{"id":177207,"date":"2025-04-08T11:41:46","date_gmt":"2025-04-08T11:41:46","guid":{"rendered":"https:\/\/peraltafinancing.com\/business\/marketing\/how-much-should-we-invest-in-our-marketing-budget-bolderlouder\/"},"modified":"2025-04-08T11:41:46","modified_gmt":"2025-04-08T11:41:46","slug":"how-much-should-we-invest-in-our-marketing-budget-bolderlouder","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=177207","title":{"rendered":"How Much Should We Invest in Our Marketing Budget? \u2014 Bolder&Louder"},"content":{"rendered":"


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<\/p>\n

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The answer to the age-old question – how much should our marketing budget be – is going to vary, based on what kind of business you have, how strong (or weak) your current branding is, what kind of market you\u2019re operating in, and whether your business is in a \u201csustain\u201d phase or a growth one.<\/p>\n

Smart business owners know that the secret to an effective marketing strategy isn\u2019t necessarily the size of the marketing budget, but how it\u2019s strategically allocated<\/em><\/strong>. That\u2019s why disruptive marketing is so powerful – when you can\u2019t outspend the 800 pound gorilla in your market, you have to outsmart it.<\/p>\n

But let\u2019s clear the air on one major thing first.<\/p>\n

Smart businesses don\u2019t \u201cspend\u201d<\/em> on marketing. They invest<\/em><\/span>. Strategically. Predictably. Purposefully.<\/p>\n

But how much is enough? And more importantly, where<\/strong> should that budget go first?<\/p>\n

Let\u2019s start with a universal truth:<\/p>\n

\n

If you haven\u2019t built a strong brand, there\u2019s no amount of paid ads that will save you.<\/strong><\/span><\/p>\n<\/blockquote>\n

Paid ads can drive traffic, but if your brand lacks clarity, trust, or emotional pull, that traffic won\u2019t convert properly\u2014it\u2019ll just cost you burning through large amounts of ad dollars and sending you price-sensitive, pain-in-the-butt leads who don\u2019t appreciate the genius of your business and what you offer. <\/p>\n

On the other hand, if you have a strong brand, this makes every marketing dollar work harder. Your leads are more qualified because they already believe in your company<\/strong> and the value you provide, and they don\u2019t view you as some kind of interchangeable commodity that they can do aggressive price shopping on.<\/p>\n

Follow the 60\/40 Rule<\/strong><\/h2>\n

There\u2019s a reason this principle is gospel in modern marketing strategy. The 60\/40 rule<\/strong>, coined by marketing effectiveness experts Les Binet and Peter Field, recommends allocating:<\/p>\n

Brand building is long-term. It drives emotional connection, credibility, and market perception. <\/p>\n

Sales activation, on the other hand, is short-term. It pushes for conversion.<\/p>\n

Here\u2019s the kicker: companies that follow this model consistently outperform those that don\u2019t\u2014across industries, revenue sizes, and business models.<\/p>\n

How Much Should You Invest?<\/strong><\/h2>\n

Generally speaking:<\/p>\n

    \n
  • \n

    5\u201310% of gross revenue<\/strong> supports steady growth and retention.<\/p>\n<\/li>\n

  • \n

    11\u201320% of gross revenue<\/strong> fuels aggressive growth, new markets, and major campaigns.<\/p>\n<\/li>\n<\/ul>\n

    But the amount alone isn\u2019t the full picture. You also need to ask: How should I allocate those funds based on the unique makeup of our business?<\/em><\/p>\n

    Let\u2019s dig into the 9 most important factors<\/strong> to guide your marketing budget\u2014and why branding remains at the core of each one.<\/p>\n

    1. Business Goals<\/strong><\/h3>\n

    Aggressive goals require a bold brand.<\/p>\n

    If your business goal is market leadership, your brand must lead emotionally<\/strong>\u2014not just functionally. A strong brand makes performance marketing work better and cheaper<\/em>.<\/p>\n

    Take Nike<\/strong>, for example. Before it could own the performance category, it had to first stand for something. \u201cJust Do It\u201d wasn\u2019t a campaign\u2014it was a global declaration of purpose. That brand identity paved the way for decades of profitable growth.<\/p>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"

    The answer to the age-old question – how much should our marketing budget be – is going to vary, based on what kind of business you have, how strong (or weak) your current branding is, what kind of market you\u2019re operating in, and whether your business is in a \u201csustain\u201d phase or a growth one. […]<\/p>\n","protected":false},"author":1,"featured_media":177208,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[98],"tags":[27249,4995,11079,8402],"dealstore":[],"offerexpiration":[],"class_list":["post-177207","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-marketing","tag-bolderlouder","tag-budget","tag-invest","tag-marketing"],"yoast_head":"\nHow Much Should We Invest in Our Marketing Budget? \u2014 Bolder&Louder - Som2ny Network<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fivemor.com\/?p=177207\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How Much Should We Invest in Our Marketing Budget? \u2014 Bolder&Louder - Som2ny Network\" \/>\n<meta property=\"og:description\" content=\"The answer to the age-old question – how much should our marketing budget be – is going to vary, based on what kind of business you have, how strong (or weak) your current branding is, what kind of market you\u2019re operating in, and whether your business is in a \u201csustain\u201d phase or a growth one. 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