Introduction

According to BDB.ca, the average startup spends $33,953 in marketing ad spend. The truth is, no company can “start successful.” Once upon a time, there was organic reach – one could optimize their website for SEO purposes, and Google would display the results.

Times have changed.

Pay To Play Is Upon Us!

The days of “pay-to-play” are upon us. “Pay-to-play” can best be explained in the following scenario: if you post on your company’s Facebook Page, only 1-2% of your followers will even see it. This is a push toward a more ad-oriented business environment, and understanding how it works is essential.

As monetization occurs on the forefront of startups and Fortune 500s alike (including tokenizations such as “Meta Verified,” which, suffice to say, holds no merit), social media and even your website can lag behind those who are willing to put their income into ads.

In this article, we will discuss 5 key strategies to maintain a sustainable marketing strategy.

1) Start With Industry Research

Every industry is different, and the most common rule for a B2B company is to invest 2-5% of net revenue into marketing. However, not every industry is the same. Researching your company’s initiatives’ trends will allow you to make the best decisions possible.

In a survey performed in 2019, small businesses are stated to be capable of marketing on as low as $5,000 per month. However, not all industries are alike. Take TemproShop, where we supply stellar Glide apps that are customizable. If our demographic consists of business owners, then we can expect a much higher cost of advertising than we would with a Life Coaching firm (this is due to competition and other relevant variables). Though statistics deviate, it is best to see what competitors are spending.

Remember, marketing is not just focused on the digital aspect of things.

Rather, marketing can also include costs such as subscriptions, direct mailers, and the lot.

Industries Matter!

14.27% of revenue in a media company is invested into marketing, whereas in technology, it is best to aim for 11% of revenue spent on ad spend. Lastly, eCommerce typically provides 5-10% of their budget on marketing. These are rough estimates, but they reveal that every industry varies in marketing.

The most common rule for a B2B company is to invest 2-5% of net revenue into marketing. However, not every industry is the same. Researching your company’s industry trends will allow for you to make the best decisions possible. We advise looking into your industry and the average budget that is utilized.

Of course, this does not mean stick a pole in the ground and aim for a specific percentage.

Industry averages are important, and what most companies in a given marketplace are spending vary in both cost and success. However, consider other factors, such as month (holidays often pick up on sales), as well as its results. Furthermore, not every country celebrates the same holidays.

This is why it is key to doing your research.

2) Setting Clear Objectives

Without goals, you cannot fully achieve success in marketing your company. As stated in this blog article by TemproShop.com, a small company has no less nor more of a chance at succeeding in the marketplace than a Fortune 500 company. This goes hand-in-hand with the industry you are in, but it does not mean that you cannot run a company on a $1,000 or even a $500 budget for marketing.

Take as an example: Meta Ads.

The average cost-per-click (CPC) is around $0.40. Google Ads, however, will be more expensive because of its level of competition. Some companies can get away with a $500 budget, but it is rare, albeit not often possible. Thus, it is fundamental to establish realistic, time-oriented goals.

We have met many companies that engage in the “shotgun approach,” which means that upon receiving funding, the company in question does not strategize; they aimlessly put hard-earned revenue into marketing using the wrong channels. Always do your research, and ensure that you (at the least) are consistently analyzing your data, seeing what works, and iterating based on this.

3) Budget Accordingly

There is more to this than just advertising. Websites, monthly hosting, and offline activities factor into a company’s success. If you are a startup, you may be unable to afford $5,000 a month on marketing. However, the biggest mistake a company can make is to forget to budget accordingly.

It seems like a “no-brainer,” but according to Marissa Lavigna, 32% of companies involved in a 1,400-person survey did not have a formal marketing plan. This is where things need to be paid attention to. If you have a budget of $50,000, consider the industry standard of 2-5% of your revenue being spent on marketing. Without the right planning, a company will toss away money into untested waters.

This is best done with a marketing plan or a simple 1-2 page document outlining idealized expenses.

Be wary about your budgeting expectations, and remember to focus not solely on social media or web traffic. Rather, be mindful of alternative approaches. Organic marketing is not dead yet, but as the landscape changes, so does your strategy. Thus, plan, and make sure you have a solid marketing plan.

4) Measure & Analyze

Many companies fail to analyze prior data. If you are not keeping track of your ROI, or what it costs to obtain a new customer or client, you are walking with a big misstep. You should continually analyze any advertising spend to see what works, and optimize your campaigns accordingly. TemproShop.com offers great Glide apps that require no code, and may allow you to develop an intricate way to measure and optimize your campaigns (visit our Templates section). As stated in many psychological circles:

“The best indicator of future behavior is that of past behavior.”

In other words, no matter how well you think you are doing, there is always room to optimize and enhance your marketing experience.

5) Use The Right Software

What better way is there to track your ad spend? Simple: use the right tools. Many rely on platforms such as Monday.com or HubSpot, which can be useful…but they do not provide the right insights. Consider buying a Glide app from TemproShop.com to monitor expenses and to manage your budget!

The right measurement tactics are essential.

Keep track of pay-per-click (PPC) ads, newsletter or email signups, general networking procedures, and more to ensure that you have a running record. We advise keeping track of your daily tasks and the results that follow. This helps with your marketing budgets, but it also allows for a “time stamp” of what occurred and at what point. Did you send out a direct mailer campaign and see 20 new signups?

There are vital aspects with digital advertising tools, and even with email marketing or organic content marketing. If you can identify a pattern in what works and what does not, you are far more likely to succeed. Measure everything, and consider a TemproShop.com Glide app to do so.

Conclusion

We get it! Running a business can be tough, but with the right procedures and a decent budget, you can test out different mediums. Though we live in a world where digital marketing rules as the king, consider additional methods. This includes postcard mailers (www.VistaPrint.com offers 500-1000 postcards to be mailed out to a pre-collected list for under $500), networking events, and email marketing.

There is no “right” or “wrong” way to track your marketing endeavors, but with the right tools, you can measure accordingly. For more information on customizable Glide apps, visit our Templates page.