Ramesh Rao on the Marketing Accountability Gap
Dr. Ramesh Rao's research on marketing accountability was featured in EXCHANGE magazine in 2008. In the article Marketing ROI written by Sandie Taylor he says, “You have to go beyond brand equity and find tangible outcomes. Marketers don’t have a consensus definition of customer equity and brand equity. If they want to argue these concepts are important they must articulate a mechanism by which they can add value. Otherwise it’s all stories. For example, marketers claim that customer equity and brand equity create ‘marketing assets’ and lower the firm’s working capital, but they have provided virtually no justification for this claim. Marketing is more important than marketers say it is, but not for the reasons they give us.”
With a second phase of his research nearing completion, Rao sat down with McCombs communications director David Wenger to discuss new insights on measuring the value of marketing.