The Oil and Gas industry has seen a developing focus on the ‘Cost of Good Quality’ (CoGQ); the cost associated with the preventative measures put in place to mitigate bad quality outputs. This approach is particularly relevant for manufacturing companies focusing on quality management, process control and software. However, it can also be applied to the cost of good service, value adding offerings and indeed marketing – to what extent are businesses prepared to take this cost to ensure maximum return on investment?
It goes without saying that, with the exception of widespread redundancies within the industry over the past 24 months, marketing and training tend to be culled during any form of downturn. Despite the pressure on the sector, Genoa Black has been working with some highly resilient and agile players who instead have used marketing investment to their advantage, exuding stability and resilience in an otherwise reactive industry. These companies have successfully repositioned themselves and reaped the financial and intangible rewards associated with increased brand awareness, credibility and an expanding client base.
This year’s CMO Survey shows a decline in overall marketing spend to 11% of total company expenditure, with the energy sector seeing average marketing spend account for only 4% – this includes direct costs such as media, communications, as well as employees, social media, research, training and analytics. In contrast, the marketing spendof innovative and entrepreneurial organisationsis nearer 15%. As the Oil & Gas sector becomes increasingly more sophisticated, now seeking alternative solutions within challenging environments through software and technology, should it not be mirroring the marketing spend of innovative and entrepreneurial organisations?
Good marketing requires investment, but what constitutes good, great or a return on investment? In our view a comprehensive approach, just like any other part of the business plan, enables creativity, validation and confidence. Our 5D project execution model underpins our approach to marketing and uses classic methods of thinking and strategy development to help “see the woods for the trees” to find true differentiation for our clients:
Discovery might seem a fluffy word to many but this critical initial phase of the 5D process ensures a firm understanding of a client’s market landscape, competitors and alternative offerings available. It also ensures we gain a deep and valuable insight into the customer mindset which is fundamental to building a relevant marketing strategy.
Followed by a simple ‘Diagnosis’ of the problem, the challenge, the objectives and ambition – this phase allows for welcome focus of marketing investment and effort. We remove distractions, retrospective references and create an appetite for the future.
The Design phase requires a level of creativity synonymous with marketing, not just aesthetically but also in terms of customer engagement, inspiration, and idea generation. With so many marketing tools now at our disposal this phase also needs to reference the diagnosed brief and create compelling impact and focus.
Delivering any marketing campaign ultimately requires a dedicated, “under the skin” team of people who can then translate and articulate business vision into accurate and motivating content for marketing communications. This phase taps into those insights uncovered during the discovery phase, creating important references to help build ‘reasons to believe’ for the customer in terms of brand credibility and track record.
The final Deploy phase requires a skilled team of implementation specialists, a team well versed in terms of media and channel execution and delivery. In addition, strong attention to detail is mandatory with a dedicated focus on return on investment for the client.
The Genoa Black classically driven and high impact 5D process has been tried and tested, and tried and tested again. If you would like to understand more about how it works, who it has worked for and how it could help you invest only in great marketing, then please contact us – we’d love to hear from you.