After deciding when to hire a CMO, what to look for in a CMO, and how to hire a CMO, you’ve likely been able to find a few potential candidates. Once you’ve asked some great interview questions, it’s time to start thinking about what to pay a CMO.
It can be difficult to determine what to pay a CMO. Here are four factors your company needs to consider when negotiating salary with a potential chief marketing officer.
1. Your company’s size
Studies have shown that smaller companies tend to pay less than larger companies. Your company’s size and the workload your CMO will be responsible for can have a significant impact on salary and benefits.
Education is important at the executive level. A chief marketing officer with an advanced degree has a large amount of specialized knowledge that will benefit you and your company. The more specialized knowledge a candidate has, the more they can contribute as the CMO.
While formal education is an important consideration when it comes to determining salary, it’s also important to examine a candidate’s professional history. Outside of a formal degree, a person’s work experience shows you what they are capable of accomplishing as an employee. Candidates with a stronger career offer more value to the position, making them more valuable employees.
Experience in fields outside of marketing can be relevant, as well. If a candidate has experience in other areas of your industry, this added bonus could be enough to warrant a pay raise. Compare your candidate’s skill set with what you look for in a CMO and decide how much you are willing to compensate them for their expertise.
4. Bonuses, stock options, and other benefits
Executives such as the chief marketing officer often receive bonuses, stock options, or even equity. If you are offering similar benefits, remember to factor in their value when you’re deciding what to pay a CMO. In addition, be sure to mention these benefits early in the salary negotiation process.
You might be interested in these other posts about hiring a CMO:
– When to Hire a CMO
– What to Look For in a CMO
– How to Hire a CMO
– 15 Amazing CMO Interview Questions
How did your organization decide what to pay a CMO? Let us know in the comments.
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