I have no budget for marketing ! #ABC2020

#13 Diya Selva When you opened your business, I assume that you wanted to grow it.  Unless you have grown too much in a short period of time and cannot handle more business, putting aside some of your budget for marketing is a must. No business would grow if you do not put aside some money for marketing from your budget.

Marketing needs to be one of your top priorities while you start allocating resources during your budgeting. Because if you do not prioritize marketing, you will see the level of profitability also consistently falling. Your marketing activities are what brings customers into your doors. So set those dollar amounts wisely and take your business to the next level.

More often than not business owners have no clue how much to budget for marketing. How do you calculate what percentage to put away? How much money in a year do you budget for marketing activities?

There are two methods in my opinion. A standing rule is that at least 8% of your gross income from the previous month should go towards marketing in the next month. Or if you annually budget, which is the best method, at least 8% of your total income should feed marketing budget for the next entire year.

Marketing Budget Diya Selva The second method is, find out what your competitors are spending on all their marketing activities in the year, even if that includes their website, agency payments, special marketing events, printed mailers and social media. Budget accordingly.

Setting a budget could be a challenge, I understand, but once you have set aside a budget, leave it flexible to fluctuate and experiment to see what works best for you and what doesn’t. Employ proven traditional methods as well as innovative methods. Do not be discouraged when a campaign doesn’t bring in the results you expected. There is no marketing activity that is one size fits all.

There are proven benefits for allocating a strict budget for marketing.

  1. When you set aside a budget for marketing, you can efficiently allocate whatever dollar amount to maximize results. And activities can be scheduled to scatter over time.
  2. Your marketing budget dictates who you can hire and what kind of campaigns you can undertake. That takes a whole big load off your mind when it comes to deciding how to go about marketing.
  3. budgeting diya selva It makes tracking easier and uniform. You can now easily compare the return on investment each month and decide how to direct the next month’s budget depending on the nature and success of the previous campaigns.
  4. It makes coordination and planning easier.
  5. It brings about the discipline that you need to be successful. When you know how much money you have allotted to spend on a certain activity, and you stick by it, you have a better idea off how your money has been spent and how to spend in the future.

We are here to help if you are stuck or overwhelmed for your marketing needs. I have sat down with my clients several times and proven again and again that budgeting for marketing makes life easier and brings in growth oriented results. Get in touch with me today and let’s tailor your marketing plan.

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