Local Business Recommended Marketing Spend Calculator

"*" indicates required fields

This field is hidden when viewing the form

Lead Source

This field is hidden when viewing the form

Lead ID

Current Annual Gross Revenue*

Please enter a number greater than or equal to 10000.

Desired Growth Rate (%)*

Please enter a number from 1 to 500.

To double your revenue, enter ‘100’

Desired Revenue

Desired Revenue Increase

Market Competitiveness*

Mild

Medium

Hot

Business Stage*

Newer

Established

Market Leader

This field is hidden when viewing the form

Recommended Annual Marketing Spend

This field is hidden when viewing the form

Recommended Monthly Marketing Spend

This field is hidden when viewing the form

Results*

<ul>
 	<li>Current annual revenue: </li>
 	<li>Desired growth: +% (+)</li>
 	<li>Desired annual revenue: </li>
</ul>
<h1>Recommended total annual marketing spend: ( monthly average)</h1>
This calculation was influenced by the Small Business Administration’s (SBA) <a href="https://www.sba.gov/taxonomy/term/15051?page=37" target="_blank" rel="nofollow noopener">recommendations</a> for businesses with less than $5 million in annual revenue with a gross profit margin of at least 12%.

What do you think of this number – about right? shockingly high?
Well, that’s what we’re here for – to educate you so you can improve your business. It’s actually in line with research (i.e. businesses like yours, possibly your direct competitors) and could even be a little conservative.
<hr>
<h2>Want even more details?</h2>
<a href="https://www.gartner.com/en/marketing/research/the-annual-cmo-spend-survey-2020-part1" target="_blank" rel="nofollow noopener">Research from Gartner</a> reveals that even large corporations set marketing budgets based on gross revenue, averaging 11.1% from 2014 to 2020, with 68% planning to increase their spending on marketing technology and allocating 59% of their total marketing budget toward owned and digital channels such as social marketing, the website, SEO, and mobile marketing.

These numbers are confirmed by <a href="https://cmosurvey.org/results/" target="_blank" rel="nofollow noopener">The CMO Survey</a> (research performed by Duke University, funded by Deloitte), which includes data specific to B2C Service businesses.

Now you’re wondering, “Would I spend all that just on Facebook ads?” Ha, no way!

Marketing’s budget may be allocated to various endeavors:
<ul>
 	<li>market penetration (existing offerings into existing markets)</li>
 	<li>product/service development (new offerings into existing markets)</li>
 	<li>market development (existing offerings into new markets)</li>
 	<li>diversification (new offerings into new markets)</li>
</ul>
Depending on your business’ stage and goals, your marketing spend might be allocated to these areas:
<ul>
 	<li>Strategy: the “Ps of the Marketing Mix”, market research, competitive research, branding/re-branding, quarterly planning and prioritizing, determining and evaluating Objectives and Key Results (OKRs), customer journey mapping, pricing</li>
 	<li>Website: initial build or redesign, speed optimization, analytics and pixels, blogging and content marketing, user experience (UX), conversion rate optimization (CRO), search engine optimization (SEO)</li>
 	<li>Advertising: pay-per-click advertising (PPC), retargeting, promotional pricing, buying leads (e.g. HomeAdvisor), and more</li>
 	<li>Technology: implement, integrate, automate, aggregate, analyze, dashboard, call tracking, database cleansing</li>
 	<li>Relationships: personalization, social media, soliciting and replying to online ratings and reviews, phone check-ins, email newsletter, networking group memberships, in-person and virtual events, podcasts, loyalty programs</li>
 	<li>Print: business cards, brochures, fliers, coupons, gift cards, promotional/giveaway items</li>
 	<li>Traditional/Offline: cold calling, billboards, partnerships and sponsorships, direct mail, win-back/reminder postcards, building signage, media buying (TV, radio)</li>
 	<li>Training: documentation, talent/skill development, innovate, internal feedback loop, customer experience (CX)</li>
</ul>
We help local service businesses determine their marketing plans and can implement pretty much any of your marketing needs.

Contact us with any questions, and we’d be glad to help!

Comments

This field is for validation purposes and should be left unchanged.