As we emerge from lockdown and enter the recovery phase, many marketers might have the appetite for starting afresh.
One attractive option could be to gravitate towards zero-based budgeting (ZBB), whereby marketers start with a clean slate each year, rather than taking last year’s advertising spend as a benchmark.
ZBB has been adopted by a number of high profile brands, including tech giant Dell. When Alison Dew was appointed CMO in April 2018 she spent a large portion of her time digging through the investments across the marketing organisation. She identified that in the past the company made “sub-optimal” decisions by simply rolling budget forward without investigating any further.
This work was not carried out in response to the Covid-19 crisis, but was seen as an exercise in growing the business and focusing resources where they would have the most impact.