Let’s be honest – when it comes to budgeting, it always seems like the marketing budget is the first to go. As a marketing agency, we have to take issue with this because we know the value of a healthy marketing budget. However, failing to plan for the proper marketing budget is one of the biggest mistakes a company can make.
Here are some ideas you can use to bargain for a bigger marketing budget in 2021.
1 .Look for Comparable Industry Budgets
Try to research what a company similar to yours would be spending on marketing. If you have friends in the industry see if they are willing to share their approximate budget with you. While we don’t believe you should do something just because someone else does it, it’s important to know what others are doing.
2. Prepare a Year-End Report to Show Results from 2020
Create a report that shows the work you completed this year and the results you achieved. Make sure you can connect that work to revenue wherever possible. This will emphasize that you are not draining financial resources, but rather supporting company revenue.
3. Have a Plan and 2021 Projects for Your Budget
Let company leadership know what they should expect from your proposed budget. Make it clear that these are not a promise, but what you hope to achieve. It is a lot easier to sign off on a budget when people feel like there is a tangible result they can expect.
4. Ask for More than You Need
In a perfect world, you would ask for exactly what you need and that’s what you get. Unfortunately, that’s usually not how it works. Make sure you ask for more than you need so when you are negotiating your budget you end up with a number that is workable.
5. Propose a Tiered Results-Based Budget
If you are really facing difficulties getting a full marketing budget, suggest a tiered budget that increases based on results. Create specific milestones that everyone agrees to that sets the marketing budget. As you prove results with a smaller budget, you will be able to show that a larger budget can have an even greater impact.
Need more help establishing a marketing budget? Contact us today to get started!