The revenue generation process comes from marketing. Marketing is the process of establishing your product in the market and selling it, to sell your product or devices to the end user you will have to market all your product and services to the end users. This is possible by applying robust marketing strategies.
Any marketing agency won’t ask you to put your investment if you are getting over budgeted. Only a marketing expert can explain you how much money are you supposed to invest in any marketing campaign.
On meeting any potential client we have to ask one specific question for which we have to face cold looks from them, and that is “What is your marketing budget?”. This is an obvious question that every client will have to face.
Figuring out the marketing budget is not an easy task, and requires a lot of going back and forth between the numbers. But here is a simple infographic that gives a basic rule of thumb to figure out in simple steps:
via Nuanced Media
Any marketing firm which has some good experience and clients in the market, will not sell you anything that you are not able to afford. Any agency will not sell you anything that you cannot provide but will help you find an alternative to your problem.
Depending on the size of the employees working in your company and the budgets that you have, we will help you with the marketing strategies that you can apply in order to bring out the best from your business. Depending product or services that any company is marketing or wants to sell, the marketing strategies will vary.
Based on the marketing strategy of an organization marketing budget also changes. There comes the role of a marketing firm; any marketing firm will help you find a solution by understanding the primary objectives of your company and applying proper strategies on time with appropriate investment.
In the field of marketing, the term that works the most is an investment, and your investment will be the deciding factor of the revenue generation. Any plan laid out without proper calculation will undoubtedly lead to failure. Many a time it is possible that you incorrect calculation and budgeting might lead you to failure n the money-making process.
Having a backup plan when you are investing into something is a must, you cannot go with any mock strategy when it comes to spending your hard-earned money.
Though you might be having an excellent plan in your mind, you won’t be knowing any way of marketing your program. The marketing industry knows it all, understanding your budget and requirement it will help you gain the goals you want to achieve from even a small budget.
All the marketing agencies are filled with different strategies for the plans that you have, and they work hard enough on the execution procedure.
Now, understanding the overview of the scenarios that are undergoing in the market, let’s further proceed with the navigation process:
1. Marketing Math
This is the term that can be referred to as having a proper calculation of budget that you are supposed to spend on any marketing project. So, the first question that any marketing agency asks when any client is, approaching them is on their marketing budget. Usually, we don’t get a good reaction when we ask about their budgeting process. In counter, to that, they ask us why are we here for?
There are two types of companies that go on with the marketing thing, one is a new company, and the other is an established company. Both the companies have a different budget and marketing strategies.
New Company
For a new group which is in the marketing industry for more than five years, is considered as the company which is struggling to establish themselves as a brand. But the audiences/customers are completely unaware of the services and products that they are or want to supply in the market.
So, we suggest these companies invest around 12 to 20 percent of their gross income in the marketing their product or services.
New companies should allocate around 12-20% of their gross income to their marketing budget.
Established Company
The company which has developed its identity of its product or services in the market has gained a wide range of potential customers to their lap. The revenue generation of these companies is also high due to their brand status.
They have earned the trust of customers, and this is how they sell their product and services. So, we recommend these brands to invest 6 to 12 percent of their revenue investment in marketing their product or services.
Established companies should allocate around 6-12% of their gross income to their marketing budget.
Both the new and established companies are investing their time and energy in building the reputation of their brand in the eyes of the target audiences that they are entirely unaware. This is the reason that the marketing of any brand is so expensive.
2. Understand your sales funnel
The process of adding loyal customers to your lap is the huge task, as every transaction begins with an excellent range of potential customers but ends with a meager rate of loyal customers who makes purchases of the product and services that you will be providing.
via denniskoray
Understanding the requirement of the target audiences and putting efforts in driving their attention towards your product is a big task.
Awareness
To gain their attention you will have to spread awareness of your brand by uploading content to various websites. When you have integrated the marketing activities, people will slowly start recognizing your brand and start approaching you.
When people find themselves in some trouble, they start searching for a solution, and this is how they will encounter with the content that you have posted.
Leads
When the customer has logged in to your content marketing page if they are keenly interested in your product or services, they will get themselves registered to your site with the help of opt-in forms.
