Marketing budget planning6/24/2023 Here’s one useful benchmark to keep in mind: According to research from Deloitte, marketing budgets comprise about 11% of company’s total, on average. Its overall growth strategy and goals are also a factor in determining an “appropriate” marketing budget. The size of a marketing budget is usually proportional to the company’s size, whether the company is a startup or an established business. Marketers always want their budgets to be generous, of course, but how much is enough? And in a World Federation of Advertisers survey of multinational companies, 75% of respondents said their budgets are currently under “heavy scrutiny,” even if spending reductions aren’t yet planned. brands have frozen or reduced media spending in response to these dynamics and forecasts. However, in the latter half of 2022, that positive outlook for marketing budgets began to wane as inflation climbed, supply chain disruptions persisted, and economists started raising the flag about a global recession potentially unfolding in 2023.Īccording to recent Advertiser Perceptions research shared with Marketing Dive, roughly half of U.S. The trend line was still below the 11.2% of company revenue the average marketing budget received in 2018, according to Gartner, but it was heading up. Average marketing spend, according to the survey, increased from a historic low of 6.4% in 2021 to 9.5% of company revenue in early 2022. The State of Marketing SpendĪfter a dip at the outset of the COVID-19 pandemic, spending on marketing generally increased in 20 as more businesses ramped up their digital marketing strategies.Ī June 2022 survey by Gartner showed marketing budgets were slowly climbing back to pre-pandemic levels. (The sources we point to for accessing these templates are only suggestions.) You can also explore several tips and steps for creating and maximizing a marketing budget.įirst, let’s look at how marketing spending trends have changed in just a short time because of uncertain economic headwinds and other factors. In this post, you’ll learn about five different marketing budget templates, which you can access for free online. It can set you on the right track with planning and managing your marketing costs effectively this year. A simple tool like a marketing budget template can help on both fronts. Many companies, in response to economic uncertainty and the lingering impacts of pandemic-related disruption, have already slashed their marketing budgets - or are planning to do so soon.įor marketers, the challenge is figuring out how to maximize the dollars they do still have to spend, so they can protect those funds and spend them smartly. Ad spend growth is expected to slow significantly this year.
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