Martech spending will increase by 2021

Martech has expanded at a rapid pace over the past ten years and is constantly evolving. A recent study showed that the marketing technology ecosystem is made up of a staggering 8000 tools (ChiefMarTech, 2020). And another study revealed that most marketers often use more than five of these tools daily to get their work done (NewsCred, 2020).

What are these tools? What kind of transitions can we consider in terms of overall investments in the current economic environment and the unstable future? A recent survey was conducted that ranged from marketing directors to enterprise-level companies. It was found that around $1 billion or more in company revenue will be invested in key Martech trends that are expected in 2021. Let’s take a look at each of these.

Areas that will lead to higher spending

1. The rise in overall spending

Remote working has become an integral part of the workforce and will continue to do so. That is why many marketing teams rely on technology to collaborate over campaigns and manage work. A recent survey stated that 60% of market leaders are anticipating an increase in martech spend in the next 12 months.martech spend

Gartner had projected that martech spending would constitute 26% of the total budget for 2020. But due to the pandemic, a larger increase in martech spend has been reported in 2021. With the increase in collaboration tools, teams will focus on sources that give them better visibility, content production, and campaign management.

2. Investment in content marketing

Content Marketing Platform or CMP, is essentially a software tool. It enables marketing teams to manage and streamline their processes right from ideation and to plan to collaborate and approvals.

The pandemic has completely changed the way we reach out to audiences. That’s why many leaders are fishing for tools that can help create content quickly. This content can be in the form of blog posts, webinars, whitepapers, eBooks, etc. Surveys reported that about 20% of marketing leaders would be significantly investing in content marketing platforms for their marketing processes. Investment in content marketing

3. Measuring campaign attribution

Measuring the impact and outcome of campaigns is crucial for digital marketers. The measurement of the influence of a prospect’s desired outcome is vital to showcase the need for higher budgets or resources. A majority of marketers find campaign attribution very important. In fact, studies have shown that 81% of marketing leaders have said that measuring business impact is very important, but only 36% of them have said that they can do this well. Measuring campaign attribution

So marketers who struggle to measure campaign attribution will invest all the more in CMP as it has the ability to measure the success of content being produced across the marketing team.

4. Accelerating campaign execution

Improving productivity is crucial, and a priority for marketing leaders. A majority of marketing industries are, therefore, becoming highly competitive with producing campaigns. This is because it gives them the agility they need. In fact, research has shown that 70% of marketing leaders believe that accelerating campaign execution is a priority for their team.Accelerating campaign execution

While working from home or working remotely can hinder campaigns from performing quickly, companies are now leaning towards technology to streamline processes and implement workflows. Such tools can also help teams collaborate and work efficiently as they continue to work remotely.

The future of Martech

Modern marketing companies are depending on marketing softwares and tools to streamline strategy processes and enhance visibility plans. In a survey conducted in 2020, over 68% of marketing leaders stated that improving process is a priority. Selecting the right tools will help create a solid base for the team as working from home, or remote work becomes common in most industries.

Want to dig deeper into the upcoming Martech trends? Drop a comment below.

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