Should I Set A Marketing Budget?
Lots of businesses fly by the seat of their pants. They buy whatever sounds good at the time. Other have a plan and a strategy. Your advertising dollars should be determined by something other than last year’s tax return. Here are a few reasons why one of the smartest things you can do in business is to set a marketing budget.
Why Set a Marketing Budget?
- A marketing budget helps prevent overspending. How many times have you gone to the grocery store needing 2 or 3 things and come out with an entire cart of groceries? Try going into the store with only $30 in cash and see how closely you pay attention to what you are buying. Then, try to spend your marketing dollars the same way. Plan what you need and stick to it. You can always decide on more in an annual or quarterly review.
- A marketing budget helps keep you focused. If your marketing efforts are primarily B2B, your marketing dollars need to be spent in a place that offers you that kind of exposure. Once you know your target market , your business can do its homework and focus on the appropriate marketing avenues in order to maximize the returns.
- A marketing budget helps determine ROI. When you set a budget and wisely allocate your advertising dollars, determining the return on your investment is much easier and more rewarding. If the campaign did or didn’t produce the desired results, you will know and you can react accordingly with future marketing strategy.
A good marketing strategy and budget will help your business stay focused