As 2020 draws nearer and nearer with each passing day, the need to plan next year’s marketing budget does as well. There are a multitude of things you have to consider when organizing your marketing budget — like what other companies are spending their budget on and what the general spend was for other marketers in previous years — so it’s important to approach your budget with careful consideration and creativity in order to maximize the results it can produce.
Marketing is a key component of any successful business. The U.S. Small Business Administration suggests 7 to 8 percent of a business’ gross revenue should be spent on marketing — 45 percent of that, on average, is expected to be devoted toward the digital side of marketing by 2020. With a growing emphasis on digital marketing, it’s more important than ever to know how to plan your budget for an optimal return on investment.
Importance of SEO
According to data from Hook Agency, the top three priorities for companies’ inbound marketing projects are growing SEO, blog content creation and marketing automation. Search engine optimization is more important than ever, and as more companies — including your competitors — increasingly prioritize SEO, the competition for search engine dominance will only become more intense. Additionally, if you consider blog content creation’s intertwined relationship with SEO, it becomes even more clear how important it is to emphasize SEO in your next marketing budget.
At the end of the day, though, the main focus of any company’s marketing budget needs to be aimed at its biggest source of leads. For most service companies, that would mean dedicating the marketing budget towards referrals and SEO, but it varies for every company. The most important strategy here is to identify what is producing the highest rate of return for your company and to find out what is maintaining that rate at its high level. From there, you can figure out exactly what must be prioritized in your 2020 marketing budget to maximize results.