Marketing involves some careful and clever planning. To implement a strong and successful marketing plan, you need to maximise your marketing budget. Here are 5 tips to help to spend your marketing budget more wisely this year.
Ad campaigns and pay-per-click marketing are often categorised as media spend. These include adverts on social media sites such as Facebook and Instagram, as well as search engines such as Google or Bing.
You should aim to spend around 20-40% of your digital marketing budget on media spend to reach new customers.
If you are a B2C business, you may find the percentage of media spend will be higher. If you are B2B business, your media spend is likely to be less as B2B businesses often find that unpaid social media channels can offer a higher return on investment.
Unpaid channels are free to use, unlike pay-per-click advertising. You don’t have to pay for your views and clicks – they happen organically. These channels include YouTube videos, blogs and social media sites such as Facebook and Linkedin.
Although you are not paying for any clicks and impressions, they still require a portion of your budget. There is a cost attributed to creating the content, scheduling software or enlisting the help of a virtual assistant.
10-30% of your marketing budget should be spent on resources to create the content. Creating engaging and educational content helps to expand your reach. This can attract new audiences and helps to convert prospective leads into paying customers. Therefore, you are likely to see a great ROI with this cost-effective form of marketing.
Your prospective customers must be able to find you. Smaller businesses with a local presence should focus on search engine optimisation and localisation. Using SEO helps your business rank higher on the search engines and that means it’s easy for future clients to find you. You should aim to spend 10-30% of your marketing budget in this area depending on your business needs.
Lots of businesses are missing out on prospective customers by failing to invest in design for both paid and unpaid channels. Investing in creative design is important as it helps your business stand out in a saturated market. You don’t have to spend a fortune. You can hire freelancers or even do it yourself!
It’s not as scary as it seems. Using free tools such as Canva will speed up the process and often provide ready-to- go templates.
Don’t spend more than 5-10% of your budget on this tactic.
Once you have your new customers, it’s important to keep them!
When you are looking to keep your marketing spend down, focus on your existing customer base. It costs far less to retain existing customers than to acquire new ones. There are often opportunities to upsell.
If you neglect your existing customers, you may miss out on future clients and sales opportunities. Unhappy customers won’t recommend you to their network.
When times are tough, go the extra mile to support and reassure your customers. A common mistake many businesses make is offering their best offers to new customers. Doing this leaves your existing clients feeling undervalued.
Why not reward customer loyalty by:
- Sending them hand-written thank you notes
- Providing exclusive discounts
- Hosting private sales events
- Offering free trials or samples of your latest offerings
The marketing landscape will look different over the next few years. The pandemic has forced many businesses to adapt in the ever-changing world.
For your business to succeed, you need to be thinking more about your customers. The trends are evolving daily pushing many marketers to work harder than ever before. Yet with clever planning, resourcefulness and creativity, your business can still be successful.
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