Digital marketing transformation: A 3-step organizational action plan

By enhancing their digital assets, organizations can realize significant benefits: up to 20% more revenue and up to 30% more cost savings. But while we are involved in the transformation of digital marketing, it is more than just technology to achieve these benefits.

When it comes to transformation, the importance of your organization is just as important as the tools you want to use. For example, research shows that advanced database technologies are not enough to guarantee success – people play an important role and if they provide the right organizational structure, they can increase its impact.

The most digitally mature businesses generally have several organizational factors: a culture of rapid growth, strategic partnerships, specialized skills, and flexible structures. In addition to these facilitators, we see a number of key tactics used by businesses that have reached the maturity of digital marketing through the transformation of digital marketing.

1. Define a KPI for transformation

Many companies generally define KPIs as related to growth or revenue, but this is an important and powerful step towards independence in digital marketing. Help the best people, regions, teams, and departments to move to a digital marketing organization.

2. Prioritize the client’s journey

Many global organizations are structured around products or geographic markets. This usually means that there are many marketing departments, each with its own agencies (creation and media), ways to measure performance, and technologies. To put the customer first, it is necessary to centralize the features that are widely supported (for example, multimedia recording).

More training and hire for agility

A true digital marketing team for adults needs breadth and depth to have channels (such as paid search, display, and email) and skills (such as automation, machine learning, and IT). Moving to a global, integrated marketing organization often requires businesses to recruit new talent with deeper knowledge in certain areas and train existing team members to acquire new resources.

Organizational alignment: the SAS success story

One company that illustrates the benefits of these approaches is Scandinavian Airlines (SAS). SAS was founded more than 70 years ago and wanted to transition from a complex legacy structure to a digital marketing organization. With four different local marketing divisions in 22 countries, SAS has started the reorganization with a centralized focus.

As part of its transformation, SAS has consolidated its advertising, measurement, media buying, and optimization technology. Now that the data is stored in Google Cloud, the team can use machine learning to see, analyze and predict trends in real-time. As a result of the transformation of digital marketing, they are now able to maximize customer satisfaction and thus increase sales.

Organizational alignment is essential to effect digital transformation.

A clear mandate in the form of a KPI called the Digital Transformation Index was essential to the success of SAS. This qualitative index is measured quarterly and is based on surveys to measure the digital skills of the business. The entire organization has focused on a specific goal from the beginning: a score of 80 (out of 100 possible) on the index.

SAS has exceeded this limit in three years and is improving its performance in this area. Due to the traditional focus on products and stores for a digital priority organization, SAS has increased online bookings through Google channels (search and view) by 34% over a two-year period.

SAS shows that organizational alignment is essential to bring about digital transformation. By accepting a goal, we were able to lead an ambitious business in a challenging sector.

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