When it comes to marketing, sometimes your eyes are bigger than your stomach. Thinking about your marketing plan takes a lot of time, dedication and thought. With that said, most businesses fail not because they market to the wrong demographic and through the wrong medium (all though that will do it too), failure usually is because most small businesses haven’t even thought about what their marketing budget is. When business owners are asked how much they spend on marketing, there usually is silence in the room – because they don’t know how much they spend.
The point is this…… If you don’t have a budget, you need to create one, now. You need to know what times of the year you need to spend more of it than at other times. If you don’t know what your budget should be, then it’s time you do a little research. Some say as little as 3% of your projected gross sales, others say as much as 8%.
Your budget is going to vary depending on your industry and competition. You need to be serious about your budget, and it should be the second line in your spreadsheet directly after payroll. This way it will never get eliminated.
Many businesses that didn’t make it through the rough economic season all advertised the same way – word of mouth. Word of mouth is powerful, but it can’t be alone without being pushed through marketing.
Create a budet today, you’ll be glad you did for years to come.