Budget Allocation That Works
Planning your marketing budget requires balancing proven channels with experimentation. Here is a framework based on what works for most small businesses.
The 70/20/10 Rule
- 70% on proven channels that deliver ROI
- 20% on emerging opportunities with potential
- 10% on experiments and new ideas
Channel Benchmarks
For most B2B service businesses: - SEO/Content: 25-35% of budget - Paid Search: 20-30% of budget - Email Marketing: 10-15% of budget - Social Media: 10-15% of budget - Events/Networking: 10-15% of budget
Adjustments by Stage
New businesses should weight toward brand awareness. Established businesses can focus more on conversion optimization.
Tracking Spend
- Review actual vs planned monthly
- Track cost per acquisition by channel
- Adjust quarterly based on performance
- Document learnings for next year
BudgetPlanningStrategy