Large and well-known companies are focusing on promoting growth as the main objective of all departments. That is why they have decided to introduce the highest figure responsible for growth, the Chief Growth Officer. An increasingly booming profile that will probably be highly sought after by marketing departments in the coming years. Do you want to know what is it about? Keep reading!
What is a Chief Growth Officer?
The Chief Growth Officer, Chief Officer, or Head of Growth is a high-level executive (C-level) responsible for managing the growth of an organization. That growth can be measured in revenue, users, buyers, or other internal KPIs, depending on the business and its needs.
He is a professional who could be classified as multidisciplinary, with a profile that performs functions dedicated to business development, sales, marketing, and IT.
What does a Growth manager do?
The CGO is in charge of the internal alignment of the company, shaping the organization, reorganizing, and engaging with potential buyers in each purchase process. In addition, he is responsible for overseeing and fostering alignment across multiple departments, including, but not limited to, marketing, business development, sales, operations, and information technology.
Here are some ways in which a CGO can intervene in different departments:
- Marketing Team: The CGO ensures that all marketing activities are based on a specific value proposition that can be analyzed and measured as customers interact with the campaigns. These insights are then shared with the sales team to help them improve customer acquisition and conversion.
- Sales Team: The CGO also ensures that all sales activities uphold the value proposition and that results are measured at each stage of the sales process. The insights gained are then shared with the marketing team and product team to influence future campaigns and product enhancements.
- Product Team: The CGO oversees all product development activities and ensures that those that provide customer value are prioritized. The insights are then shared with the other teams to optimize customer acquisition, activation, revenue, retention, and referrals.
Although this figure has not appeared to definitively replace the marketing director or to erase it from the organizational charts. It is defined as a renewed, fresh profile with a high multidisciplinary level.
Why do companies need a CGO?
Before the age of the Internet and digital marketing, B2B buyers relied on the marketing department to buy ads and share information about companies, their products, and their services. They also relied on sales professionals to convince them why they should choose their company over another. But this paradigm has changed.
MASTER IN GROWTH HACKING
Today, B2B businesses are positioned more or less in the middle of the purchase funnel before committing to a specific company. What is lacking? A reorganization in growth strategies. Who takes care of it? The Chief Growth Officer.
The Growth Hacking strategy can serve as a path to meet the objectives. From all its functions with the ability to manage and combine each and every one of them, its commercial response is born. The Chief Digital Officer profile was born after renewing the functions of the marketing department.
Does every company need a CGO?
Adding a chief officer to a team has many benefits, but it’s not an essential hire for every business. Like other new additions to the C suite, the CGO is a reflection of a company’s top priorities and focuses.
While some organizations in fast-growing markets may gain a great advantage with a growth leader who has technical skills. Other companies in less saturated industries may not be as concerned about the competition.
On the other hand, having a Head of Growth who can lead the marketing, revenue, product, and data teams to drive business growth will be more efficient and cost-effective than having to hire three or four department leaders.
Duties of the Chief Growth Officer
The CGO is a profile that moves through different areas and that dedicates its functions to marketing, sales, and IT. Therefore, it shares many of the attributes as some of its C-suite peers. Its main functions are:
- Lead the development and implementation of growth strategies for the company.
- Identify new business opportunities and explore new markets.
- Work with the marketing team to develop effective advertising campaigns and marketing programs.
- Work with the sales team to improve efficiency in revenue generation.
- Work with the product team to improve the company’s value proposition and user experience.
- Perform analysis and monitoring of results to measure the success of growth strategies.
- Collaborate with other company leaders to ensure growth efforts are aligned with overall company goals.
Skills of a Growth Director
A Chief Growth Officer (CGO) must have a mix of technical and soft skills to effectively perform their role. Here are a few:
- Analytical Skills: A CGO must have the ability to collect and analyze data to identify trends, opportunities, and challenges in the marketplace and within the company.
- Strategic Thinking: Must be able to develop long-term growth strategies that are aligned with overall company goals.
- Customer orientation: You must be able to understand the needs and preferences of customers and develop products and services that meet these needs.
- Leadership Skills: A CGO must lead and motivate the sales, marketing, and product teams to work together toward a common goal.
- Communication skills: You must have effective communication skills to convey the company’s vision and growth strategies to other leaders and teams.
- Decision-Making Ability: Must be able to make decisions based on data and analytics to drive business growth.
- Ability to innovate: You must have the ability to think outside the box to discover new ways to improve the company’s value proposition and achieve expected growth.