Martech Maxxing: Brands Are Replacing Platforms This Year, Including Their Email Systems


Martech Maxxing: Brands Are Replacing Platforms This Year, Including Their Email Systems




by , Columnist, July 29, 2022

Marketers are spending freely on technology this year, judging by the Martech Replacement Survey from Martech.  


Of companies polled, 21% have replaced their email distribution platform — down from 24% in 2021. 


But while email remains the most effective channel, it came in fourth in terms of platform replacement — behind marketing automation, CRM and SEO tools, at 23% apiece. 


Only 17% of midsize companies replaced their email platform. SEO topped the list, at 23%. 


How did they pursue these replacements? The respondents say they:



  • Replaced homegrown with a commercial platform — 26% 
  • Replaced homegrown with another homegrown platform — 6%
  • Replaced commercial with a homegrown platform — 11% 
  • Replaced commercial with another commercial platform — 57%

Of the replaced systems, they had been in use for the following periods of time: 



  • 1-2 years — 33% 
  • 3-5 years — 36%
  • 6-10 years — 15%
  • More than 10 years — 5%
  • Less than a year — 7% 
  • Don’t know — 4%

The most replaced systems in the 3-5 year range were:



  • Marketing automation —30%
  • CRM — 25% 
  • Email distribution —24% 

However, email replacement dropped to 20% in the 1-2 year range, behind SEO tools (24%) and marketing automation (23%). 


Firms that replaced a commercial system did so for these reasons:



  • Better features — 53% 
  • Better/easier integration — 24% 
  • Reduce expenses — 16% 
  • Other — 6% 

And homegrown applications were replaced due to:



  • Better features from SaaS software — 43% 
  • Difficulty integrating with newer systems — 16%
  • Outdated code — 16% 
  • Too expensive to maintain — 14% 
  • Management decided we’re not a software company — 6% 
  • Other — 5% 

Which qualities were they looking for in new systems? They sought:



  • Integration capabilities/open API — 54%
  • Data centralization/data capabilities — 50% 
  • Ability to measure ROI — 50% 
  • Improved customer/digital experience — 47%
  • Cost — 45% 
  • Support — 31% 
  • Compliance — 29%
  • Security — 28% 
  • Other—5% 

One other factor—at least for 35%—was COVID-19 and the conditions it created. That’s down from 47% in 2021. 


 


Who championed these buying decisions within the organization? They were driven by:



  • Executive management—21%
  • Marketing management—38% 
  • Marketing operations—17% 
  • Marketing staff—11%  
  • IT—12% 
  • Sales—2% 

Most companies didn’t hire new people to accommodate these changes—62% retrained existing staff. Another 13% did hire, and 18% both hired and retrained, while 7% outsourced to an agency. 


Martech surveyed 295 marketers in Q2 2022. Of those, 53% work in B2B companies .14% for B2C and 33% for firms that serve both businesses and consumers. 


 


 


Marketers are spending freely on technology this year, judging by the Martech Replacement Survey from Martech.  


Of companies polled, 21% have replaced their email distribution platform — down from 24% in 2021. 


But while email remains the most effective channel, it came in fourth in terms of platform replacement — behind marketing automation, CRM and SEO tools, at 23% apiece. 


Only 17% of midsize companies replaced their email platform. SEO topped the list, at 23%. 


How did they pursue these replacements? The respondents say they:



  • Replaced homegrown with a commercial platform — 26% 
  • Replaced homegrown with another homegrown platform — 6%
  • Replaced commercial with a homegrown platform — 11% 
  • Replaced commercial with another commercial platform — 57%

Of the replaced systems, they had been in use for the following periods of time: 



  • 1-2 years — 33% 
  • 3-5 years — 36%
  • 6-10 years — 15%
  • More than 10 years — 5%
  • Less than a year — 7% 
  • Don’t know — 4%

The most replaced systems in the 3-5 year range were:



  • Marketing automation —30%
  • CRM — 25% 
  • Email distribution —24% 

However, email replacement dropped to 20% in the 1-2 year range, behind SEO tools (24%) and marketing automation (23%). 


Firms that replaced a commercial system did so for these reasons:



  • Better features — 53% 
  • Better/easier integration — 24% 
  • Reduce expenses — 16% 
  • Other — 6% 

And homegrown applications were replaced due to:



  • Better features from SaaS software — 43% 
  • Difficulty integrating with newer systems — 16%
  • Outdated code — 16% 
  • Too expensive to maintain — 14% 
  • Management decided we’re not a software company — 6% 
  • Other — 5% 

Which qualities were they looking for in new systems? They sought:



  • Integration capabilities/open API — 54%
  • Data centralization/data capabilities — 50% 
  • Ability to measure ROI — 50% 
  • Improved customer/digital experience — 47%
  • Cost — 45% 
  • Support — 31% 
  • Compliance — 29%
  • Security — 28% 
  • Other—5% 

One other factor—at least for 35%—was COVID-19 and the conditions it created. That’s down from 47% in 2021. 


 


Who championed these buying decisions within the organization? They were driven by:



  • Executive management—21%
  • Marketing management—38% 
  • Marketing operations—17% 
  • Marketing staff—11%  
  • IT—12% 
  • Sales—2% 

Most companies didn’t hire new people to accommodate these changes—62% retrained existing staff. Another 13% did hire, and 18% both hired and retrained, while 7% outsourced to an agency. 


Martech surveyed 295 marketers in Q2 2022. Of those, 53% work in B2B companies .14% for B2C and 33% for firms that serve both businesses and consumers. 


 

MediaPost.com: Search & Performance Marketing Daily

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