Turnover in the chief marketing officer role has stabilized and more women are being hired, but the industry remains plagued by a lack of minority representation in the job, according to a new report.
Average CMO tenure among 100 of the most-advertised U.S. brands dipped slightly to 43 months in 2018, compared with 44 months the year prior, according to the latest “CMO Tenure Study” from executive recruitment firm Spencer Stuart. The average tenure has ranged from 42 to 48 months since 2010, which is an improvement over the turnover experienced from 2004 to 2009, which dipped as low as 24 months of average tenure in 2004, according to the report.
The report points to several factors driving the industry CMO turnover, including a “failure to properly assess the incoming CMO’s skills and experiences, ensuring that they are properly aligned with the future needs of the organization.” Other issues include poor alignment between the CEO and CMO and “inflated expectations for ‘unicorn’ CMOs who can immediately blend ‘magic’ (creative) and ‘logic’ (performance data) to drive growth, and bring others along on the transformation of the overall marketing efforts,” the report states.
But only nine of the CMOs at the top 100 brands and companies were minorities, down from 11 CMOs in 2017. Also, none of the 18 CMOs hired last year were minorities. In 2017, six of the 21 CMOs hired were minorities.
“There are encouraging signs in this year’s tenure study, particularly the increase in the number of women in this year’s freshman class, but considerably more needs to be done to bring more minority representation into the CMO ranks,” says Greg Welch, a consultant in Spencer Stuart’s Marketing Officer Practice.
The article CMO turnover has stabilized but minority hiring still lags first appeared on Ad Age.