F UNCTIONAL B ENCHMARK M ARKETING

P ROCESS D EFINITIONS 2010

 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

T ABLE OF C ONTENTS
1. Marketing Communications/Demand and Lead
Development 1

2. Marketing Operations – Brand and Product Management

7

3. Marketing Planning and Strategy 9

4. Marketing Planning and Strategy – Research and

Analytics 10

5. Marketing Management snd Administration – Function

Management 11
 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

P ROCESS G ROUP D EFINITIONS – M ARKETING

Full-time equivalents (“FTEs”) and costs will be collected by the five processes
shown in italic, and reported for comparisons to world-class and peer groups in
the four process groupings in BOLD. The process names below the bolded process
group names are detailed further on subsequent pages.

MARKETING COMMUNICATIONS/DEMAND AND LEAD DEVELOPMENT

Marketing Communications

MARKETING OPERATIONS
Brand & Product Management

MARKETING PLANNING AND STRATEGY

Planning and Strategy
Research and Analytics

MARKETING MANAGEMENT AND ADMINISTRATION

Function Management

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

1. M ARKETING C OMMUNICATIONS /D EMAND AND L EAD

D EVELOPMENT
The process of managing the marketing messages, disciplines and vehicles that
are used to support the organization’s/University’s brands, products and
services. The process includes planning, developing, executing, and measuring
campaigns/programs that are designed to achieve a specific market objective
with a target audience. These activities may be executed using multiple
communication vehicles and are frequently conducted over a discrete
timeframe.
 Reviewing brand/product creative concepts with internal teams and
agencies
 Selecting creative, media vehicles, and markets to be purchased/executed
 Developing product/brand creative, materials, programs communications,
etc. to be executed for and by channel/channel partners or media
distribution partner.
 Design of materials that are to be used directly with customers/prospects
by the sales force and channel partners/distribution partners.
 Developing and distributing presentations/marketing tools/product
literature.
 Maintaining/developing technical data sheets/internal product data.
 Identifying/ defining the purpose, goals, and objectives of the marketing
campaign/ program – target audience, anticipated "hard and soft" benefits,
etc.
 Defining/ identifying the components of the marketing campaign/program –
mix of marketing vehicles, creatives, markets, number of
interactions/waves, etc.
 Developing campaign/program content – working with creative agency to
develop imagery/ messaging, buying media, etc.
 Coordinating and scheduling the execution of the program components -
slotting in the promotional calendar, briefing internal and external partners
on execution details, etc.
 Coordination of transaction processing associated with
programs/campaigns/promotions administration, i.e., rebate redemption,
sweepstakes/contest entry, premiums fulfillment, loyalty program
enrollment/membership, bounce-back offer processing, etc.
 Acquiring/gathering external sources of prospective contact data
 Working with sales/channel partners or distribution partners to define
appropriate level and method of prospect qualification
 Definition and execution of processes to appropriately hand-off lead
information, i.e., route, transfer, confirm acceptance, track, etc
 Development of methods to quantify, communicate and enhance the
value/success of leads generated
 Contacting existing customers and new prospects to generate sales
 Measuring and communicating the program results
 Responding to external and media inquiries

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

 Any general awareness or public relations specifically conducted by the

marketing function
 Telemarketing
 Retail (including in-store) campaign execution
 (removed Trade)
Note: The costs for expensive giveaways such as machinery or equipment that
are capitalized and depreciated over a multi-year time frame should be excluded
from the benchmark.
Note 2: Third-party costs such as agency fees, consulting, development and
production should be included in outsourcing.
Note 3: This process group only includes communications specifically related to
brand, products and services. It does not include any general communications
developed for corporate/University stakeholders.

GENERAL HELPS:

“As a data collector, you may encounter an instance where effort (FTEs) or costs
(dollars) are incurred in one organization (department) within the
Marketing/Communications benchmarking scope, and then charged out to
another organization (department) within the Marketing/Communications
benchmarking scope. One principle we strive to apply is “collect the data at the
source”. This would mean that all of those efforts or dollars are captured once,
at the source, and fully reported there. This relieves all the various recipients of
those efforts or dollars of having to report because it keeps all the charges
concentrated at the source. It should help reduce complexity and confusion.”
This statement would apply, for example, for an auxiliary service such as IU
Creative Services, IU PhotoGraphics, etc.

For purposes of this benchmarking study, “communications” occur with

customers (students, alumni, donors, patrons, parents of students, etc.) who are
already in the IU fold. The act of attempting to bring in new students, patrons,
parents of prospective students, etc. customers, would be defined as
“marketing”. We market to the students until they are admitted, then the
sharing of information becomes communications. However, for purposes of this
benchmarking study, since “student services” functions are also being
benchmarked, the period of time between admission and matriculation will be
counted under “student services”.

