Marketing Budget22Budget for marketing in businesses is not a one-size-fits-all. Hence many businesses find it difficult to allocate their budget and know just how much should go towards marketing. The thing is, not all businesses are the same. They all represent different industries and their turnovers are different. So is their marketing and audience.

There are factors that each business should look into when deciding on a budget for marketing. First, ask yourself these questions:

  • What industry are you in?
  • What do you want to achieve with your marketing?
  • What is your total revenue?

After answering the above questions, you can then decide how much you need to market your company. Bear in mind that companies that provide services spend a bit more than those selling products. And for small businesses, it’s a bit complicated than to just simply assign  a percentage and sticking to it. suggests that as a small business, the best way to decide how much of your budget should really go on marketing is to do your research. Take a look at your previous marketing efforts and continue doing what works while reducing your budget on campaigns that don’t bring enough money.

Also, remember that new and emerging brands are looking to capture new market share and develop brand recognition with an audience that has absolutely no idea who they are. So, the new the company is the more expensive marketing is gonna be. But, if you aren’t well funded, make sure your rands are spent wisely and tightly to specific deliverables. There is nothing worse than spending every penny you have to build something the wrong way only to have to start over again. So do it right the first time.

The well established companies / businesses – those that have been around for 5 year and more, don’t need a huge budget for marketing, because their brand is already well known and there is no need for awareness.

Marketing fees can range depending on the age and size of the company and local or global marketing goals.