be more apparent in the marketing department's language and in the language of its partners in the advertising, media, promotions, PR, research, and digital space.