Data is the new oil, but according to Steve Kennedy, CMO at Marco’s Pizza, it is not what you have that counts; it is what you can do with it. He suggests that marketers should focus on creating value through actionable insights while utilising artificial intelligence to boost human analysis and not the other way around.

Data Is the New Oil, But Steve Kennedy Thinks Marketers Are Asking the Wrong Question

Marketers have long heralded data is the new oil. However, Steve Kennedy, CMO at Marco’s Pizza, thinks there is something fundamentally wrong with that analogy. In his view, information is no longer scarce since companies can access more data than ever about their customers, reports and analytics. The issue is that despite having access to mountains of information, most businesses do not know how to utilise it to create value.

Kennedy contends that marketers should stop focusing on how much data they have and start worrying about how they can use it to improve decision making. Information only has value if there is a tangible outcome once it has been analysed.

Being Data Rich Isn’t the Same as Being Insight Rich

Steve Kennedy drives the point home that having more data does not always mean having more insights. For instance, having a dashboard full of information is meaningless if you cannot leverage it to get to the bottom of what it means. A company may track consumers’ purchasing patterns on various platforms, but that does little good if they do not fully understand what those patterns signify.

Kennedy argues that marketers should be more careful about the data they collect and ensure it supports decision making processes. He gives a simple but powerful insight, stating, “If it does not have an impact on a decision, it is not that valuable.” That is the ultimate metric for determining whether data has worth, its ability to influence organisational choices. This remark is especially powerful because it speaks to the importance of being insight rich rather than data rich.

Kennedy Sees AI as a Powerful Assistant

AI has enabled organisations to accomplish things that were impossible a few years ago. Kennedy acknowledges the importance of artificial intelligence (AI) in marketing, noting that it has the potential to enhance human analysis. He explains that AI can identify patterns that humans overlook while hastening the feedback loop so that organisations can test their hypotheses.

Kennedy does, however, provide a crucial reminder that while AI is undoubtedly powerful, it does not have a comprehensive understanding of what makes people tick. He argues that in many instances, human analysis is required to grasp the essence of why consumers behave the way they do. According to Kennedy, human characteristics such as intuition, empathy, curiosity and creativity will be required to meet the demands of the modern marketplace.

Why Data Responsibility Matters at Marco’s Pizza

Kennedy has an interesting point when it comes to franchising. At his pizza restaurant chain Marco’s Pizza, Kennedy reveals that they run on a system in which the marketing budget comes from each franchise owner. Every decision they make about spending is done so knowing that they have to deliver to shareholders, but also that “every dollar we spend comes out of a franchisee’s marketing fund.”

Kennedy contends that when it comes to franchising, the data you have must be utilised wisely. He claims that as a franchisor, you have to be responsible enough to recognise when to utilise data to assist franchise owners in getting the most out of their investment.

The Difference Between Being Right and Being Effective

One of the most intriguing things Steve Kennedy says is that in relation to data, being right is never as important as being effective. He argues that when it comes to data, marketers and analysts are correct but ineffective because their analysis fails to have an impact on the organisation. Kennedy claims that CMOs should use data to be more effective and efficient in their efforts to improve organisational decision making.

He believes that the future of marketing will not be defined by choosing between human analysis and artificial intelligence. Business Fortune adds that, marketers should look to combine the best aspects of both to achieve effectiveness in decision making.

 

FAQs

Who is Steve Kennedy?

Steve Kennedy is the Chief Marketing Officer (CMO) at Marco’s Pizza. He is an expert in marketing analytics, artificial intelligence and business transformation.

What does Steve Kennedy mean by “data is the new oil”?

Kennedy believes that there is something wrong with the notion that data is the new oil. According to him, the true objective is to extract actionable insights from the statistics.

Does Kennedy believe that marketers should collect more data?

According to Kennedy, companies should get better at ensuring that the information they collect is relevant. He advises being more aware of what information is used to enhance decision making.

What does Kennedy think about the role of AI in marketing?

Kennedy believes that artificial intelligence (AI) has the potential to be a powerful marketing tool. He believes that it may benefit businesses by recognising patterns, testing and optimising significantly faster than humans. However, he adds human analysis is critical to understanding why customers behave the way they do.

Why does data matter so much in franchising?

According to Kennedy, franchising is a key consideration when it comes to data responsibility. He feels that when it comes to franchising, marketers must utilise data responsibly because their decisions have an impact on a large number of stakeholders.