The commoditization of marketing production in the era of AI and the shift from volume to value
Author: Emiliano Giovannoni
A long-standing, well-known recipe for marketing success is driven by a simple equation: more output equals more results. This involves gaining visibility through increased volume and pacing by activating more channels, campaigns, posts, articles, and so on to secure greater exposure.
The dominant strategy of 'volume marketing' relies on increasing output to enhance performance. Marketers would focus on ramping up production and releasing campaigns at increasingly rapid speeds to cut through the noise, and for many, this approach has proven effective.
The future of volume marketing and zero marginal cost scenario in marketing production
In the age of AI, this once-reliable strategy is experiencing diminishing returns. As more output is generated, it becomes increasingly difficult for any single message to stand out, and the content becomes less valuable to users.
The process of commoditization of marketing production began with the offshoring of marketing production services, where a significant portion of marketing tasks was shifted to low-cost economies. Artificial intelligence has compounded this effect, accelerating the shift toward a zero marginal cost scenario in marketing production.
The AI productivity boost to marketing output means we are approaching a world saturated with content, and simply doing more is no longer enough.
EEAT and the shift from volume to value
To address the challenge of distinguishing content in an environment where virtually unlimited content can be produced at a fraction of the cost, Google introduced the E-E-A-T guidelines (E-E-A-T, stands for Experience, Expertise, Authoritativeness, and Trustworthiness).
These guidelines are used to evaluate the quality of newly published web pages and their content, recognizing and rewarding material that is
original, authoritative, and trustworthy.
This directly challenges traditional content marketing strategies that rely purely on volume.
The focus is no longer on volume, but on producing original, authentic content that delivers real value to customers.
Authority. Authoritative content positions the brand as a reliable source of knowledge. It involves investing in expertise and ensuring that content is created by individuals with genuine experience and deep subject matter knowledge. This approach guarantees that the content is not only accurate but also insightful, helping to distinguish the brand as a credible and trustworthy source of information.
Authenticity. Creating original content that comes from the brand’s own experiences and firsthand accounts fosters a genuine connection with the audience. It reflects true values, beliefs, and insights that resonate with the audience on a personal level.
Delivering real value: Prioritizing the creation of content that genuinely addresses the audience’s needs, solves their problems, and offers unique insights makes it a valuable resource that people actively seek out and return to.
A cultural and strategic change
Repositioning marketing production to address the challenges of a commoditized market is not just a tactical shift; it requires a complete redevelopment of strategy and a cultural adjustment. This involves moving from high-paced, rapid turnaround marketing execution to a more in-depth review of assets and resources.
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FAPI Marketing Framework Academy
In today's fast-paced business environment, marketing can't afford to operate in a silo. When sales, product development, and marketing teams aren't on the same page, the result is often a disjointed customer experience and wasted effort. But how can organisations bridge these departmental divides? The FAPI Marketing Framework offers a powerful solution, creating a structure that doesn't just manage tasks, but actively cultivates collaboration. The framework's strength lies in its ability to foster a unified, cohesive approach to all marketing efforts. Let's explore the key mechanisms it uses to break down silos and get everyone pulling in the same direction. Building a Unified Front with Cross-Functional Teamwork At its core, the FAPI Framework is built on the principle of inclusion. It explicitly champions the creation of cross-functional teams, ensuring that key stakeholders from across the organisation are involved in the marketing process from the outset. This isn't just about inviting other departments to a meeting; it's about embedding them into the process. Through structured "project events," representatives from various departments actively participate and contribute. This inclusive approach dismantles the "us vs. them" mentality and fosters a powerful, shared sense of ownership and accountability for the success of marketing initiatives. When everyone has a hand in building the plan, everyone is invested in its success. Clarity Through Structure: Defined Roles for Seamless Coordination Collaboration can be chaotic without clear leadership and structure. FAPI addresses this by establishing well-defined roles that facilitate, rather than hinder, teamwork. Two roles are particularly critical for ensuring smooth marketing coordination : The Plan Master: This individual is the central hub for collaboration. The Plan Master is responsible for assembling the dedicated project team, enabling effective communication between all members, and coordinating the various activities required to achieve the marketing objectives. They act as the conductor, ensuring all parts of the orchestra are playing in harmony. Functional Leads: These individuals are the experts from different functional areas (like digital, content, or product marketing). They provide essential cross-functional support by coordinating resources and lending their expertise to the plan. Functional Leads collaborate directly with the Plan Master to develop specific modules of the strategy, ensuring that every component is both effective on its own and perfectly aligned with the broader plan. The Cornerstone: Promoting Communication and Understanding Finally, the FAPI Framework promotes the single most important ingredient for successful collaboration: communication. By creating a structured environment where different departments are required to interact, the framework naturally enhances communication and deepens mutual understanding. This constant dialogue minimises the risk of misalignment between marketing activities and overarching business objectives. It ensures that the creative campaign designed by the marketing team supports the sales team's targets and reflects the latest product updates from the development team. The result is a cohesive strategy where all efforts are synchronised and contribute directly to the organisation's most important goals. In short, the FAPI Framework is more than just a tool for planning—it's a blueprint for building a collaborative culture that drives powerful, unified results.