You will be informed when any new content is posted on the website, which will eventually result in building a customer relationship with your customers. This step is not enough to bring the customer walking towards you. So, let get to next step.
Prospects
If you can build a give and take relationship with the customer then they will eagerly approach you. For that, you will have to drive them crazy with some exceptional offers. If these offers are displayed to the customer over again and again then, you will automatically walk towards your brand and services out of curiosity.
So, keep in mind that you never miss any user who has opted into your page, always update them with regular emails and mouthwatering offers.
Sales
Try learning from all your mistakes, whatever strategy you are applying might work or not. If your efforts in vain then try understanding what mistakes have you made in implementing your plan.
Recheck your previous sales funnel and find from where did the customer opted out, re-strategize and enforce it. This will lead you a step ahead in marketing your product or services to the end users.
3. Allocate your Budget
Dividing your budget partly into an investment which can help you generate revenue for your business will lead to growing more and more. Deciding where to invest your money and how to use it entirely relays on how good are you in understanding where your budget should be spent and how it should be used?
Picking marketing channels for propagating awareness of your product or services is a tactic that can lead you to rise or fall of a business.
Display Advertising
This is the method that can be used to promote the product or services of your brand using advertisements or other visual marketing techniques. Up to 10% of revenue is invested in developing your business venture.
Social Media Marketing
The reach of social networking site in present time is so high that your product can be a massive popularity within a short span of time. Almost all the companies invest at least 2% of their revenue into promoting their business with the help of social media handles. The percentage rate of investment is growing with growing business reach in social media sites.
Search Engine Marketing
Nowadays the technique which is used to understand and give rise to the marketing of your website can be carried out with the search engine optimization technique. A rate of 14% revenue is invested in Search Engine Marketing.
4. Positioning Marketing
Getting into eyes of someone is a seriously big task, you cannot expect that your product or services will get a hike in a single night. To get into the eyes of your target audience, you will have to build a status of your product.
Building the status of product requires time, the prior thing that you are supposed to do it design your product in a manner that it leaves an everlasting impression of the product. The preceding step is of promotion then comes pricing and positioning. With the help of a good positioning strategy you will be able to build your brand position, and hence the marketing moves on well along with the positioning image.
Target Analysis
This is like researching very well and the likes, dislikes, interests and other additional behavioral traits of your target audience. Once you understand what they want from your product and services, you will be able to create an appealing punch line which will help you give an image to your product in the market.
Along with a good marketing team, you will be able to develop a good position of your product or services in the market.
Positioning with Advertisement
Giving a visual treat to your audience will help you grow an extensive knowledge of the product or services your brand is providing to the target audiences. Just imagine that if an African girl is promoting the cosmetic product for fair skin, will it gain popularity in the market?
The answer is a complete ‘No.’ You will have to bring a decent skinned girl and promote the services that you will be delivering to the target audience.
Right Location for Distribution
Selecting proper channel for distributing your services is a must, you cannot afford to promote your product or services in a rural location when it is in for urban area. Distribution of your services is needed to have opted for the right place on right time, and you go wrong with the selection procedure of product or services you will not be able to move further in the market.
Using Price tags
The positioning of your services is possible only with proper pricing, you cannot go high or too low with the pricing of your product. If the pricing of your product is top, then people will consider it too high and won’t show any interest in buying it.
But if the price is too low then they will find your product of low quality, you will have to fix correct pay for your product. Choosing right pricing strategy will work in your favor, but wrong pricing will ruin all your efforts.
Current and Future Marketing Trends
When you want to send a marketing trend of your product, you need to have a better understanding of the present and upcoming marketing trends. Having a detailed knowledge of the product and services that are working recent times is essential. This can help you imply a better strategy for promoting your brand in a better manner.
For example: if sending email is included in your marketing strategy then take an insight of it for better tracking and scheduling email lists. This will reduce extra efforts that you will be putting in.
Conclusion
Business has two functions one is marketing, and the other is innovation. If you apply an innovative approach to the product or services, you are delivering to the public ten the marketing strategy that you would be chosen for its promotion will succeed. You cannot go will old tricks or tactics and achieve success.
Before you start applying new methods or strategies just remember this quote
“There is no secret to success. It is the result of preparation, hard work and failure.” – Colin Powell