MARKET RISK

Why don’t CEO’s consult their CMOs more frequently on innovations?

By our African Marketing Confederation News Team | 2025

Too many CEOs may have a blind spot when it comes to introducing tech innovations: they consult the CTO but not the CMO.

New research by Macquarie Business School in Australia shows CEOs turn to their Chief Technology Officers, not their marketing gurus, when faced with radical innovation decisions.

Apple overlooked crucial customer insights with its Vision Pro glasses

The researchers say an example of how this can be a mistake is when Apple released its Vision Pro glasses in 2023 to an underwhelming consumer response. 

 

While the technology was impressive, Apple CEO Tim Cook overlooked crucial customer insights – beyond the high price – including people’s reluctance to wear bulky facial devices for long periods. 

 

What became a US$1.4-billion misstep for Apple is a lesson for every business. For CEOs, the stakes are high: invest in the wrong project and millions can be lost, but miss the right bet and competitors surge ahead. 

 

The Macquarie Business School study involved more than 500 CEOs and business owners, and reveals who leaders turn to when the path ahead is unclear. The findings are published in the peer-reviewed academic journal, Research Policy. 

 

“Ample evidence shows having a CMO in the senior leadership team positively affects a firm’s performance,” says Associate Professor Nidthida Lin. “We need to help CEOs draw on their CMOs’ deep customer knowledge to also drive radical innovation.” 

 

Why the CTO voice dominates 

 

When CEOs received conflicting advice – such as a CTO recommending investment in a new technology, while the CMO warned customers might not buy in – most backed the tech expert. 

 

That bias makes sense in high-tech industries, but it highlights a critical blind spot: market risk is often underestimated. 

 

Professor Ralf Wilden says market acceptance is vital to any launch, noting that “radical innovations are as much about technological breakthrough as market acceptance”. 

 

The forgotten voice of the customer 

 

Perhaps surprisingly, the study found little evidence CEOs listen to their CMOs when customer demand is unclear. Many were confident in judging market conditions themselves. 

 

That mindset is risky when shifting consumer preferences and global competition can make or break a product. Ignoring marketing insight risks repeating Apple’s Vision Pro mistake – which is creating technically brilliant products that nobody wants. 

 

Researcher Saad Khan believes larger firms could learn from the agility of start-ups. 

 

“Maybe it’s time for bigger organisations to learn from start-ups,” Khan says. “CEOs must keep financial metrics top of mind, but they also need to weigh market value, such as potential demand and customer needs.” 

 

You can find out more about the research here. 

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Jason Lottering
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    Dr Kin Kariisa

    Group CEO - Next Media

    Dr. Kin Kariisa is an extraordinary force at the helm of Next Media Services, a conglomerate encompassing NBS TV, Nile Post, Sanyuka TV, Next Radio, Salam TV, Next Communication, Next Productions, and an array of other influential enterprises. His dynamic role as Chief Executive Officer exemplifies his unwavering commitment to shaping media, business, and community landscapes.
    With an esteemed academic journey, Dr. Kariisa’s accolades include an Honorary PhD in exemplary community service from the United Graduate College inTexas, an MBA from United States International University in Nairobi, Kenya, a Master’s degree in Computer Engineering from Huazong University in China, and a Bachelor’s degree in Statistics from Makerere University.
    Dr. Kariisa pursued PhD research in Computer Security and Identity Management at Security of Systems Group, Radboud University in Nijmegen, Netherlands. As a dynamic educator, he has shared his expertise as a lecturer of e-Government and Information Security at both Makerere University and Radboud University.

    Dr Kin did his PhD research in Computer Security and Identity Management at Security of Systems Group, Radbond University in Nigmegen, Netherlands. He previously served as a lecturer of e-Government and Information Security at Makerere University in Kampala, Uganda and Radbond University in Netherlands.

    Dr Kin did his postgraduate courses in Strategic Business Management, Strategic Leadership Communication and Strategies for Leading Successful Change Initiatives at Harvard University, Boston USA.

    • Other current and previous roles played by Dr Kin Kariisa:
    • Lecturer of e-Government and Information Security to graduate students at Makerere University, Kampala and Radbond University in the Netherlands
    • Director of Eco Bank Uganda Limited, one of the largest banks in Africa
    • Chairman of the National Association of Broadcasters, an umbrella industry association for all Television, Radio and online broadcasters in Uganda.
    • Chairman of Board of Directors of Nile Hotel International, that owns the leading hotel in Uganda, Kampala Serena Hotel.
    • Chairman of Board of Directors of Soliton Telmec Uganda, the leading telecom company in Optic fibre business managing over 80% of optic fibre in Uganda.