In the world of marketing, accountability can sometimes feel like a moving target. But what if there was a system that made progress and responsibility visible at every turn? The FAPI Marketing Framework does just that, and one of its key mechanisms is the use of Defined Deliverables at each stage. The FAPI Framework is designed to highlight accountability in marketing , ensuring efforts align with overall business objectives. While it establishes clear roles and responsibilities and emphasizes performance measurement, cross-functional collaboration, continuous improvement, and budgetary accountability, the structure of its deliverables is a powerful tool for transparency. The Framework is structured with clear deliverables at each stage, which makes progress and accountability visible. Think of these deliverables as essential milestones, showing exactly what should be completed at each phase of the project and who is responsible for delivering it. This ensures that responsibilities are met throughout the project stages. Here's a look at the specific deliverables associated with each module in the FAPI Framework, as outlined in the source: For the Frame Module, the deliverable is the Strategy Brief. This brief outlines the business vision and strategic goals, setting the foundation for the entire project. Its completion signifies that the initial strategic direction has been defined and agreed upon. Moving to the Architecture Module, the deliverable is the Marketing Playbook. This is a detailed operational document designed for execution, translating the strategy into concrete plans and processes. Having this document ready demonstrates that the operational blueprint is complete. In the Production Module, the deliverable is the activities themselves. This means the tangible output of the marketing work – whether it's creative assets, campaign launches, content creation, etc. – serves as the deliverable. This directly shows that the execution phase is underway and producing results. Finally, for the Insights Module, the output consists of reports and recommended actions. This deliverable shows the results of performance analysis and provides data-driven suggestions for next steps. These defined deliverables act as checkpoints, ensuring that progress is visible and that stakeholders are held accountable for their contributions at each phase of the project. By clearly outlining what needs to be produced at every step, the FAPI Framework builds transparency and ensures that marketing efforts contribute effectively to the organization's overall success. Don't let accountability be an afterthought! Enroll in the FAPI Marketing Framework Certification Course today and gain the skills to lead effective, transparent, and accountable marketing initiatives that deliver measurable results.
The FAPI Marketing Framework focuses on a system-based approach to marketing, with the Insights Module playing a vital role. This module utilizes data analysis and feedback to drive continuous improvement throughout the entire marketing system. 1. Focus on the Insights Module The FAPI Marketing Framework utilizes data and analysis to drive an iterative process of continual improvement in marketing strategies. The insights gleaned from audience data inform decision-making, emphasizing the importance of understanding both the 'what' and the 'why' behind observed trends. 2. Understanding Audience Behavior Audience-focused analysis is a fundamental aspect of the Insights Module. The FAPI Framework encourages marketers to explore audience behavior , preferences, and needs in depth. This approach aligns with traditional audience research but enhances it by making the understanding of the audience a real-time, evolving process rather than a one-time effort.
Chasefive Wins "Most Innovative Marketing Management Consultancy 2025"
In today’s competitive business landscape, the FAPI Marketing Framework offers significant advantages to marketing departments by providing a systems-based marketing approach to problem-solving. Instead of focusing solely on immediate challenges, this framework encourages marketers to understand how all components interact to form a cohesive whole. The FAPI Marketing Framework is designed to guide business and marketing leaders in organizing and building high-performing marketing functions. Grounded in systems thinking principles, the FAPI Marketing Framework emphasizes addressing structural elements for sustained marketing success. This article explores how the FAPI Marketing Framework embodies systems thinking, offering a holistic approach to marketing strategy and execution. Core Principles of FAPI as a Systems Thinking Methodology Comprehensive, End-to-End Structure: The FAPI Framework provides a comprehensive structure covering all aspects of the marketing process, from planning to execution and analysis. This coherent approach ensures a seamless marketing experience for customers by connecting each phase of the marketing process. Emphasis on Interdependencies: The Framework recognizes marketing as an interconnected system. The components within the four Modules of the FAPI Marketing Framework are intricately linked, forming a system of interdependencies. Each component plays a crucial role in the overall effectiveness and success of the marketing strategy. Iterative and Adaptive Nature: The FAPI Marketing Framework diagram visually demonstrates the iterative nature of the marketing process, emphasizing continuous learning, adaptation, and optimization. This cyclical process ensures that the marketing strategy and execution are continually adapted to changing market conditions and evolving customer needs. Holistic View: The FAPI Marketing Framework takes a holistic view, addressing the complexities of marketing organizations by considering them as parts of a larger system rather than in isolation. This approach is ideally suited for navigating the complex web of factors in modern marketing. FAPI Marketing Modules as a System The FAPI Marketing Framework is composed of four sequential Modules: Frame, Architecture, Production, and Insights. Each Module empowers marketing professionals and business leaders to fully realize their department's potential and achieve optimal results. The sequential nature of these Modules ensures a comprehensive and well-rounded marketing management structure. Frame Module: Sets the strategic direction and vision for the marketing plan. It acts like an ‘auditʼ to ensure all strategic components are covered, agreed upon, and understood. Architecture Module: Translates the Strategy Brief from the Frame Module into a detailed operational plan, defining marketing channels, performance metrics, and content requirements. Production Module: Focuses on executing the marketing plan. Activities here translate strategy and planning into tangible actions that engage the target audience. Insights Module: Ensures continuous improvement through data analysis and feedback. It ensures that data and analysis lead to informed decisions that optimize future marketing efforts, making the process continuous and iterative. Key Roles and Responsibilities within the FAPI Marketing System The FAPI Marketing Framework assigns clear roles to ensure successful implementation. The Plan Master acts as the central figure, leading the project and overseeing the entire Framework execution. Supporting the Plan Master are the Functional Leads and Production Executives. The Leadership Team provides high-level guidance and receives updates on project progress and ROI.
