How to Plan a Digital Marketing Budget

 How to Plan a Digital Marketing Budget

There are a few things to keep in mind while planning a budget for digital marketing, it is important to sort priorities and allocate the funds accordingly. Here are 5 tips that will help you get a clearer picture.

1. Know your costs and revenues

• Depending on the industry in which you operate, the difference between marketing spending as a percent of company revenues can vary.

• Even within the same industry, every company has its approach to digital marketing, based on its target audience, KPIs and goals, the competitive playing field, and more.

  

  2. Set your goals 

• Some researchers state that 27% of marketers rate securing enough budget as their top challenge! Now for the good news: marketers who calculate ROI are 1.6X more likely to get higher budgets.

•  Before allocating your total marketing budget, you need to define your goals for the coming year. 

  3. Align your goals with your company’s strategic goals and vision for growth

• It’s vital to keep the company’s overall strategy on your radar when planning your digital marketing budget.

• Also, maintain a constant line of communication with other departments and with management. 

  4. Determine the budget – but keep it agile

• You may choose to let the campaign run, and see if you can get even more results from it. Then, you can adjust your budget down the road to accommodate for the unplanned increase in spending.

  5. Always be testing (& measuring)

• Even if you plan down to the finest detail and data point, the fact is, once you unleash a campaign, there is often an element of surprise.

• It’s best to evaluate these metrics according to various time frames; in some cases, it can take a relatively long time to estimate their true value.

  
  
  

The fundamental steps are useful when planning a budget and these parameters will surely help you to plan a good budget.