Examples: Web site purpose might have to be split (directionally correct)

between communications and marketing. If the purpose of the Web site is to
attract new customers or increase the customer base, then that would be
considered marketing. If the purpose of the Web site is to communicate
information to existing students, then that portion of the Web site would be
considered communications. Same statement holds true for social media
communications.

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

Securing sponsorships such as for IU Auditorium or IU Athletics programs/events

offerings would be included in the Benchmarking Study reporting. This would be
reported under “Business/University to Business”.

Market Academic Programs and Requirements /Student Recruitment for

Marketing Benchmarking:

Develop and maintain content for web sites, social media avenues, view books,
and other media used to attract and educate potential applicants to the
University.

This would include activities whereby IU staff engaged in student recruitment

efforts. This includes travel to high schools, college fairs, and businesses to
market the University to prospective students (i.e. college visit days/open
houses, college fairs, etc.) This would also include events/activities bringing
targeted prospective students to one of the University’s campuses. It would
include time devoted by Student Services professionals or part-time employees
to facilitate groups of prospective students, parents, high school counselors, or
other educational representatives participating in organized campus tours or
large visit days.

This activity would include Student Services staff time spent in assisting with the
selection of creative, media vehicles/avenues and markets to be considered and
ultimately purchased. This would include print, print advertisements, Web, social
media, outdoor/billboard, digital signage, radio or television, etc. Student
Services staff involved in decisions such as number of interactions/waves, target
audiences, etc. would be recorded under Marketing activities.

Development of methods to quantify, communicate and enhance the

value/success of leads generated. Tracks the effectiveness of various high
school visits, college fairs, and other recruiting activities based on their yield of
applicants, admits, and enrolled students to determine future involvement in
that particular activity.

Responding to external and media inquiries such as number of incoming

freshmen expected to arrive on campus each Fall Semester (information
pertaining specifically to prospective incoming freshmen), recruitment costs,
etc.

The period between admission and matriculation is counted under “student

services” and not “marketing”.

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

REPORTING OF DEVELOPMENT/STEWARDSHIP ACTIVITIES

Provide marketing costs related to any materials (brochures, websites, video, TV

ads, radio spots, event activities, etc.) related to development. For FTE, count
the time spent by person(s) creating those materials but not the person doing
the actual development (development officer).

Example: Mailing of 75,000 College of Arts and Sciences magazines (targeted to

alumni of the College). This mailing includes a donation envelope. The mailing
serves multiple purposes from College marketing director’s perspective:
communications, marketing, development/stewardship. In this case, the only
activity that would not be reported through either the “marketing” or
“communications” Benchmarking activities would be FTE associated with College
development officer’s time involved in the development or review of this
publication.

Example: IU School of Dentistry has 2 full-time FTE development staffers whose

salaries are paid with a university account. The lion’s share of their marketing
activities are covered by IUF accounts, with a small number of projects being
charged to university accounts.
1) Do I include these employees in Dentistry’s marketing survey head-
count? No.
2) Do I include only their marketing activities that are covered by university
accounts? Their marketing activities (collateral materials such as
publications, videos, tv ads, billboards, radio spots, etc.) whether covered
by University accounts or IU Foundation accounts administered by IU
School of Dentistry should be included.

Example: IU Foundation Marketing Group is responsible for the

photos, writing/editing and design for a print piece for Kinsey
Institute. Kinsey Institute was responsible for paying only the
printing costs and limited oversight through approvals of content,
etc. of the publication. If the publication is a general information
piece, such as an annual report on the Kinsey Institute that would
be targeted to existing donors or other affiliates of Kinsey
Institute, then this activity would be reported through the
“communications” questions.

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

The data collector is to report ONLY expenses that occurred in their

IU or IU Foundation accounts. If the IU Foundation designed the
publication with no charges being imposed (as was the case with
the Kinsey Institute example above) or IU Foundation otherwise
funded the design costs as an in-kind donation to the Kinsey
Institute, then printing costs would be the only costs reported by
the data collector of the Kinsey Institute.

IU CREATIVE SERVICES EXAMPLES:

Work performed by IU Creative Services for other IU campuses,

schools, departments, organizations, etc. should be reported by
the IU unit that paid IU Creative Services for their products and/or
services.

IU Creative Services will be reporting only on work completed for

Public Affairs and Government Relations (serving as the client).

CENTERS, INSTITUTES, ETC.

The Marketing Functional Committee did identify approx. fifteen centers or

institutes that were aligned with their respective School, VP, unit, etc. on the
location structure grids for both Communications and Marketing benchmarking
activities. In these cases whereby we have listed specific centers or institutes
immediately beneath the RC unit on the location grid, please provide the
benchmarking data separately on the designated grid line and exclude that data
from your School, VP, unit data reporting so that we are not double-counting.

