The Multiplier Effect in Marketing where Brand and Demand Work in Harmony
For too long, marketing teams have operated under a false dichotomy and avoided the multiplier effect in marketing. The false dichotomy creates a distinction between brand building and demand generation.
CMOs approach both subjects as they are fundamentally different, even competing, priorities. In many organizations, brand marketing is seen as long-term and intangible, while demand marketing is short-term and measurable.
WARC’s “Activating the Multiplier Effect” report emphasizes that brand and demand are not on opposite ends of a spectrum. They are powerful allies; when they work together, they don’t just add value—they multiply it. That is the essence of the multiplier effect in marketing.
We will dive deep into why the multiplier effect is critical for modern marketing and how CMOs can foster the conditions that make it possible.
Brand and demand – better together
Brand marketing focuses on building long-term equity, emotional connections, and identity in consumers’ minds. Demand marketing is more immediate, targeting actions and conversions, often through digital channels. In isolation, each discipline delivers value.
Isolating brand and demand can negatively impact growth.
In the late 2000s and early 2010s, Nike made a strategic pivot to focus more on digital engagement and data-driven campaigns, through platforms like Nike+ and social media, while reducing big-budget, emotion-driven brand campaigns.
While efficient in the short term, this strategy came at the cost of brand salience and emotional connection, especially among younger audiences. Competitors like Adidas invested heavily in partnerships and bold storytelling, surpassing Nike.
This incident perfectly illustrates the dangers of decoupling brand from demand and how even the most dominant companies can lose momentum when they neglect the emotional foundation that powers long-term growth. But in coordination, they can become growth engines.
On the other hand, demand-led brand strategies also play a vital role.
Take Instacart, for example. Initially known for convenience and utility, it used demand marketing data, like customer preferences, shopping behaviors, and usage patterns, to refine its brand promise. Instacart rebranded with messaging around nourishment, family, and quality of life as it grew. Here, performance insights led the brand evolution, making it more relevant and resonant.
This two-way relationship, brand fueling demand and demand informing brand, creates the multiplier effect. When marketers think in silos, they miss this potential. When they believe in systems, everything changes.
Why the multiplier effect in marketing matters now
Marketing is under greater pressure than ever, due to tariffs, AI, recessions, signal loss, and tightened privacy laws. CMOs are expected to deliver measurable returns while also building enduring value.
The economic environment, evolving media consumption, and increased scrutiny from CFOs mean marketing spend must work harder and smarter. In this context, the multiplier effect becomes a strategic and necessary advantage.
McDonald’s offers a compelling example of how this works in practice. Known globally for its brand consistency, McDonald’s doesn’t rest on past equity. It continuously fuels its demand marketing with brand equity and vice versa.
During the pandemic, the company launched campaigns reinforcing familiarity and trust while pushing digital orders and delivery. In 2020, Travis collaborated with McDonald’s and recreated his childhood favorite Quarter Pounder for just $6, across the USA.
McDonald’s sales skyrocketed. Quarter Pounder sales doubled in the first week and grew 10% in four weeks, raking $50 million in incremental revenue.
The result was a rare combination: strong sales growth and strengthened brand perception. McDonald’s showed that when brand trust supports performance marketing and immediate consumer behaviors feed back into brand storytelling, the effect is multiplicative.
CMOs should take note. The market no longer rewards marketing that works in isolation. It rewards marketing that creates harmony between short-term results and long-term meaning.
Shared goals translate into shared success
Achieving the multiplier effect requires more than integrated campaigns. It requires a fundamental realignment within marketing organizations.
Too often, brand and demand teams are measured against entirely separate KPIs, use different tools, and speak different languages. This misalignment leads to miscommunication and missed opportunities.
Shared goals are the foundation of collaboration. When teams rally around customer-centric objectives, like lifetime value, retention, or share of voice linked to share of market, they work toward common outcomes.
Unified measurement systems that connect brand health metrics with performance metrics make it possible to see the whole picture.
Marketing also needs to be aligned with broader business goals.
When the organization can act clearly and purposefully when marketing, sales, product, and analytics teams are in sync, it’s not about forcing uniformity but creating a shared vision that allows diverse strategies to flourish under the same umbrella.
Embracing differences to thrive
One of the myths holding marketing back is that creativity and analytics are fundamentally at odds.
In reality, they are complementary forces. The most successful campaigns are born from a fusion of emotional insight and empirical data. CMOs must actively create environments where both perspectives are valued and empowered. That means recruiting and retaining both analytical minds and creative storytellers.
The collaboration between these seemingly opposite skill sets is where the multiplier effect in marketing is most visible. Creative teams create more effective work when they understand the data that drives conversions.
Spotify Wrapped is a perfect campaign, combining empirical data with emotional storytelling. That creates a multiplier effect where brand equity, customer delight, and growth metrics all rise together.
Spotify uses billions of data points from user behavior to create hyper-personalized, shareable stories for each listener.
While presenting the users’ data, Spotify humanizes it. The messaging taps into identity, nostalgia, pride, and humor, turning cold stats into meaningful self-expression.
When performance marketers understand the brand values, they target more strategically.
CMOs must enable the multiplier effect in marketing
Creating the multiplier effect is not a one-time strategy. It is a continuous practice of integration, alignment, and evolution. CMOs play a central role in orchestrating this harmony.
First, they must break down internal silos. That signifies building integrated marketing teams or fostering deep collaboration between brand and performance units.
Second, they must align KPIs across disciplines. Shared accountability drives shared success.
Third, CMOs should invest in measurement frameworks that show how brand drives performance over time and how performance marketing can contribute to brand perception.
Celebrating wins that result from collaboration also matters.
If only demand-side metrics are rewarded, brand teams will always be marginalized. If only brand awards are celebrated, performance marketers will disengage. Recognition and reward systems should reflect the interconnected nature of modern marketing.
Finally, CMOs need to lead by example.
When they communicate the value of harmony, demand integration, and reward cross-functional impact, they signal that marketing is not just a department but a system. Confidence, clarity, and connection must define their leadership.
Cut to the chase
The most successful marketers know that brand and demand are strongest when they work together. The multiplier effect in marketing is a roadmap for achieving durable, scalable growth. When attention is fleeting and competition is fierce, the brands that thrive will multiply their efforts, not divide them.
