Budget Marketing...aka The Affordable Marketing Budget

Yep, budget marketing (or "affordable marketing") is the most commonly used budget setting method, and it is the one that I would most recommend when you are starting out and setting your marketing budget. It has its pros and cons though which you should be aware of.

Essentially how you do this is work out your budget according to your business income and other expenses.

So when you are planning your business finances and cash flow (which you are doing aren't you?) then your marketing budget is one cost that you plan in alongside your phone bill, broadband expenses, stationery and so on.

If you are marketing on a budget then this means that you have full control and flexibility over how much money you spend on your marketing. You decide a suitable figure..and it's really nothing more complicated than that.

The negative side of setting your marketing budget in this way is that generally businesses under spend on their marketing because they don't understand the relationship between marketing spend and the likely returns.

That said, when you are starting out on building your marketing plan then I would recommend using this budget marketing route. It's the way I set my own marketing budget, and I can increase the amount as my income increases. Or indeed decrease it if I choose to.

Obviously I don't know what your business income and expenses are, and the more you are able to spend on marketing the better it will be for you. BUT do not attempt to stretch yourself just because you think that you should have a marketing budget, rather than setting a figure that you can afford and that you're happy with. If the answer is zero then you need to be looking at lots of free marketing methods to build your business. If you have some budget then you can afford to pay for some of your marketing.

Personally I would recommend starting with somewhere between £50 and £100 a month ($100 - $200 a month). But if you can only afford £20/$40 a month, then start with that. This is officially called the "affordable" budget setting method - so keep it that way.

Check out the Cost of Marketing Method

Check out the Percentage of Sales Method

Go from Budget Marketing to Setting Your Marketing Budget Page

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