Often, marketing teams of a company may compare their marketing budgets to other enterprise teams, citing that the larger budgets of their competitors have contributed to their successful marketing ROI. However, the size of the marketing budget doesn’t always determine the marketing output. The crucial factor is how they choose what to spend money on and, more crucially, what to spend money on.
Every marketer hopes to have a bigger marketing budget to easily manage successful multi-channel campaigns and develop a solid paid ad model and plan. But the truth is that the majority of marketing budgets are likely to be squandered.
Marketing teams may be able to maximize their use of funds by following a more stringent accountability and measurement approach when assessing the success of marketing and advertising campaigns.
The likelihood of a large portion of the budget being wasted increases with budget size. It becomes imperative for marketing leaders to align their marketing efforts and their efforts to invest in new MarTech systems and how they integrate these platforms into other existing technologies already being utilized by their cross-functional teams to avoid this complexity.
Digital Marketing Need Not Be Expensive
For most activities, enterprise teams are given larger marketing budgets since they have the capabilities and resources to execute them without jeopardizing other operational needs. Therefore, it is easy for many marketers to attribute a lack of ROI to smaller budgets.
Effective marketing doesn’t have to be expensive in a time when consumers demand greater authenticity and relevance across all touchpoints. If marketing leaders know this, they can use it as a foundation to pick the marketing channels and MarTech solutions to support the campaigns across the relevant online mediums.
Depending on the short-term marketing goals and strategies of the marketing team, this is where the choice of the MarTech platform is important. An all-in-one webinar solution that can automatically nurture its registrants and drive on-demand downloads will be the best course of action for a company that wishes to pursue a webinar-heavy strategy. A tool that enables a marketing team to run marketing campaigns and integrate both data sets based on real-time engagement behavior of both sets will be helpful in generating ROI without driving up other costs for a marketing team that wants to pursue a webinar-heavy strategy along with a solid email marketing campaign.
Working with Less
Even though marketers are given budgets for a specific event, quarter, or year, they are not required to use the entire amount. It may be more beneficial to use some of it to support current marketing goals while reserving the remainder for a future plan that is still being created. This will not only help to improve current performance, activities, and processes but will also support future marketing goals.
Whatever the marketing budget, working with less and making marketers believe they don’t have access to all the money might actually lead to a better-streamlined process that reduces waste in terms of marketing budget.
Another strategy to increase the impact of a budget is to give marketers a total budget for a campaign or a period of time but provide access to only a portion of it for the first few weeks. The remaining funds would only be made available if a specific ROI was realized during the initial phases.
Also Read: Three Key Strategies for Employing B2B Marketing Budget in 2022
Adopting a Rigorous Marketing Measurement Approach
Driving a more streamlined marketing process requires knowing where to save marketing costs and where to devote additional budgets. The appropriate marketing measurement strategies and MarTech tools must be used in this situation.
This optimization is largely driven by committed marketing executives who can manage the MarTech stack, extract pertinent insights, and compare behavioral data across various channels and campaigns.
Marketers can more easily gather the relevant insights from ready reports from MarTech dashboards to reallocate resources to areas that prove to be successful or redefine future campaign spending.
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