Marketing departments worldwide allocate their budgets strategically across three major cost categories: Media (Advertising), Tools (Martech), and Labor (External Resources like Freelancers and Contractors). The latest data, expressed in billions of dollars, provides insight into how businesses prioritize their marketing investments. Marketing Budget Allocation Overview The global marketing spend is distributed as follows: Media (Advertising): $1,088 billion (87%) Tools (Martech Software & Platforms): $121 billion (10%) Labor (Freelancers & Contractors): $45 billion (3%) This breakdown reveals a strong emphasis on paid media as the dominant marketing expenditure, with a notable portion allocated to marketing technology (Martech) tools, while external human resources remain a smaller but significant component of marketing budgets . Key Insights from the Data 1. Media (Advertising) Takes the Lion’s Share (87%) Advertising continues to be the largest cost item, accounting for nearly nine out of every ten dollars spent on marketing. Businesses rely heavily on paid media channels, including: Digital Advertising (Google Ads, Social Media Ads, Display Networks, and Programmatic Buying) Traditional Advertising (TV, Radio, Print, and Outdoor Media) Influencer and Sponsorship Campaigns The sheer dominance of media spend highlights the industry’s dependence on customer acquisition and brand awareness campaigns, fueled by digital transformation and the increasing role of online advertising in global markets. 2. Martech Tools Account for 10% of Spending Marketing technology, or Martech, has emerged as a critical enabler of modern marketing strategies. At $121 billion, Martech spend includes: Customer Relationship Management (CRM) Software Marketing Automation Platforms (e.g., HubSpot, Marketo, Salesforce) SEO, Analytics, and AI-driven Personalization Tools Email and Content Marketing Software The Martech investment reflects the growing need for data-driven decision-making, with companies focusing on automation, personalization, and efficiency in customer engagement. 3. External Labor (Freelancers & Contractors) Remains a Small but Strategic Component (3%) Despite the rise of freelancers, gig workers, and marketing contractors, spending on external labor accounts for just $45 billion globally. This category includes: Freelance Copywriters, Designers, and Developers Performance Marketing Consultants SEO & PPC Specialists Fractional CMOs and External Strategy Advisors Many companies leverage contractors for specialized projects, particularly in content marketing, SEO, and campaign execution, rather than hiring full-time employees. The 3% allocation suggests that while outsourcing is a cost-effective approach, most companies still rely on in-house teams and agency partnerships for execution. Trends Shaping Marketing Spend in 2024 and Beyond 1. Shift Toward Performance-Based Media Spend With advertising accounting for the majority of budgets, there is increasing pressure on ROI-driven ad spending. Companies are moving toward performance marketing strategies , where every dollar spent is measured against direct business impact (leads, conversions, and revenue growth). 2. Martech Investments in AI and Automation As Martech tools continue to evolve with AI and machine learning, companies are prioritizing platforms that streamline workflows, improve targeting, and enhance customer experiences. Expect Martech’s share to grow as businesses seek efficiency through predictive analytics, chatbots, and AI-driven personalization. 3. Growth in Freelance & Fractional Roles While external labor spending remains relatively low, the rise of fractional CMOs, freelance growth marketers, and contract-based specialists is changing how companies approach talent. Businesses are embracing flexible workforce models, particularly for highly specialized skills in digital and performance marketing. How Companies Can Optimize Their Marketing Budgets Given the current spending distribution, marketing leaders must: Ensure media spend is performance-driven, prioritizing ROI and customer acquisition cost (CAC) management. Leverage Martech strategically, investing in automation, AI, and data analytics for efficiency. Balance in-house and outsourced expertise, using freelancers and contractors for specialized, cost-effective execution without unnecessary overhead costs. The marketing landscape is evolving, and agility in budget allocation will define competitive advantage in the years ahead. Would you like a more detailed industry-specific breakdown or recommendations based on company size? 🚀
