The core calculation here looks at your last 12 months turnover and your growth goals, then calculates your projected marketing budget for the year ahead.
Those figures provide the base amounts, then all the other choices are basically weighting factors, which either increase or decrease your estimated budget. All stats are primarily based on the ’12/’13 research by Gartner on SME marketing spending, the largest such survey of small business, industry specific spending patterns that we know of. There are no other such marketing calculators on the internet quite like this one, so we hope this tool is of use to you in calculating the correct marketing budget for your small business.
Tips & information
- If the total appears low, and you are currently spending more than we estimated based on the settings and the growth targets you should be reaching, then you might want to look at how efficiently all your marketing channels are operating.
- If the marketing budget number seems high, you need to remember it includes ALL marketing costs, including re-marketing and nurturing your existing customer database (that includes email software, printing, flyers, CRM software etc.).
- If you are not yet doing this already, then you NEED to start recording these costs, categorising them and recording your own time spent on marketing and ‘marketing admin’ tasks. You should record and cost the time at the same pay rate you receive during working hours. These figures need to work their way into your calculations in order for you to fairly value your time, the costs of you completing these tasks compared to outsourcing, and the contrasting returns on investment for each marketing channel.
- The next stage in the process of our Marketing budget mix calculator is here – SME Marketing Mix Calculator
- Our next calculator goes into more detail how you can divide your marketing budget