Marketing Secret #45 Develop Your Marketing Budget
As developing and implementing a promotional and marketing calendar could be totally new and foreign to you, it may be difficult to put an exact dollar. At least by having a sense of the bigger picture you are able to start considering costs or if you have a budget, you can consider where it can be invested.
As a side note - when you implement some of your potential strategies and meet with success your thinking will change in regards to marketing budgets. I can guarantee you will alter from
- How much will this cost?
- How much will I make?
You may even change to...
How many more clients will I bring in?
And when you consider the life time value of a customer, then the actual question is...
How much money will I REALLY make?
Investing for success
Okay, so you have a few strategies you would like to implement, but not sure of what to start with. This is where time invested at the beginning will save you thousands of dollars in headaches at the end.
Here is a few simple steps to get you started:
1) Get at least two costings per strategy. This is a time and dollar cost.
2) What is the proposed/desired outcome. This is where you need to err on the side of caution and be pessimistic in your numbers. Don't get silly thinking that you are going to get thousands of enquiries, because it won't happen.
3) What would be the Acquisition Cost? The What?
Ok, Acquisition cost is the total amount spent on the campaign divided by number of leads. Now this can be done as a budget and then compare with the actual income. In some cases, you may have historical data that you can compare against.
If you have never done this specific campaign before...
Ask the Marketer (if you are talking to one) what historical results they can provide for you. Better still, ask if you can contact previous clients so you can speak to them directly.
This is a great way to gauge your investment for your strategy.
Post Campaign analysis
Be specific on the outcome that you were hoping to achieve from each particular campaign and strategy. It is important that you have
these metrics in place for each strategy so you can gauge REAL success:
|The goal measured in total sales
|The goal measured in total clients
|Your average sale from each client
|Your total expenditure for the promotion
If you can start to look at your marketing through this lens, you will quickly learn to manage your hard earned income and gain more bang for your buck.
More importantly the information you gather now will be invaluable for future campaigns and strategies.
Start now! You'll surprise yourself!
Need to get started again and plan out your promotional and marketing budget, if so then reach out to us at email@example.com or book a 15 minute no-obligation call with one of our team.