Who the Online marketing budget planning is often faced with a very difficult task. We show you, on the basis of which data and which key figures the easiest way to plan your online marketing budget and how to subsequently Use sensibly. This is because simple formulas are not likely to be very successful in this area.
Planning the Online Marketing Budget: The First Steps to Success
The effective Planning is the basis of every success. But on what basis should the planning be done. There is the purely theoretical approachthat the online marketing budget is always to a certain percentage based on the success of the company is supposed to. But there is also the far more practical approachthat the online marketing budget orient to the goals must. We have reviewed both approaches for you.
Percentages are always only part of the calculation
A very theoretical but widely used approach is to calculate according to a percentage. This is often presented like this:
Online marketing budget = % of the company's turnover
Online marketing budget = % from the cost
Both of these approaches make sense, but often not target-oriented. Often missing, among other things, the exact code numbers and among other things the Consideration of running costs in sales.
Planning the online marketing budget: the goals are important
When planning the online marketing budget, you should always follow the Targets orientate. Because only in this way you can Design budgets flexibly and, above all, in line with reality. For example: You have worked with a relatively fixed budget planned a campaign. This goes viral and the Sales of the company shoot up enormously. Sticking to the previously set budget now would be counterproductive. After all, the marketing measure flushes enormous revenues into the company's coffers.
On the basis of the objectives, it is therefore necessary to Budget of this measure to be successively increased, in order to To drive up the level of revenue even further. Similarly Poorly running campaigns. Why burn good money if the goals cannot be achieved?
A no-go: Strictly fixed budgets
Even if it would be the dream of every controlling, strictly fixed budgets in the field of online marketing are a real "No-Go"! This is not least because the field of online marketing in particular is enormously fluid. You must therefore Adapt quickly to changing realities and changing requirements.
A simple example: The entire Marketing activities are planned and budgeted and thus fixed. Now it comes to a strong change in Google search algorithms and everything is upside down. Not a completely out-of-the-box approach. If now the company must react quickly to maintain its own visibility and to correct and change all the marketing measures, higher costs are quickly incurred.
If these are not even considered potential reserve planned and cannot be made available, this can, in the worst case, result in the Demise of the company mean. At the very least, a significant economic downturn is to be feared. Therefore, it is always plan for necessary reserves and optionswhich can break the limitation of the online marketing budget.
The marketing budget in real use
Of course, there's a distinct difference between planning your online marketing budget without real operations to be considered or whether you also use more than just theoretical principles when planning. Let's take a look together at what effects a marketing budget can have in real-life use and where the differences to clear theoretical planning clearly manifest themselves.
Measure, control, change
To ensure that the online marketing measures can also run in a targeted and effective manner, a Continuous and constant control of all measures important. This also means consistent control of the budget. Finally, by measuring the most important KPIs, the success of the measures can be evaluated enormously easily and effectively.
If you cancel or optimize poorly running campaigns at an early stage, this conserves the budget and leaves more room for new options. You can thus always plan the online marketing budget for all campaigns and check whether the optimal budget allocation has been achieved.
The art of using the online marketing budget correctly
It is difficult to plan an online marketing budget for a year in advance. There are expensive and less cost-intensive campaigns, which are aligned with the current productions and the current measures in the company.
It is thus often more sensible to use the Distribute marketing budget proportionally among the different actionsinstead of distributing it in a fixed way according to specific dates or quarters. When you present your company's new collection in the summer, which is the highlight of the year, you should also allocate a large part of the marketing budget to this campaign.
Intelligent planning based on experience and the most important key figures thus facilitates the planning of the online marketing budget immensely.
Mistake in the management: Limitation misunderstood
You surely know the problem as well. At set budgets for online marketing it can happen that in the last quarter of the year still a large part of the budget available is. This may be because certain campaigns were particularly successful and no additional money had to be injected, or because the company had to consolidate more strongly this year and marketing therefore played a smaller role.
In many companies, things get hectic at these times. This is because if the existing budget is not used up, the pot is almost automatically reduced in the following year. After all, the budget was not needed for success. A Bad habit, which can still be found in many companies.
However, when you plan the online marketing budget, you can't know what the final cost will really be. So the main thing to consider is the Educate management floorthat the fixed and fixed Budgets always only as guidelines can serve and a Exhausting the budget at any price is not expedient must be. Only in this way can you generate the necessary freedom for your online marketing budget to react quickly and agilely to the market and its developments.
