When we talk digital marketing, most of us like to keep things craft-related. We like to think about strategies, new tactics that have been shown to be effective, A/B testing revelations and everything else that has to do with the industry in specific.
Sometimes, however, we need to talk things that are far less interesting but which are often just as important. Managing your digital marketing budget is just such a thing and our topic for today. Namely, without being smart about the money you invest in digital marketing, you can never have any success with it.
So, how do you do it? How do you put every penny to good use?
Who Does it For You?
Before you can even start putting a digital marketing budget to paper, you need to determine how you are going to approach it. Are you skilled enough and have time enough to do it yourself? Do you have a marketing team that could handle this responsibility? Are you going to invest in a piece of digital marketing software or two? Are you going to hire a digital marketing agency to handle your needs?
These are just some of the questions that you need to answer in order to be able to start thinking about a budget.
Of course, doing it yourself will be the least expensive, but it will work only for the least ambitious digital marketing strategies. If you already have a marketing team, maybe they can be transitioned into doing digital marketing, but this can turn out to be quite expensive. Hiring an outside marketing agency is usually the most expensive way to go, but it is often the most effective and the easiest to budget for since you know exactly how much it will cost you.
Base Everything on Numbers
In order to manage your digital marketing the right way, you will need to make sure you are not wasting any money. While some waste is possible even with the most masterfully-designed marketing strategies, there are also ways to minimize the chances of this happening.
With digital marketing, this is actually easier to do than with more traditional marketing for the simple reason that all of the actions that involve your website and your company’s online presence can be tracked in great detail.
This will allow you to determine exactly how much revenue comes from your email marketing, how much of it comes from social media marketing, how much has to do with search engine marketing and how much are you earning from your Google ads.
Never go based on a hunch. Always work the numbers and only when the math is correct, make decisions and further investments.
Risk It Sometimes
While you will always want to have a clear and fact-based set of reasons for your digital marketing tactics (and thus the budget), you should never be afraid to make certain more ambitious moves that might provide you with new streams of revenue.
For example, you might decide to invest in a massive content marketing campaign for the first time ever (complete with Facebook instant articles and other new options). Or, you might decide to sink a huge investment into mobile marketing.
Small business loan providers like ALC Commercial can help you cover for these new investments and the best thing is that, if you have planned your budget carefully enough and you made smart decisions, you should have no troubles repaying such loans.
Adjust and Adapt
There is not a single marketing genius in the world whose initial digital marketing budget was 100% point on. Truly great digital marketers will tell you that it is all about adjusting and adapting as time goes by and as results become apparent.
Sometimes a digital marketing investment will fall through completely and something else will turn out to be more effective than anyone thought it would be. These new insights will require immediate adjustments to the budget and your future investments in digital marketing.
Even if you make all the right decisions and you allocate your assets the right way, no one can guarantee that the market will not change and that something that used to work no longer works. You need to be open to adapting your budget to developing circumstances and never start thinking it is set in stone.
Coming up with your digital marketing budget and managing it can be a more complex task than it seems. However, if you keep your numbers straight, know how to adjust and when to make the big moves, you should be alright.