Measuring Marketing Success

I’m not sure if you agree, but it feels to me that the industry has turned a positive corner in its marketing activity. Perhaps that’s a sign of tough times, with promotional efforts ramping up as the trade recognizes the urgency of reclaiming its place in the consumer mindset.

We’ve had a seemingly successful launch of World Diamond Day by the Natural Diamond Council, De Beers’ Desert Diamonds push appears to be gaining traction, and organizations like the World Federation of Diamond Bourses are raising their budgets for category marketing. We also saw the appointment this morning of a new chief marketing officer, Susie Dewey, at the NDC.

It all begs the question of how we measure success in marketing. Years ago, I posed that question to Marc Lieberherr, then CEO of the Diamond Producers Association, the forerunner to the NDC. He confidently asserted, when polished prices start to rise again. In hindsight, that honesty set him up for failure, but the sentiment was correct. A demand-driven improvement in polished prices would be the ultimate measure of success.

Today’s marketers would no doubt answer very differently, and likely point to social media engagement, which provides immediate and very useful feedback on the effectiveness of every element of a campaign or content strategy. Trust me, I monitor and scrutinize the open and click rates of every issue of Pressing Matters, every video, podcast, or written post I produce. It enables me, as it does marketers on a much grander scale, to tweak presentations as they move forward.

That suggests marketing has become a game of immediate gratification. However, effective marketers are in it for the long haul. Their real aim is to influence public perception, broaden the consumer base, and support stronger sales five, 10, and 15 years from now. That runs contrary to industry expectations, which tend to demand immediate results in the form of stronger sales at higher prices.

Such a bounce is not impossible, but the real aim must be to stimulate growth that supports a sustainable future.

I’m looking forward to discussing these thoughts, and all things marketing, with De Beers natural diamond market lead Sally Morrison in the next Diamond Debates on LinkedIn Live: Reenergizing the Diamond Story.

Join us and let me know, am I being too conservative in my thought process?

This blog first appeared in the April 27 Pressing Matters Executive Memo. Read the full memo here, Pressing Matters. It includes:

• Spotlight: Is Geopolitics Rerouting the Diamond Trade

• In Focus: Retail Segmentation Is the New Reality

• Chart Check: Chow Tai Fook's Same-store sales growth.

• Industry Voices

• The News That Matters

• From the Trade Press

• Coming Up

• Pic of the Week: The Ocean Dream

Image: Jewelry from De Beers Desert Diamonds Bridal campaign