Over the past decade, we’ve heard so many times, “I can’t afford marketing” or “I don’t how to set a marketing budget.”
One of the first things we tell our clients is, stop thinking of marketing as an expense and start viewing it as an investment! All business owners understand that the 4 core pieces to the business puzzle are; finances, human resources, operations, and marketing. Yes, marketing is as essential to your business as much as the others. Which means it needs to be factored into your business plan right from the start. Here are some key ways you can start to develop a marketing budget for your company.
Create a marketing strategy, FIRST! Before you start thinking about the types of marketing collateral you may be interested in, you need to have an established marketing strategy. What does your messaging look like? Who are you trying to reach with your message? Your defined target audience. Most importantly, what makes your product or service better than the others? All these questions (and more) are answered in the marketing plan and strategy. It’s a well thought out process. Make the time to establish it.
Next, research the different types of marketing collateral and tools and determine if they’re right for your target audience. You may be drawn to billboard ads or brochures, but do those pieces resonate with your audience? Messaging matters most, but the materials are important as well.
Lastly, establish specific measurements for your return on investment (ROI). Small business owners always want to penny pinch when it comes to their marketing budget. Even when they’re not even keeping score with the money they already poured into it. You have to keep score to make adjustments for the future. With understanding of your company’s business objectives and financial goals, it’s easy to measure your marketing ROI. To help you create with your marketing scorecard, start with the following in mind: customer value, networking efforts, advertising, public relations, and branding. Financially, you have to set things up to measure effectively. From there, you put together a strategy for each, that exceeds the goal.
Don’t give up on your marketing before you even start! Develop the strategy, research, and establish specific measurements for your ROI!
Solving problems such as how to determine a marketing budget is exactly why I created the Sumnu Solutions Zone, a space for small business owners and entrepreneurs to learn and master the marketing process, through the Twelve Steps of Marketing!
President/CEO – Sumnu Marketing – www.sumnumarketing.com
Creator – Sumnu Solutions Zone – www.sumnusolutionszone.com