There’s an old rule of thumb that five percent of gross revenue should be allotted for marketing (which includes sales and promotions), but in the past years we’ve seen guidelines that range from seven to eight percent for companies with gross revenues over $5 million (12% or higher for lower revenues), with 10% emerging as an average. The Wall Street Journal reports that marketing budgets vary widely by industry with percentages that range from four percent for the energy industry to 24% for consumer packaged goods. You can imagine how large these numbers can grow.
If your business doesn’t command the revenue for large-scale advertising, or if you’d like to increase the impact of your budget without increasing your spending, consider relying more on focused networking. Here are a couple starter ideas that go beyond advising you to increase your activity on social media:
Get involved – You or your colleagues likely already volunteer for a community program, sit on a board, or lead a local scout troop. Make sure that you attach your business credentials to any listings or press mentions.
Teach – Local colleges may need someone with your expertise. If not, volunteer to speak at a business function or hold your own seminar.
Publish – Trade organizations and local media outlets (both online and print) typically welcome guest contributors. If you aren’t up to writing, find a writer to polish up your ideas before submission. (Yes, we ghost write. Call us anytime.)
Be visible – People work with people they know.
Need more ideas…or a custom marketing plan to meet your business growth objectives? Let’s talk.