• by Ray Schultz , Columnist, April 1, 2025

Email teams may be feeling the pressure from their bosses -- who are now more pessimistic over economic headwinds, judging by the 2025 CMO survey directed by Christine Moorman of Duke University's Fuqua School of Business and co-sponsored by Deloitte and the American Marketing Association.

Of the marketing leaders surveyed, 43.5% reported decreased spending, largely due to continuing inflation. Almost 50% are “less optimistic” about the U.S. economy compared with the prior quarter. 

Corporate sales growth fell to 8.3%, down from 14.1% in 2022, while customer retention and brand-value metrics hit two-year lows, the study states. 

However, profit growth grew by 7.8%, compared to 7.4% in 2024. Still, this is below the peak of 10.7% seen in 2022. 

Despite the tightened numbers, the emergence of new digital technologies and AI have “significantly enhanced” the standing of marketing within organizations. Marketing now leads digital activities in 92% of firms.

But marketing leads revenue growth in only 32% of companies and innovation in just 26% of firms. 

“This gap indicates that marketers’ seat at the table must still be earned,” Moorman said. 

Moreover, the higher profile enjoyed by marketers comes with increased expectations. The top challenge faced by marketers is “demonstrating the impact of marketing on financial results. Next is "securing collaboration across departments for new marketing investments,” a concern that has increased by 24% over two years. 

On a positive note, marketing head counts have grown by 5.4% with similar growth projected for the year to come. But hiring top talent is the biggest people-related challenge for 41.2%. Hiring obstacles include low compensation (22.7%), obstacles to finding expertise (16.7%) and talent scarcity (16.7%). 

Full-time personnel now make up 77.9% of expected hires, down from 82.5% in 2019. There is now increased hiring of full-time and part-time contractors and part-time employees. 

Meanwhile, social-media spending has stalled, with its share of marketing budgets now totaling 11.3% compared to 12.1% in the fall of 2024. Still, spending is estimated to comprise 13.3% of the total spend within 12 months and 18.4% in five years. 

“Social is a very alluring tool for marketers trying to reach a large audience in a cost-effective way,” Moorman says. “This may be tempting them into thinking its payoffs will somehow magically increase over time. Based on these survey results, I recommend that they double down on new growth strategies that have longer-term and more strategic possibilities.”

In another presumably hopeful sign, the use of artificial intelligence and machine learning now powers 17.2% of all marketing efforts -- an 100% increase since 2022. Generative AI adoption has grown by 116% since last year, and organizations reported progress in safety, bias minimization, and hardware investments. 

CMOs indicated that companies are using AI more effectively, leading to tangible business results such as increased sales productivity (8.6% from 5.1% in spring 2024), enhanced 

Firms using AI effectively have “tangible business results such as increased sales productivity (8.6% from 5.1% in spring 2024), enhanced customer satisfaction (8.5% from 6.1%), and lower marketing overhead costs (10.8% reduction, compared with 7.0%),” the study states. 

A total of 281 marketing leaders at for-profit U.S., 99% at the VP-level or higher, were surveyed from January 21 to February 12, 2025.