How to Write an Incredible Startup Marketing Budget
As a marketer for any business such as commercial cleaning services, it is important you be critically aware of your budget and resources, and use all the financial information you have to make decisions. For any company to succeed, it needs to develop a workable marketing budget that put resources at the heart of the business, and teams can use the available resources to prosper.
When a company is at its founding stage, it can be quite confusing to determine its marketing budget. In some cases, marketing decisions are solely left to the duty of top management to make determinations and deliberations.
Startup marketing budget
Startup marketing budget outlines the money a new company intent to spend on its marketing functions. Startups generally factor in key expenses in their budget, such as the cost of advertising, technology, content creation and automation. A company need to figure out its gross profit and now much it’s ready to put towards funding its marketing budget.
Gross revenue is earned before any deductions are made. The estimated revenue refers to the number of expected earnings over some time. In most cases, startups spend around 11 percent of their revenue to fund their marketing budget. To find your gross revenue, all you need is to calculate your total number of sales. From that point, you can figure out how much you will need to spend on your budget.
For startups that do not have a gross revenue yet, they need to estimate how much they are expecting to make over a year, and use those numbers as their benchmark. The process of building any successful budget is based on revenue a company is expected to have.
When coming up with a budget for a startup, here are a couple of considerations you need to make.
Consider your technological needs. These will be aspects such as the cost of software, security and the IT infrastructure you will be required to build. Additionally, you will be required to commit some chunk of your budget to advance research and innovation for your business. If you are yet to discover your target audience, you will need to heavily invest on market research. There are a couple of free and relatively inexpensive methods you can use to research to advance your market needs.
You will also be required to send a considerable amount of your money on business process automation. There will be services you will be required to automate, such as call centers, lead generation and CRM applications. Automating processes will be very important especially if you don’t have a lot of resources for your business.
You will also be required to commit some funds on production purposes. You will need to note all expenses that will go towards production, such as creating marketing costs, graphic design, photography and video. You can also decide to go for experienced freelancers who can deliver competent services for your business. If outsourcing saves you money in the long run, consider it.