Calculate Your Marketing Budget
One of the questions we get asked most often is “How much should my marketing budget be?”
It’s a pretty simple answer and calculation. We’ve created this marketing budget calculator so you can easily understand how much you should spend on marketing each month.
To use the calculator simply input your gross annual revenue (that’s your total sales for the year with nothing subtracted) then select the level of growth you desire from the dropdown list.
Conservative growth is for the shop that is well established and is only looking to replace the clients they lose through natural attrition. They aren’t necessarily looking to grow but also don’t want their customer base to shrink.
Average growth is for the shop that wants to see typical growth of 10% to 25% year-over-year.
Aggressive growth is for a startup that doesn’t have an established client base or for a shop that is looking to grow at a very aggressive rate. In this category, the marketing budget could be as high as you’re willing to spend based on how aggressive you want to be, but 9% to 12% of gross revenue is a very strong budget.
The percentage recommendations in this calculator come from The CMO Survey by Deloitte, Duke University, and The American Marketing Association.