CFOs and marketing leaders share a common goal: maximizing revenue and exploring opportunities for growth. Yet the demands of their respective roles don’t always align.
While CFOs are often focused on driving efficiency and hitting targets, marketing leaders may struggle to measure the short-term impact of certain projects – such as brand initiatives – in a tangible and objective way.
What’s more, many organizations view marketing and finance as two completely separate sides of the business. This divide can lead to poor communication, and ultimately, a lack of trust.
In this guide, we’ll look at ways to revamp this relationship and lay the foundations for transparent and productive conversations, so both parties can feel aligned and confident in achieving their common goal.
Introduction
How marketing leaders can build stronger relationships with CFOs
Partners in growth:
If everyone is moving forward together, then success takes care of itself.
79% of the world’s fastest-growing companies report that they have clear C-suite alignment on marketing performance metrics.
Due to the current economic uncertainty, organizations worldwide are cutting their marketing budgets. These cuts can lead to marketing leaders becoming frustrated with their CFO. If the organization’s wider culture doesn’t actively encourage clear communication and collaboration between its different departments, then tensions are bound to arise.
As top-level executives, CFOs are typically perceived as having significant clout in the workplace. This can intimidate marketing leaders and make them reluctant to explore constructive solutions one-on-one.
However, the first step towards forging a stronger relationship with your CFO is leaving all preconceptions behind and viewing them as a human being instead.
Be curious and try to understand your CFO’s needs. Their responsibilities go beyond tracking department budgets to managing the financial actions of the entire organization. When making decisions, they gravitate towards clear goals, tangible data, and ROI. Your CFO wants to help your team succeed, but in order to do this, they’re going to need as much information as possible.
How to make your CFO your BFF
Improved communication
Shared KPIs
Better budgeting
Now’s the time to act
Organizations should always encourage a healthy dynamic between their teams as a way to facilitate collaboration, drive success, and maintain a rewarding culture. But in a challenging economic climate, this has become especially vital.
As budgets are scaled back and resources are distributed with maximum efficiency, ensuring these teams are aligned and working towards a common goal will yield a number of long-term benefits, including...
Improved communication
Aligned teams understand each other’s objectives, which enables them to work together to share information and resources in a more effective and symbiotic way. This allows for a more seamless flow of information between teams, enabling better and faster decision making.
Shared KPIs
There’s a lot of overlap between marketing and finance activities, so it makes sense for these teams to develop KPIs and metrics together. These should also align with the organization’s objectives, allowing for a more effective monitoring of the company’s performance.
Better budgeting
Aligned teams can work together to create budget and forecast models that take the costs of marketing projects and their potential ROI into account. This can enable smarter decision-making around how and where to allocate resources. Plus, promoting awareness of each team’s respective projects can prevent duplication of work and unnecessary expenses.
Meet our CFO
It’s always nice to put a face to a job title. We spoke with Reachdesk’s CFO to get to know him a little better...
Name
Brian Montminy
Likes
Data, transparency, and ROI.
Dislikes
Uncertainty, confusing metrics, and speculation.
Skills
Communication, building consensus across teams, and number crunching.
Challenges
Providing context on complex topics, and gaining transparency.
Hobbies
Family, piloting a private airplane, and cheering on the Indiana Hoosiers.
Change doesn’t happen overnight, but don’t underestimate the power of being proactive. Here are some simple steps you can take to forge a stronger partnership with your CFO and demonstrate your commitment to open communication.
4 ways to build a stronger working relationship
Building a visionary company requires 1% vision and 99% alignment.
Jim Collins and Jerry Porra
Deloitte
Once you’ve established a better working relationship with your CFO, you can both start enjoying more honest conversations about what you and your marketing team need to succeed.
The more you prepare, the smoother these discussions will go, so we’ve put together nine questions that CFOs love to ask. Whether you’re hoping to talk requests, budget cuts, or reallocation, take a look below and consider how you would respond to provide your CFO with the clearest picture possible.
9 questions CFOs love to ask (and how to prepare for them)
How can this request help us
achieve our company goals?
This is why showing a keen interest in your CFO’s goals and priorities is so important. If you can articulate how your request overlaps or feeds into the company’s strategic goals and communicate the potential ROI, you will be able to deliver a far more convincing argument.
Is this a reallocation of the
existing budget or incremental?
Your CFO will want to confirm this as soon as possible as it’s generally easier to reallocate existing spend than request an incremental budget.
What is the cost of the tool?
Is this a fixed or variable cost?
When you’re requesting a new marketing tool or solution, you must provide your CFO with a clear picture of how much you’re planning to spend as well as a timeline of when you’re planning to spend this amount.
What are the qualitative and quantitative benefits?
Quantitative benefits can be measured in monetary units or rates of change, such as projected ROI. Qualitative benefits are typically more conceptual. For example, the positive impact that a strategy could have on your brand. These benefits are not typically measurable in an objective way, so be prepared to explain the non-monetary rewards as clearly as possible.
How can this help us become
more efficient?
Efficiency is a top priority for organizations in 2023, with 31% of SaaS companies looking to control costs and achieve outcomes with fewer resources. Your CFO will appreciate insights into how your proposed tool or solution will help the business to close more sales with less spend and achieve more with fewer teammates.
What’s the cost of inaction?
What happens if this budget doesn’t get approved? Can your organization afford not to pursue this solution? Point to examples of competitors who have either achieved impressive results following the same strategy or suffered losses as a result of not taking the leap.
How are we going to measure success?
Be fully prepared to outline your proposed strategy and success metrics in a specific, targeted, and realistic way. If there’s an aspect of your strategy you’re not entirely sure about, be transparent so your CFO has a chance to share their personal insights.
It can also be beneficial to pitch ideas before they’re 100% ready. This gives you a chance to gather feedback and get your CFO involved from an early planning stage.
