It’s an age-old question, one that can’t be answered with a single figure. How much should businesses be spending on digital marketing budgets?
If you spend too little, your message won’t make it to your target audience. If you spend too much, you won’t have the budget you need for other important aspects of your marketing plan.
1. Start with a clear direction
The first step in any plan is to pick a direction and focus on a target. What do you want to achieve through your marketing strategy? Do you want to build brand awareness? Do you want to increase your customer base by 5% each month? What is it that your business needs? Digital marketing budgets will become clear once your direction is clear.
2. Digital marketing budgets | analyse past efforts
What strategies did you spend your money on last year? And of those, which ones were most successful? Which ones were lessons learned? The stats are there for a reason; make sure you use them to your advantage. If something worked well in the past, consider why, and go from there. Don’t forget to also set aside some cash for testing new strategies – a lot of marketers keep 20% reserved for experimenting and trying new things.
3. Research industry trends
You need to be up to date on industry trends. You also need to be up to date on what marketing strategies your competitors are using. Do other companies use social media or email newsletters more to stay in touch with customers? Does your landing page invite people to look around? Is it user friendly? Is you ranking way below your competitors in search?
If something’s working for your competition, make it work for you. But if you see them stumbling, use their mistakes to figure out your road to success.
4. Crunch the numbers
Once you’ve set your goals, analysed your past campaigns, and researched industry trends, it’s time to crunch the numbers. Digital marketing budgets should make up a substantial portion of your overall marketing budget. In general, 10%-50% of your total marketing budget should be used for digital.
Once a digital marketing budget baseline has been established, the budget is divided into 4 areas: SEO, PPC, social media, and content marketing.
5. Maximise your budget
Once your budget is in place, make sure you maximise it! That means your marketing needs to be great.
A few things to consider:
- Consistency is essential.Keep your core message the same, whether you’re sharing content through email newsletters, Twitter, or Facebook.
- Invest in quality. Your marketing content represents your brand, your values, your products, and your services. It’s essential to invest in the help you need.
- Cater to your target audience. Knowing your audience will determine not only what you share, but also how you share it. If they’re reading email on mobile, you need to design your newsletter for that. Perhaps they spend a lot of time on Twitter and none on Snapchat, your social media strategy distribution should be similar.
If you’d like to discuss how we can help maximise your digital marketing budgets then please email Sarah on email@example.com or call her today on 0870 062 8760.
You might also like to read our blog post, Business questions you need to be asking to protect your wallet!