How to draft a quick marketing budget
Written on the 4 September 2012 by Snap Marketing
The more effective your budget, the greater your profit potential
The rule of thumb for marketing budgets is to set aside anywhere from 1 to 10 percent of sales to spend on marketing per year. However, this figure could be higher when taking other factors into consideration. These include:
How well established your business is: If your brand isn't well known and people haven't heard of it, you should allocate a higher marketing spend.
The industry you're in: Get an estimate of how much your competitors are spending and see how you compare.
Your overheads: How much do you have left to spend after overheads like rent, staffing, insurance, bills etc?
What you can afford: There's no point sending yourself into unnecessary debt.
The reality for many small businesses is that they just don't have deep enough pockets to dip into. So they must make every dollar in their limited marketing budgets work for them. This can be achieved by choosing the best medium with the most exposure. But take these budget tips on board too:
1. Go online
3. Say no
4. Use free tools