One of the most often repeated quotes in business is, "If you can't measure it, you can't manage it." It's attributed to the late management consultant Peter Drucker, and it's become so ingrained in business parlance that it's almost cliché.  And people still say it for one simple reason - it's true.

Even in today's complex digital world, measurement to manage still holds true, even if it's considered a very basic concept. And it's precisely the complexity of the world that warrants a closer look at what it means to manage, or more specifically to manage well. Consider some of the biggest issues facing marketers today and how they've challenged paradigms for good marketing:

1. Consumers are more empowered than ever.
   They expect to engage with the brand through multiple media and channels – anywhere and anytime via mobile devices. They expect their interactions with you to have greater immediacy and personalization than ever. And they expect you to remember them, respect their preferences and be relevant.
2. Big Data is here to stay.
   Consider that in 1976, about one percent of all stored data was in digital form. By 2000 that figure was up to 94 percent, and it’s climbing to 98 or 99 percent today. Consumer data outstrips business data – seven exabytes to six – which is not surprising when you think of the vast amount of user-generated content on platforms such as Facebook and YouTube. In addition, Marketing systems churn out gigabytes of data about customers, channels and campaigns, but few organizations can assemble it all to make the best decisions across multiple campaigns, organizational units and business objectives.
3. New contact channels add complexity and dissonance.
   Even small to midsize retailers now reach customers through a dozen or more channels, from traditional call centers, direct mail and email to mobile apps, location-based services and social media, which is only beginning to be understood as a business tool. Brands are struggling to balance all these channels to deliver the best overall results.
4. You don’t control all the channels.
   The company owns its own media channels, such as its website and outbound direct marketing. It also controls the paid media, such as print advertising, digital banners and search engine listings. But channels outside your span of control, most notably social media, are gaining influence and your brand image on these channels must be earned.
5. There’s more opportunity for confusion and noise.
   Many companies routinely launch thousands of campaigns to millions of customers through a wide variety of channels. And with the proliferation of devices, any individual you might want to target is veritably bombarded by messages.  No matter how creative or appealing the message, you can’t afford to broadcast it to indifferent or unlikely recipients.

Given that ever-complicated context, it's easy to understand how the key performance indicators you're using may start to fall short. Or maybe they're still valid, but the standards for what it means to manage well may have changed. The beauty of marketing optimization is that it allows you to accurately capture the complexity of your operating environment and confidently answer important questions, such as:

• Which offers will most likely be accepted by any specific market segment, or across all segments?
• How can you deliver the best value from every campaign and across your portfolio of campaigns?
• How do you identify the strategy that will deliver the best returns from your marketing investments?

 With marketing optimization, you can know whether your marketing decisions will produce the best possible outcomes. As a form of applied analytics, it will enable you to get far more accurate results than you would using the more common business rule approaches. You get a thorough sense of how any changes will affect the outcome, instead of just making changes and hoping they produce the results you want.

 For an interesting view of how the outcomes from marketing optimization translate to ROI, register to download Improve ROI with Marketing Optimization. I promise that when you read it, you'll understand what it means to optimize to manage well.

Let me know what you think.