Four Principles of Budgeting You Can Learn from Marketing Agencies
Creating a marketing budget is a difficult task at best. It can be a real stress-inducer at times, especially when your industry or your company is in a state of flux. But the budgeting process can be controlled. To give you another perspective on budgeting, here are a few suggestions from marketing agencies – because the world of marketing is both science and art, and the online tools and technologies change from day-to-day.
Let past budget items guide you, but not restrict you.
As you examine previous marketing budgets you will discover which budgeted items delivered to expectations and which did not. Use that information as a starting point for your new marketing budget. The future is always different than the circumstances in the past, so budget controls based on the past can be a restriction on future growth. Consider the future and use the past successes as a guide to new budgeting.
Be Decisive and Take Control
Marketing agencies face constant change in the tools available; search engines change how they read keywords and new online tools arrive practically daily. The key to avoiding overwhelm is to make a decision and then take control. “Paralysis by analysis” can be a common situation when you are facing uncertainty, so once you have made a decision, stick with it. Do not change your mind with every little bump in the road.
Leave room for innovation
Even though budgeting is about management and control, leave room in your marketing budget for innovation and growth. With marketing agencies, outside influences impact the business arena, new competitive products are introduced and must be addressed and the target audience’s preferences can change practically overnight. This can happen in your industry as well. When that happens, you need to innovate. If you have restricted your actions solely to your budgetary constraints, that will ultimately prevent you from growing with the future. Leave some room in your marketing budget for innovative new ideas and processes in order to address unforeseen circumstances.
Get Input from Team Members
Sure, you asked for “numbers” from the various departments you work with and they provided them. But instead of just looking at their spreadsheets and working from them, sit down with the team and understand their viewpoints and why they forecast their budgetary needs the way they did. The department heads may be seeing something coming that has not worked its way into your field of vision yet. By talking with your team members you will get a much better idea of how to do your own budgeting because you will be working from real life experiences and knowledge.
As an award winning marketing agency, KEO Marketing knows the secret to good budgeting is good research and being decisive while leaving room for needed innovation for those unexpected twists in the future. To learn more about effective budgeting, download your free copy of KEO Marketing’s Marketer’s Guide “5 Critical Steps for Planning Your 2017 Marketing Budget”.
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