How Much Should I Spend on Marketing?
With so many marketing options available, it can be overwhelming to decide where to focus and how much you should spend. After reading some best-selling classics (Good to Great by Jim Collins and Guerilla Marketing by Jay Conrad Levinson), we did some research and found some answers.
Experts say a good number for small businesses to aim for is at least 7% of revenues. For example, if $30,000 came in throughout the year before expenses & taxes, we should be spending a minimum of $2,000 on marketing. If your industry is fairly competitive, up to 15% of revenues should be invested on marketing.
That being said… What is the most cost-effective and fastest growing way to market your business? The answer is mobile-friendly web based marketing. A well designed mobile-friendly website can help build a strong visual representation of your business, trust, and should yield a positive return on your investment.