CMOs Should Increase Their Marketing Technology Investments In The COVID-19 Recession

CMOs and vice presidents of marketing technology (martech) must learn how to justify increases in martech investments, despite the pandemic. Marketing technology will grow slightly in the COVID-19 recession, even though technology spend in other categories will decline. Media, marketing services, and internal headcount are inextricably linked, which makes budget-tightening decisions about them a portfolio optimization exercise, not just a unilateral cost cutting; in many cases, accommodating decreases in media or headcount requires an increase in tech investment. Marketing organizations will continue to invest in technology that automates process or the creation and deployment of essential communications throughout the economic decline, while spend on advertising technology (tools that serve ads) will follow the drop and rapid recovery of online media.