Money alone can’t solve every business problem. However, it’s naive to suggest that capital can’t go a long way toward addressing numerous issues. In truth, increasing an investment in a marketing campaign can generate significant returns as a result. And understanding when to increase your marketing budget –– and when to leave it –– will help you build a sustainable business model. Given all that, today we’ll highlight several signs that will let you know which of your marketing efforts could benefit from an investment boost.
It’s important to remember that all marketing is relative. That is, how much you spend on a marketing strategy should be based on how much your competitors are prepared to spend on theirs. Marketing doesn’t take place in a vacuum. While you don’t have to emulate your closest competitors, you should not stand back if you’re being significantly outspent. In some cases, companies that spend much less than their rivals toward marketing efforts like SEO may experience decreased online visibility as a result. So keep an eye on your competition as you move forward.
Lots of business leaders seem to follow the old adage, “if it ain’t broke, don’t fix it.” To a degree, there’s some relevance to this bromide. Yet, when it comes to marketing, campaigns that perform well typically deserve more attention –– not less. Specifically, spending more money to amplify a campaign that has already generated positive results –– in the form of leads, conversions, or sales –– can further bolster your company’s marketing efforts. Conversely, pumping a lot of money into a marketing strategy that isn’t producing results isn’t likely to turn the tide. This is why it’s so vital to track marketing data and analytics as often as possible. Without accurate metrics, business leaders will struggle to make sound marketing budget decisions.
Whether you run a massive international company like Greiner Bio-One or a local bicycle shop, business leaders should always have a plan for the future. In regard to marketing, growth potential should play a significant role in your decision-making process. Some marketing efforts require lots of time to produce meaningful results; others don’t have much long-term viability. Generally speaking, it’s best to invest in projects that will generate ROI over a long period of time. While supporting these marketing efforts now might seem like a risk, they’re actually essential to the overall viability of your organization. Bottom line: don’t take a short-term approach to marketing investments. You may regret doing so in the future.