Companies in the digital media ecosystem excel in culture, embrace diverse teams, and show great advantages in strategic operations and intellectual property creation
8W8 Global Business Builders has developed in collaboration with more than 70 entrepreneurs, founders, leaders, board members, investors and academics the Compound Value Creator Quotient, aka CovQ or in other words: “the company IQ of ‘one company’, and is now publishing the CovQ Digital Media Ecosystem Companies Insights 2023. Companies in the digital media ecosystem include the following categories: AdTech, MarTech, digital publishers and agencies, and related platforms.
CovQ is the world’s first assessment that enables companies, their founders, CEOs and executives, board members and investors to discover a company’s intelligence and quality with respect to value creation, Compounding this is the identification of the most important and critical value drivers that need to be prioritized and developed further. The CovQ assessment is a module of the CovQ value creation operating system encompassing an enterprise IQ assessment, framework, method, knowledge and software for value creation and strategic operations, and the team alignment.
Across all participating digital media companies globally and across all stages, the average CovQ Digital Media score is:
The maximum a company can score is 100. Most companies scored between 50 and 80. The average score for digital media companies is 63.
As is often the case, when the 80/20 rule is applied, the majority of companies do well, plus/minus, or in other words, are pretty average, however, companies that want to really thrive, outperform the competition, and deliver the full potential of their business should get a CovQ score between 85 and 100.
11% of all digital media companies scored 80 or higher.
17% of all digital media companies scored 50 or less
The CovQ score range is very wide > 50
We discovered that:
– Digital media companies embrace diverse teams to deliver better results and take good care of company culture
– Digital media companies struggle to consistently recruit the top talent they really want and need
– Digital media companies are nimble and can make decisions quickly
– Digital media companies need to improve their alignment and leverage data-driven strategic decision-making
– Failure to apply consistent strategic infrastructure tools and methods to ensure consistent communication and continued completion of the most critical strategic initiatives
– Find integrated marketing across all channels, including difficult social networks
– Digital media companies have lower CovQ scores than their non-media tech counterparts (CovQ 63 vs. CovQ 67, CovQ Tech Insights 2022)
– CEOs and digital media management teams score high in visibility and likeability with the public
THE VSohvQ score is divided into five segments:
DEEP IMPACT CREATE VALUE BUILDING
The CovQ assessment segments are Deep Impact Creates Value Building and the respective scores are as follows:
DEEP – express qualities around substance, sustainability, long-term, broader steering
IMPACT – express qualities around the right set of tactical and operational activities having a positive and strategic impact
CREATE – mobilize the necessary teams, use tools and systems to implement and control strategy execution and reporting
VALUE – communicate and share information proactively, consistently and consistently with all relevant stakeholders
BUILDING – leverage specialists, experts, peers and self-development
Here is an example of CovQ results for a board, advisor, consultant, and C-level team:
Key points to remember
Key points to remember about all the digital media companies participating in the CovQ assessment:
- Digital media companies don’t consider their boards and advisors particularly strong
- Digital media companies score high on corporate culture and diversity
- Strategic positioning and exit planning/preparation have a lot of room for improvement
- Majority of digital media companies struggle to differentiate and create meaningful IP
- Integrated marketing/social/sales is an even bigger headache than in other verticals
- Strategic operations is a weakness due to a lack of tools, systems, processes and discipline
- Companies have a lot of benefits from being more focused, because they’re supposed to get distracted
- Scenario planning requires a wake-up call first
- The management of most companies does a solid job with information sharing
- Every business is totally unique and the CovQ score range is very high
- Within a company, various people judge the qualities of the value generator differently, sometimes very differently. Therefore, team-based CovQ assessments provide the most effective results, a structured basis for data-driven strategic decision-making and the development of critical and strategic priorities. initiatives. An outside view can further enhance the holistic perspective.
In any case, there are different ways to look at results and each business needs to develop its own opinion, takeaways, priorities and impactful actions to create and manage, but there are some general questions to ask:
- Should a company have double powers, i.e. very high CovQ scores?
- Should a company fix all the shortcomings i.e. very low CovQ scores?
- Should it be a combination of the two?
- Which and how many strategic initiatives take a company to the next level? Which ones are really critical?
- How do the board, CEO and management set priorities?
- How are strategies monitored?
- How do you bring all this together and measure it continuously?
- Is there a single source of truth?
- How is leadership team alignment measured and developed?
- Can all of this be done with the current setup?
All things considered, insights from companies in the CovQ digital media ecosystem reveal that CEOs, management, boards and investors have found assessing the Compound Value Creator Quotient to be a valuable and structured experience. and used it as a window to identify value creation potentials as well as a framework to structure their mission-critical priorities and strategic initiatives going forward. Leveraging these critical sets of information enables management teams to further grow a business; while increasing focus and reducing risk. The digital media industry evolves very quickly, depends on changes in the rules of the ecosystem owner, is often uncertain, complex and faces fierce competition from all over the world. Therefore, companies need the data, intelligence and tools to generate growth, momentum, transformation and results, to excite their stakeholders by successfully creating value, and so make the respective ecosystems a more efficient and better place.
Ralf Hirt, Founder and CEO of 8W8 Global Business Builders, was also interviewed by Forbes to share his perspective on scaling and compositing – the most powerful force in the universe.
CovQ assessment can be performed 8w8.com/covq
CovQ testimonials can be found on the right here.