ith the economy exhibiting conflicting indicators, it comes as no surprise that companies areadopting a cautious approach and implementing cost-cutting measures. 

Regrettably, marketingbudgets are frequently the initial casualty. In December 2022, we conducted a survey amongnearly three dozen chief Marketing Oficers (CMOs) from prominent consumer companies in NorthAmerica. The findings revealed that, on average, these CMOs reported an 8 percent reduction inmarketing expenditures over the preceding 12 months, as demanded by their company boards.In certain instances, marketing budgets were even subjected to more substantial cuts of 10 to 20percent. Shockingly, one prominent public company went so far as to slash its marketing budgetby over 20 percent. Finding a balance between cost management and maintaining a robust mar-keting presence is crucial to navigate the complexities of today's business landscape.Marketing should be at the table, but not be the meal
Over the past three years, marketers have faced an arduous journey due to the rapid shifts inconsumer sentiment and the rising costs associated with their trade. in an era of economic un-certainty, shoppers have been compelled to prioritize value, leading to a trend of downgradingtheir purchases. In fact, our March 2023 survey revealed that a staggering 80 percent of consum-ers are modifvina their shopping behavior by either adiusting the quantity or pack size of theirpurchases or opting to switch brands and retailers in search of more affordable options.

Simultaneously, marketing costs have experienced an upward trajectory. According to the in-sights gathered from our December survey of chief Marketing Officers (COs), the average costper click witnessed a substantial increase of 20 percentage points in 2022 compared to the previous year.