Example 1: The School of Health, Physical Education and Recreation will report
data for: Bradford Woods, the Eppley Institute for Parks & Public Lands and
Division of Recreational Sports (this list might not be all inclusive for HPER).
Since none of these centers or institutes were listed on the Communications
and Marketing structure grids immediately beneath the School line, Cyndi Miller
(likely working in conjunction with her fiscal officer within HPER) will be compiling
all of the data for these HPER related activities and reporting it on the School of
Health, Physical Education and Recreation line.

Example 2: The Kelley School of Business. The following Centers were identified
and included on the Marketing and Communications location structure grids by
the Marketing Functional Committee to be aligned with Kelley School of
Business: Indiana Business Research Center, Johnson Center for
Entrepreneurship & Innovation, and Institute for Corporate Governance.
Therefore, data for these three Kelley School activities will be reported on the
appropriate lines within the Benchmarking Study portal and this data will be

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

excluded for the remaining data collected for the Kelley School of Business and
reported on the appropriate Kelley School of Business line.

GRANTS

What about employees who do marketing work but who are paid out of a grant? The
answer is that if these are IU funds and are in the control of the unit, so the accounts fall
within the org of the unit then they would include them. The counting of grant funds
that are in the control of the reporting unit is acceptable.

Example 1: IU School of Dentistry clinical researchers sometimes advertise in the local

media (newspaper and tv) to recruit study participants for research funded by the NIH
and other grants. The cost to do this is usually rolled in to the grant that’s paying for the
study. Do these type of print and airtime costs qualify as marketing? The ads are simply
one method used to acquire a specific research population for a given study. Answer: If
this is considered a “human subjects” study (which in this case it is), it should be
excluded from the marketing efforts reported for the Benchmarking Study.

STUDENT ORGANIZATIONS

If the student organization uses IU dollars from an IU account, then yes it should be
included in the data reporting for marketing and communications activities. Legally
separate student organization bank account activity should not be included.

TURNOVER/RETENTION:

If a position was vacated 6 months in to the 2009-10 fiscal year would it be counted as 6
months or 12 months? The answer was if there are plans to fill the position in the next fiscal
year that the position should be counted at full 12 months. If however, the position was
vacated after 6 months and the position line was discontinued, then the position would not be
counted.

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

2. M ARKETING O PERATIONS – B RAND AND P RODUCT

M ANAGEMENT
This process group is focused on applying marketing techniques and disciplines
to a specific brand, product/service line, or product/service in order to influence
the perceived value to the customer and the customer’s buying behaviors.
These activities include management of product strategy and lifecycle, direction
of market strategy and pricing, and allocation of marketing resources and
support.
 Developing and determining company sales conditions, pricing and terms,
capacity allocation, product packaging and product education/training of
the sales force/channel or distribution method.
 Developing products and services for potential sales and company growth
including product commercialization, product design, consumer research
and product testing.
 Managing agencies to ensure messaging, imagery, and
campaigns/programs are consistent with strategic plan and brand/product
direction
 Leveraging research, analysis and measurement tools to identify trends,
uncover opportunities and maximize ROI
 Managing agencies and coordinating with marketing communications to
ensure marketing programs are consistent with strategic plan
 Coordination and slotting of advertising and promotional programs across
product/brand groups
 support of channels and channel partners/distribution partners
 Performing a competitive analysis of the new product including competitor
and customer analysis
 Developing joint market goals and objectives with the sales force and
channel partners/distribution partners
 Providing the sales force and channel partners/distribution partners with
communications, tools and training for product/service launch and ongoing
support
 Communication of brand/product performance against market objectives
and forecast/goals
 Coordinating product design, development and launch activity with the
extended enterprise - engineering, production, distribution, sales, customer
care, etc.
 Coordinating product development, positioning and launch activity with
brand/product portfolios
 Determining cost parameters both from a product development as well as a
customer pricing view
 Determining product design criteria based on product/service portfolio,
market intelligence, buyer behaviors, etc.
 Establishing, maintaining and fostering a formal way that new ideas are
evaluated for potential next steps
 Brand/Product portfolio

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

Note: This process group includes the marketing processes and activities
associated with the development of new products/services and extensions of
existing products/services. The scope includes costs and FTEs associated with
marketing’s support and participation in development activities. The scope of
this process group does not include costs and FTEs associated with marketing’s
support and participation in new product research activities.

(Research costs are written off in the year in which they are incurred.
Development costs are reviewed annually and are expensed if they do not
qualify for capitalization. If a project is abandoned during the development
stage, the total accumulated expenditure is then written off.)

Examples: New products underneath existing brands. Kelley School of Business:

Kelley Direct, MBA, Executive Education, etc. New degree offering within the
College of Arts & Sciences, etc.

