How to properly drain your marketing budget
Follow the approach taught by business consultants from outside the marketing world:
You allocate 3-5% of the shaft, the company stagnates;
6-7% - it's already growing a little bit;
8% or more - you're growing like a quiver!
Do you get the feeling that the marketing budget is talked about as money that can be immediately written off as losses? We have, that's why we promote a different approach:
Marketing should bring money to you, not you money to marketing.
That is, marketing shouldn't just take a bite out of your current profits, but should aim to generate profits in the future.
Build your budget based on your company's goals. Need to take 10% of the market in a year while maintaining a 15% profit margin? Okay, the marketing department needs to do its part:
1. Build a marketing action plan that gets you to that point in the most efficient way possible;
2. Decompose the plan into sources, determine the budget at which each is projected to be most effective;
3. Generate a monthly budget plan and KPIs by application
No detailed goals? Rely on the sales plan.
What's good about this approach - you automatically task marketing to bring a certain profit, not just to utilize the budget; support the most profitable channels.
Planning marketing from the allocated budget is also a possible option. This is how 80% or even more of marketers on the market work, but this is not a story of stable and predictable development. Optimizing the level of spending in a way that maximizes net profit is almost impossible here.
Build marketing based on goals and statistical data. If you don't have data, determine an acceptable budget for tests and start taking your profits from the market with increased speed!
How to make the marketing and sales departments work together
The feud between marketing and sales. This is the most common thing we see when we come to companies, and today we will think together with you how to reconcile them. Maybe the New Year's Eve atmosphere will help with that
Why the agency needs to see the numbers
Today, once again, we faced a refusal to show revenue or give feedback on financial indicators (as if it were something obscene). At the same time, a non-disclosure agreement and a contract had already been signed.
Where do you start to systematize your marketing?
From understanding the numbers. The first thing a manager must do is to create a transparent reporting system in the marketing department. Our work on complex projects starts with this, otherwise the work can be immediately considered a failure. Optimization is impossible without numbers, but there should not be a lot of them.
