Top Budgeting Tips for 2021
Attention, Company Owners, Founders, Managing Directors & Marketing Managers! These are the budgeting tips that you NEED to read as you start building up your budgets for 2021. There are several factors to consider and luckily for you, we’ve listed some of them below!
Nobody knows for sure what tomorrow may bring but keep an open mindset and have a budget based around your data. That way, you can tackle any new opportunity to create growth for your business during the next phase of the economic recovery.
Calculate your budget using new data, not historical projections
2020 was an unpredictable year with Covid-19, murder hornets and the Impeachment of a US President. This was a year that companies couldn't have prepared for as it was very erratic and random. Therefore, companies should not try and look towards historical projections for their budgets. This should instead be done by using your 2020 data to foresee future trends and act decisively to ensure that your company maximises its ROI.
Don’t start hoarding all of your funds and halting all of your marketing activities. Instead, take a bottom-up approach and consider your marketing budget! This will give a comprehensible picture of the budget if you estimate future demands for your products as well as considering the cost of conversion with your marketing activity.
Treat your marketing like an investment, not an expense
Marketing should be a profit-core for the business and, therefore, tied to recognisable business-wide goals, such as online or offline sales, leads, consumer engagement, and so on. During times of economic uncertainty this is perhaps even more important.
If your company has seen a decrease in sales and wants to become more financially conservative, a marketing budget should still be a top priority as spending money on advertising could be the key to increasing your sales and finding yourself out of the red! On the other hand, if you’re experiencing a surge in interest and want to expand your marketing efforts to meet these demands, your marketing budget is vital to create the right message that will resonate with your customers. Either way, focus on your marketing budget as it will play a key part in generating new business so don’t create marketing specific metrics such as CTR and Reach as these will create unreasonable expectations from your senior stakeholders.
However, if your stakeholders are still cautious, try to start with a conservative budget. Avoid spreading it thinly across all channels by conducting meaningful research, pick the channels that have the highest ROAS, and fund them fully.
Look at your Marketing Channels, not your Marketing Misspend
Here are the following channels that are available to most companies:
- Social Media Marketing – Social Media depends on the nature of your business and how it can be used once your company has established an online presence.
- Email Marketing – Email can be used to capture new leads and boost engagement. It can also be used to communicate with your current leads and circulate your brand message.
- PPC – PPC (Pay per Click) is a form of advertisement which can be customisable to your specific needs. This can be customised by ad copy, bids, location tracking, time of day and so many more.
- SEO – Have you googled your company or your industry? Do you appear first in the Search Engine Results Page (SERP)? If your website is correctly optimised, you will appear higher on the SERP, potentially attract more attention and grow your business.
- Web Development – Your website is the online face of your business. Therefore, it needs be fast-loading, responsive and have a good User Interface (UI). So, invest in your website by adding the latest features and incorporating the best User Experience (UX).
- Content Marketing – Create engaging, informative and educational content for your audience. This can be used to get new leads as well as garner attention from your customers if they see you as a trustworthy source.
After you’ve worked out your short term goals, assess your social media metrics and create the ideal Marketing Strategy for your company. If you need some help in this department, get in touch with us and we’ll do our best to help your business to grow!
Plan and Prepare for what’s next, not wading through uncertainty
As 2020 was such an unpredictable year, planning for 2021 will be a very tricky task. If you need any assistance with distilling that data into valuable information, Contact Us and we’ll help your business to grow as partners.