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

3. M ARKETING P LANNING AND S TRATEGY

This process group focuses on developing, monitoring, and refining an integrated
market strategy and plan across all products/services, usually on a multi-year
and an annual/fiscal year basis. These processes and activities are associated
with planning, budgeting, allocation of resources, and the forecasting for the
organization’s marketing performance. They also include the process of
measuring, monitoring, and analysis of marketing performance, as well as the
continuous evaluation of marketing plans, budgets, goals and objectives.
 Determining how to address macro market characteristics (e.g., size,
viability, maturity, and company/University positioning) and trends
 Defining positioning (i.e., products, pricing, placement, etc.) relative to
markets, competitors, etc.
 Determining market size, market viability, and company positioning in the
market and market/trends forecasting and analysis
 Aggregating, integrating and communicating enterprise, brand group,
brand, product line, and product-level plans, budgets, goals, and
performance information
 Collecting and communicating other background information – competitive
intelligence, economic data, etc.
 Development and selection of distribution and sales channel/distribution
strategies/approaches/partners.
 Creating market strategy and plan for various channels/channel partners or
distribution partners.
 Development and measurement of the customer experience/satisfaction
strategies
 Reconciling resource constraints and slotting of introductions, promotions,
campaigns, etc., across the brand/product portfolios
 Collaborating on sourcing decisions. (i.e., make/buy, subcontracting, where
to product/supply, etc.)
 Definition of key marketing performance/operational indicators and
development of measurement capabilities
 Analysis of performance/trends, and communication of results
 Creating and distributing marketing reports to senior management

Examples: Integrated marketing strategy. The processes of

internal/upward reporting evaluation of marketing plans, budgets, goals and
objectives, etc. Student/customer satisfaction survey would be reported
under this benchmark.

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

4. M ARKETING P LANNING AND S TRATEGY – R ESEARCH AND

A NALYTIC S
The process of systematically gathering, analyzing and interpreting
data/information pertaining to the company's/University’s markets, customers
and competitors, with the goal of improving marketing decisions. These
activities include the sourcing of required data/information, fulfillment of
research requests and communication of resulting analyses. This process group
also includes the evaluation, management and maintenance of key marketing
data and knowledge repositories.
 Development of research methodologies and practices
 Sourcing of data and data services providers
 Development of primary and secondary research for marketing’s use
 Development of customer/value analytics – segmentation, scoring, lifetime
value, loyalty, propensity to buy, product affinity, predictive behaviors,
churn, attrition, etc.
 Development of market and channel/distribution analytics – size, maturity,
direction/trending, channel/distribution method availability, optimization,
etc.
 Development of acquisition analysis – prospect targeting, cross/up-sell,
competitive positioning, brand/product awareness, etc.
 Development of customer interaction/service channel/distributor analysis –
preferences, effectiveness, optimization, satisfaction, etc.
 Development of marketing program analytics – scoring and offer
generation, response and transaction rates, pricing and promotion
optimization, etc.
 Reporting on operational concerns – headcount, hiring, actual to budget
spending, etc.
 Reporting on brand/product performance metrics – market share, brand
awareness, advertising coverage/saturation (reach and frequency),
competitive positioning, etc.
 Reporting on program performance metrics – program lifecycle, program
effectiveness, program participation, lead generation, conversions
 Review and governance of marketing data quality
 Management of marketing knowledge and best practice repositories

Example: Research being conducted so University is on the cutting edge to

assist with strategy.

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 FUNCTIONAL BENCHMARK MARKETING PROCESS DEFINITIONS 2010

5. M ARKETING M ANAGEMENT SND A DMINISTRATION –

F UNCTION M ANAGEMENT
This process group relates to the establishment of marketing policies and
controls as well as general administration and functional performance
improvement. These activities include identification of resource needs,
recruitment activities and administration/delivery of programs focused on the
ongoing development of skills, competencies and behaviors. These activities
relate primarily to roles of chief/divisional marketing officers, functional
performance improvement staff, and their administrative support.

 Establishing of marketing policies in accordance with general business plans

 Determining of marketing policy controls
 Continuous improvement teams, dedicated to the marketing function, which
are looking at process improvement ACROSS the entire function, should
have time captured here. The impact these teams have is at the overall
function level and done continuously through the year. The process
includes, but is not limited to, Six Sigma programs, project management of
ongoing programs, change management, and merger and acquisition
integration.

Note: Only capture time being spent on setting overall marketing policies and
control within this function. Activities specific to a process within the
department, are allocated to that process first (e.g., Marketing
Communications, Brand and Product Marketing, etc.). Directors and leaders of
departments and performance improvement individuals assigned to a specific
process are captured in that process (e.g., Marketing Operations, Planning and
Strategy, etc.).

Example: This function deals with the leadership of the marketing

organization . . . those deciding how marketing function should be
structured/organized, etc.

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