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Merkle, a US based provider of fully integrated customer marketing solutions, released at the beginning of 2010 a ten page report with the title “View from the Social Inbox 2010 – Actionable Information for Marketers“.
A recent Mzinga and Babson Executive Education survey on the topic of social software in business, comprising over 900 executives, managers and individual contributors identified what they call Social Media Customer Leaders (SMC Leaders).
Although argued that marketing, as functional area, generates rather intangible outcomes, thus assessment being quite problematic, our series of blog posts on marketing put under attention metrics that capture performance in various marketing dimensions.
As part of the promotion mix in marketing, advertising is one of the most dynamic and costly promotional activity. Although declined with about 2,6 % by comparison to the previous year, the U.S. advertising expenditure has still been above $ 130 billion dollars in 2008 (according to a The Nielsen Company report).
In a previous blog post we investigated the Return on Marketing Investment, a metric that analyzes the marketing activity from a financial point of view that is more complex than the revenue from sales generated by marketing. The current blog post aims at exploring another area where finance meets marketing: the break-even analysis. In this area, we consider that finance actually needs marketing: the break-even analysis aims at determining from which point on (i.e. volume of sales), a business begins to generate profits.
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