What Percentage Of Revenue Should Be Spent On Marketing?

aspects of marketing

When you own a business, regardless of what industry it is in, a big part of helping to make it grow, while also building a larger customer base is to develop an effective and cost efficient marketing strategy. The type of marketing plan that you develop will certainly depend on your specific type of business as well as your budget. However, it’s important to not spend too much on advertising, but you don’t want to spend too little either. As a business owner, one of your biggest decisions will be to determine what percentage of revenue should be spent on marketing.

Listen To Experts

While many people have their own opinions on this matter, leading experts, including the U.S. Small Business Administration recommend that business owners who are doing less than 5 million dollars per year in sales, and who have a net profit margin between 10 and 12 percent, should spend between 7% and 8% of their gross revenue for advertising and marketing.

Of course, there can sometimes be conflicting information when you’re trying to determine what percentage of revenue should be spent on marketing. For example, some marketing experts recommend that small businesses and new start-ups allocate 2 to 3 percent of their revenue for their advertising and marketing budget; however, this budget might need to be pushed all the way up to 20 percent for businesses that are in highly competitive industry. Other experts advise business owners to establish a marketing budget between 1 and 10 percent of revenue for their advertising and marketing programs; and increasing this base marketing estimate for businesses in high competitive industries or for established businesses that can afford to put more money into their marketing campaigns. Clearly, there are many different opinions on how much a business owner should spend for hiring a Dallas marketing firm.

What Are Your Business Goals?

How you spend this marketing budget will depend on your specific business goals. Of course, getting the best return on your marketing investment is an essential part of helping your business succeed. Whether you’re investing in social media marketing, local advertising campaigns or television and radio spots, you should have a clear plan for your marketing, including your overall goals. Making sure that your advertising dollars are giving you the desired return can help you determine where you need to spend more money as well as areas of advertising that you might want to reconsider.

Understand Where You Are Spending The Money

Once you have established your marketing budget, you’ll need to determine how it will be dispersed across various channels. For example, most businesses, regardless of size, will have both online and offline advertising campaigns. In addition to these two different types of marketing, you’ll also need to determine how money will be allocated within your online and offline marketing. Online marketing will generally include advertising on a variety of different social media platforms as well as banner ads, mobile marketing, and even online video marketing.

There are many variables that can influence how much money you spend on advertising. For example, even if other businesses in your industry are spending more, you need to set a marketing budget that is affordable for your business. Other factors that can influence your marketing budget include keeping competitive with your competition (if you can afford it), in addition to the fluctuations that come with introducing new products or the higher costs associated with starting a new business. In the end, you’re going to need to determine how much you can afford to spend while taking into consideration the other needs of your business. Sometimes, you’ll need to spend more, especially if you’re introducing a new product or if your biggest competition has upped their advertising.

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7 Ways To Be More Successful In 2018

The New Year is here and it is time to start living up to all those resolutions to grow in both your personal life and your career. From attending Dallas motivational speaking events from realnewsspeakers.com, for your business success to recognizing the gift in every person that crosses your path, here are 7 ways to be more successful in the New Year…

1. Recognize that the negative people in your office have the potential to make you even better than the people you like.

The boss who seems to hate your guts. The guy who takes all the credit for your work. The intern who always seems to get your coffee wrong on purpose. These people are here to teach you something. Learn what that is. If you do nothing more than strive to not possess the qualities in the people who drive you crazy, you will have grown as an individual.

2. Take opportunities as they come and seek out unexpected stepping stones.

We all have a way of missing out on opportunities due to timing. Try to find ways to make opportunities work without compromising too much of your personal time away from work. While you are at it, seek out unexpected growth opportunities like events that offer motivational speaking for your business success. Sometimes all you need is a gentle push in the right direction.

3. Keep learning.

Everyone has something to teach, so even if you are years outside of university, take time to learn from people around you. Even if you are a CEO and the janitor has been at the office longer than you, the janitor knows that company well. They know what works well and what does not. They also know how people are treated and what could improve. Learn from this guy. Make friends with this guy. He could make all the difference in your future success as a leader.

4. Do not be afraid to collaborate.

Far too many people are afraid to get in on a little teamwork because they fear that they will not get the credit that they deserve. However, some of the best things to ever happen in the world, happened because two people joined forces. Like Ben and Jerry of Ben and Jerry’s Ice Cream or the Wright Brothers who brought us the first plane, everything worth doing is worth doing as a team… and the good news is that you can still be an individual in the process.