What risks and opportunities
does your plan present?
CFOs can be surprisingly willing to support a new and experimental marketing approach. They will be aware of how crowded the marketplace is and that the most successful brands are often those that aren’t afraid to try different things.
As long as your proposed risk is a calculated and considered one, your CFO will keep an open mind. Take time to collect data and examples before your meeting so you can deliver the best pitch possible.
Is this a need or a want?
This can be difficult to define. As a rule of thumb, if your request matches the organization’s objectives and stands up under the scrutiny of a cost-benefit analysis, then it could be considered a need. Brand initiatives that are less likely to be measurable in an objective way may fall closer to the “want” category, so make sure you underline the long-term benefits, some of which will be non-financial.
Due to a slight misalignment in terms of priorities and deliverables, CMOs and CFOs are often expected to have a difficult dynamic. Some organizations unknowingly worsen this divide by focusing on the differences between marketing and finance teams, rather than on the many goals they have in common.
Fortunately, there are promising signs that these teams are enjoying the benefits of alignment. According to a 2022 survey of CMOs in the US, almost 80% of marketers rated alignment between their organization’s marketing and finance on goals, strategies, tools, and data in a positive way.
This is up from 65% of respondents to a 2021 edition of the survey. Even better, the same marketers reported that greater alignment led to improved budgets, with marketing spend growing by an average of 10.3% over the prior year.
The future of CFO-CMO relationships
Conclusion
Ready to revamp your relationship with your CFO? Here are our top four takeaways…
1
Take the initiative
If your company doesn’t encourage communication between departments, be proactive. Put your preconceptions to the side and initiate one-on-one conversations with your CFO. You might find you have a lot more in common than you originally thought.
2
Grow your understanding of each other’s goals
Put yourself in your CFO’s shoes and learn about the many responsibilities associated with their role. Ask questions about their long and short-term goals, the challenges they’re facing, and what your marketing team can do to help.
3
Prepare a robust business case
Be ready to discuss every aspect of your pitch, including cost, strategy, success metrics, quantitative and qualitative benefits, cost of inaction, and risks and opportunities. In addition, you’ll need to demonstrate how your proposal aligns with and supports the organization’s wider goals.
4
Treat every conversation as a collaboration
“Teamwork makes the dream work” may be a workplace cliché – but it’s true! An important part of collaboration is giving and receiving constructive feedback, so keep an open mind when discussing an idea with your CFO and consider what they have to say. Remember, you both have a shared goal, and true collaboration will help you achieve it faster.
Growth is never by mere chance; it is the result of forces working together.
James Cash Penney
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (and how to prepare for them)
The future of CFO-CMO relationships
Conclusion
Home
Home
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (and how to prepare for them)
The future of CFO-CMO relationships
Conclusion
Home
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (and how to prepare for them)
The future of CFO-CMO relationships
Conclusion
Home
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (and how to prepare for them)
The future of CFO-CMO relationships
Conclusion
Home
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (and how to prepare for them)
The future of CFO-CMO relationships
Conclusion
Home
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (and how to prepare for them)
The future of CFO-CMO relationships
Conclusion
Home
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (and how to prepare for them)
The future of CFO-CMO relationships
Conclusion
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Get face time in the calendar
Show your CFO that you take your newfound alignment seriously by requesting a meeting with them in advance. You could even book a regular appointment in their calendar. Whether they’re virtual or in person, these meetings are your chance to outline the challenges you and your team are facing.
Prepare an agenda
While your conversation should feel natural, you will need some kind of structure in place in order to get the most out of it. Bring a list of the queries you would like to discuss with your CFO, from budgets to new strategy and campaign ideas. These meetings are also a good chance to update them on the marketing team’s recent successes.
Treat every conversation as a collaboration
It’s tempting to enter a meeting with a laser focus on expressing your own specific goals. But remember that communication is a two-way street. Set the tone for an open and productive conversation with your CFO by asking about their own goals, ambitions, and challenges. Listen carefully to what they have to say, even if it doesn’t fully align with your ideal scenario. Be prepared to consider their needs and adapt your approach if necessary.
Match the CFO’s communication style
Everyone has different ways of communicating with colleagues. Is your CFO a chatterbox, or are they more direct and straight to the point? If you haven’t interacted with them very much before, you might need to be flexible and adjust accordingly during your first meeting. No matter what, keep your conversation friendly and transparent.
Get face time in the calendar
Show your CFO that you take your newfound alignment seriously by requesting a meeting with them in advance. You could even book a regular appointment in their calendar. Whether they’re virtual or in person, these meetings are your chance to outline the challenges you and your team are facing.
Prepare an agenda
While your conversation should feel natural, you will need some kind of structure in place in order to get the most out of it. Bring a list of the queries you would like to discuss with your CFO, from budgets to new strategy and campaign ideas. These meetings are also a good chance to update them on the marketing team’s recent successes.
Treat every conversation as a collaboration
It’s tempting to enter a meeting with a laser focus on expressing your own specific goals. But remember that communication is a two-way street. Set the tone for an open and productive conversation with your CFO by asking about their own goals, ambitions, and challenges. Listen carefully to what they have to say, even if it doesn’t fully align with your ideal scenario. Be prepared to consider their needs and adapt your approach if necessary.
Match the CFO’s communication style
Everyone has different ways of communicating with colleagues. Is your CFO a chatterbox, or are they more direct and straight to the point? If you haven’t interacted with them very much before, you might need to be flexible and adjust accordingly during your first meeting. No matter what, keep your conversation friendly and transparent.
Introduction
How to make your CFO your BFF
Meet our CFO
4 ways to build a stronger working relationship
9 questions CFOs love to ask (...)
The future of CFO-CMO relationships
Conclusion
