How much should you spend on marketing? There are various forms of marketing and every business is different. Ask yourself what you want to get out of marketing your business. Be clear on your objectives. Outlined below are tips to consider before spending any budget on marketing.
Spend on what is measurable
Digital marketing is measurable. You can carefully track pound for pound spend. Don’t waste money on marketing that you can’t track. A lot of digital marketing costs are lower than spending on other types of marketing.
Get expert advice
Instead of trying to work it out for yourself, get experts to advise you. A digital agency can help you work out the best digital marketing strategy for your business. Digital agencies have expert knowledge and can test out different marketing approaches. Digital campaigns are tracked, and data is used to report on campaign success and to refine marketing efforts.
How much is a lead worth to you?
A basic way to put a price on the amount you should spend on marketing is how much a lead is worth. Of course, leads vary, jobs come in different sizes, but if you work out your average rate, you can start here.
How many potential leads do you convert, once they come through to you?
Let’s say your average conversion rate for leads is 40%. Then you will need to be realistic when dealing with a digital agency who is doing your marketing for you. Let’s say the agency gets you 10 good leads, and you convert 4 of them. Consider it this way; if you increase your conversion rate, you would get more value out of your digital agency.
Here is why you need to work with an agency
Investing in digital marketing and working with an agency is beneficial for many reasons. An agency will ask you questions that will:
- Help you redefine, or determine your brand guidelines
- Determine your target market
- Analyse leads you are getting in vs leads you want to get in
- Assess who your real competitors are vs who you think your competitors are
Reporting on your digital marketing campaigns will help you define future marketing plans. Data reveals invaluable consumer behaviour patterns.
Track and record
If you don’t have one already, set up a way to track your client data, e.g. a Client Relationship Management (CRM) system. Keep it simple. Keep track of where your clients came from, what product or service they use, and any other relevant details you want to include.
Organized client data will allow you to see who your most valuable clients are. Remember the 80/20 principle. Give your top customers extra attention.
Data-driven digital marketing can reveal valuable insights for your business
Digital marketing is data-driven and measurable. Campaign analytics reveal valuable insights into your customers. This can transform your business and result in far higher future profits.
Data can reveal your clients’ spending habits and how they interact with your product and website. Data helps to predict their future spending habits.
Why working with a boutique agency is beneficial to SMEs
Boutique agencies understand exactly what you go through on a day to day basis as an SME. As a result, they offer a much more personal approach. Boutique agencies provide lead driven digital marketing solutions.
Time freed up for you, while digital results come in
Working with an agency will free up valuable time for you. This is the primary benefit. Free time means you can focus on urgent business matters while your agency generates leads for you.
How to choose an agency
Look at the reputation, package options and online presence. You should work with an agency that understands that your time is valuable and one that will produce trackable results. A good boutique agency will offer custom packages and various options.
These strategies show the benefit of digital marketing through an agency. The key is choosing an agency that will execute and produce tangible results for you.
Choosing a boutique agency that understands pound for pound spend is key. Focus on using your time for your business. Let digital experts help you. We have various digital marketing packages to choose from. Packages and options that suit all budgets – contact us today.