5. Don’t be “that” guy.

Every office has a guy who complains about everything and seems to hate waking up in the morning. This person sets the tone for the whole office and if left to fester, they can take the whole team down with them. Instead, strive to be positive for the year ahead. Positive thinking not only improves your day, but it can also improve your health, helping to lower blood pressure and anxiety.

6. Remember where you came from and the people who dwell there.

As you grow in business, your network and worth will also grow. This is when it can become difficult to remember where you came from and those who supported you while you made your way to the top. Your wife may not understand the “bottom line”, but she was there for you while you were at the bottom. Make sure to make your relationships a priority. Do not work late every night or let being important at the office take the place of your role in the family. Your job will leave you when you retire. Your family will always be family.

7. Lighten up. It won’t kill you!

You may be rushing around to meet the demands of your job at the speed of light… but are you taking time to lighten up a little? If not, your health and your career could be suffering big time. Being over-invested in everything all the time can be really bad for your well-being and also detrimental to your creative process. Stress prevents you from moving ahead in life and getting things done effectively. A little down time can make all the difference in being a success and being a hot mess.

As you journey into 2017, take your common sense and your optimism. Balance your work and your home life – don’t wait for it to all fall apart… and take plenty of time to rest when you need it. Even though you may have a Google calendar filled with meetings, greetings and luncheons – remember, even hustlers need to sleep.

A speaker to consider – https://www.speakermatch.com/topics/celebrity/71380428176/real-housewives-of-dallas-leeanne-locken/

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Top 5 Easiest Businesses To Start

Are you tired of your regular 9-5 job? Do you need some extra income, but find that a full-time job just isn’t the solution you need? Starting a side business could not only help you achieve your financial goals, but the venture could also grow into a fully-fledged enterprise. If you want something that doesn’t require a large investment or special training, you could choose from the top 5 easiest businesses to start.

Consulting

Do you have plenty of experience in your occupation? If yes, there are numerous consultation projects you could do from home. The expertise you’ve built up throughout your career means you’re now a voice of authority in the niche.

Basically, you’ll need to know how to do certain things better than most. Also crucial is the ability to impart your knowledge to others, or to take on projects on a contractual basis. Networking is a vital ingredient of success in this area. You thus need to make a list of companies you know that could use your services, and get in touch with them.

Tutoring

As the dissatisfaction with the education system continues to grow, more and more parents are now opting to home-school their kids. And this has caused the demand for tutors to expand rapidly. If you’re skilled in areas like math, reading, science or music, why not offer your assistance to students? Besides earning yourself some money on the side, you’ll also find tutoring to be a hugely satisfying venture.

To get started, put up flyers at local libraries and schools, as well as online. You may also get in touch with local home-school groups, and offer your services. Once you get started with a few students, others will become interested, as word gets round.

Freelance Writing

Quality writing is always in demand. While competition in this area is currently fierce, there are far more mediocre writers than there are excellent ones. So if you have decent writing skills and wouldn’t mind fighting your way into the market, you could earn a decent income as a freelance writer.

For the most part, the ceiling for how much income you can rake in is limited by your ability, and the time you’re willing to commit yourself. Some of the lucrative niches you could get into include blogging and commercial copywriting. To increase your chances of finding work, try to align yourself with established firms, and stay persistent in your pursuit of opportunities.

Fashion and Tailoring

Fashion has always been a dynamic and ever-present element of society. If you’re a designer or have some great ideas for what people should be wearing, you could transform your skill into a side business. Why? Because people are constantly looking for outfits that match different occasions and styles.

To set up a fashion line, you’ll need a handful of ideas, plus a website where people can see your stuff. You could initially make the outfits by hand after landing your first few clients, after which you’ll need to scale up your operation as your brand grows. If starting a clothing line sounds like too much work, you could earn extra money by teaching others how to make clothes with small classes.

Personal Services

Some people don’t like the idea of shopping at the mall, so they prefer to buy stuff on line. Others, on the other hand, aren’t comfortable with either of these. If you don’t mind running errands for people, offering personal services could make you a tidy amount of money, especially during holidays.

There are various online platforms where you could sign up and find an existing client base. You won’t need much in terms of cash, but your credit cards will need enough available credit. To add to what you make running errands, use a card that offers cash-back rewards.

While no commercial venture is ever zero-risk, these businesses are quite easy to set up. If you choose a business that you’re interested in and put a good deal of hard work and dedication into your operation, you might be surprised. Managing your enterprise may not only transform your finances for the better, but it could also be the kind of challenge you needed in the first place.

If you are looking for investments in business, you can look at this Dallas investment bank as well.

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