This one is more complex than you might think, so the answer needs to be more complete. Based on recent research and our experience in the field, it is recommended that all costs related to the company’s marketing represent 2% to 5% of its sales revenue.
The US Small Business Administration recommends that new companies (startups), especially those in competitive markets, invest 12% to 20%. For established companies, they recommend investing 6 to 12% of gross revenue.
Speaking specifically of company digital marketing budget, according to Forrester Research Inc. , most industries, such as design and media, transportation, retail, health and beauty, real estate, information technology, agriculture and environment, and construction, devote 50 to 65 percent of their overall marketing budget on digital marketing.
If you have hired AGX but have not yet defined an annual marketing budget, we will collaboratively build one with you based on metrics such as: monthly website visits, percentage of conversion of visits into leads, average ticket value, among others. With that, suggest the necessary budgets and start projecting the marketing ROI.