Cutting your marketing budget could be the right move if you’re smart about it.
We are currently living in uncertain economic times. Inflation is running rampant, companies all over the world are laying people off, and business owners are uncertain about the future of their operations. Unfortunately, in times like these, one of the first areas to get budget cuts is marketing.
Marketing is often seen as an unnecessary “extra” feature of operations, since the business can technically perform its core functions without it. But if you’re interested in growing your business, preserving your revenue, and solidifying your brand reputation, it’s a practical necessity.
So what if you need to cut your marketing budget?
If there’s no other option, you’ll need to cut your marketing costs as intelligently as possible.
Here’s how to do it.
Rely on Objective Data
First, rely on objective data for all your decisions. It’s tempting to make cuts to strategies you feel are underwhelming, or ones you’ve been somewhat against from the beginning. But it’s much better to use analytical tools so you can definitively prove which of your strategies are performing optimally and which ones are falling flat.
Double Down on Your Highest-ROI Strategies
Return on investment (ROI) should be the most important variable for all your decision making, since it concisely defines just how valuable each strategy is. Find your highest ROI strategies (email marketing and SEO are usually at the top of the list) and double down on them, cutting your budget from other areas and reinvesting in ones that count.
Experiment More Aggressively
Finally, consider experimenting more aggressively. Experimentation is the best way to optimize any marketing approach, allowing you to tweak variables so you can figure out exactly what works in the context of each strategy. The faster your experimentation cycles are, the better. Fast cycles help you make more cuts.
You shouldn’t sacrifice your marketing and advertising budget just because there’s a bit of economic uncertainty floating around. If you’re interested in strategically reassessing your current marketing approach, contact us for a free consultation today!
