B2B tech CMOs have the shortest tenure among CxOs. Unrealistic expectations, overpromising, and marketing lag have a lot to do with it. Tech companies can help their marketing leaders succeed by creating a safe, transparent environment. Set realistic goals, invest in marketing and innovation, and encourage honest communication.
B2B tech is a high stakes game and the Chief Marketing Officer (CMO) has the shortest leash.
With an average tenure of about 26 months, CMOs are pressured to deliver immediate results in a landscape where deals and market shifts are anything but immediate. It makes zero sense.
Understanding these challenges is key to fostering a culture that supports long-term success.
Marketing efforts in B2B tech have a significant time lag. Closed-won deals often take longer than a CMO’s average tenure, making it almost impossible to meet the instant gratification demands of the CxO. This highlights the challenges faced by CMOs in B2B technology companies and why maintaining realistic expectations around time lag are at the core of longer tenures.
As marketing leaders, we need to do a better job of educating (and reminding) the CxO about the time delay between marketing action and revenue recognition or business outcome. Unlike in the B2C world, where a purchase often takes place within minutes of an ad click, B2B customer journeys are notoriously long and complex.
B2B tech is often ego-driven, with CEOs making overly inflated promises to boards and investors. This pressure trickles down to sales and marketing, forcing them to suck water from rocks. For instance, 95% of business clients are not in the market for many goods and services at any one time, indicating a much longer sales cycle that conflicts with short-term expectations. Understanding why CMOs have short tenures in B2B tech is critical to addressing these issues.
CEO’s get trapped in their own web because they overpromise results to their board members and investors. This puts tremendous pressure on Sales and Marketing to make good on these inflated promises.
Angeley Mullins, CCO, Resourcify
In B2B tech, the mantra often is “Failure is not an option.” But this is unrealistic. Success is a string of failures. Without failure, there is no success. This mindset needs to extend to Sales and Marketing, where experimentation and learning from failures can fuel innovative and creative ideas.
A culture of safety doesn’t exist for Sales and Marketing. There are no heroes come forecast time.
Eric Quanstrom, 5X CMO | 4X Inc 5000 | 3X Exits
Engineering and R&D enjoy a culture of safety, where failures are seen as steps toward success. Sales and Marketing should be afforded the same culture of safety to innovate and grow. This disconnect is reflected in the fact as much as 60% of in-market deals end in no-decision, underscoring the need for a realistic approach that mitigates buyer risk.
40% to 60% of the average salesperson’s pipeline is lost to “no decision.”
Matt Dixon, “The JOLT Effect”
For good reason, the C-suite is often suspicious of what’s happening inside the marketing and sales “black box,” fearing that too much is being “cooked up” to meet (ironically) their inflated promises and unrealistic expectations.
This suspicion, combined with the pressure to deliver on unrealistic promises, leads to “cooking the books” (aka covering one’s ass). It also fosters dishonesty and a culture of fear. Additionally, 75% of B2B buyers prefer a rep-free sales experience, highlighting the shift towards more transparent and customer-centric approaches.
I’ve experienced this dynamic firsthand and I’ll be the first to admit I was partially responsible (you don’t know what you don’t know).
On two occasions, I was let go after 24-26 months because I couldn’t deliver the immediate results the CEO was expecting. What’s funny is that 3-6 months later, the go-to-market (GTM) efforts my team initiated months prior began to materialize.
The company then enjoyed success from the lag and making boatloads of money, only to face a downturn months later when they failed to sustain the momentum. They ended up getting caught with their pants down scrambling to find another marketing leader to repeat the cycle.
Can you say, “Groundhog Day?”
B2C companies invest heavily in both Marketing and Innovation, understanding that both are equally important for success.
In contrast, B2B companies, led by engineering and sales, often invest only in innovation, believing their product is so cool that everyone will want it. This mindset neglects the importance of marketing in driving awareness, confidence, and trust, particularly when it comes to brand reputation.
Read more about Peter Drucker’s position on marketing and innovation and the converging B2B and B2C marketing trends.
We need to get back to basics. We need to stop the survey slapping and marketing malpractice in b2b.
Alan Hale, Consight Marketing Group
B2B tech companies can become agents of change. But they must be willing to (as Seth Godin says) create a ruckus by creating a culture based on innovation AND marketing.
It’s not your fault that you’re fucked up. But it is your fault if you stay fucked up.
Jen Sincero, “You Are A Badass”
It’s time for a reality check. The short leash on marketing leadership in B2B tech is stupid and we B2B marketers have only ourselves to blame.
By understanding and addressing the inherent lag in marketing, setting realistic expectations, and treating marketing as a strategic business function, tech companies can better support their marketing leaders and drive scalable growth.
But it starts with Marketing leading the way. When we become change agents, we give ourselves permission to build confidence and earn respect, ensuring our efforts are recognized and valued.
This approach is absolutely critical for improving CMO retention in B2B technology.
Strong marketing leadership cannot be attained in a revolving door. Neither can long-term growth.
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