It depends. That’s the short answer. Where you spend your digital marketing budget may take priority over how much, in all, you spend. Deciding where to allocate your budget requires an analysis of numerous factors: your business size and type; your company’s goals; and how much risk you want to take, to begin with. Read on to learn more about directing your spend on digital marketing.
Keep Your Digital Marketing Budgets Flowing
Many companies tend to cut back on spend for digital marketing, thinking of it as a luxury that can wait until the business has extra money. While spending too much on digital marketing can be risky, so can pulling back. If companies spend less on digital marketing, they may get left behind in search engine rankings and may have to spend more money later to regain their position. The key to allocation may be targeted spending in areas with the most potential for success and that advance business goals. Individual businesses need to assess key factors to determine where to direct digital marketing spend.
Align Digital Marketing Budgets With Business Goals
Each business–especially small to medium-sized–needs to consider certain key factors in planning spending on digital marketing. One key factor is your marketing reach. If you want your reach to go beyond your existing customers, you may need to increase your digital marketing budget for ads (such as Google AdWords) to keep impressions running longer throughout the day. Consider increasing the budget to improving your website so that visitors have a positive user experience when they arrive. Another way to learn what works is from your competitors–what works for them, and what insights can you gain from this knowledge? Consider your “must-do’s”–the things that will deliver the greatest return on investment (ROI)–as the nucleus of your marketing plan, and add on other things like social media or ads.
Digital marketing done well–with your budget focused on the most effective means for your business–can help you get attention online. For help developing your budget, contact us today.