New, exclusively for members
Free Personalized Learning Plan
Find the resources that are right for you with a personalized learning planGet started
It's always useful to be able to compare the way your marketing budget is divided between different digital tactics. Particularly if changes in allocation are highlighted and ideally if the budgets are for similar companies.
The fifth annual international survey from Econsultancy and Responsys Marketing Budgets 2014 helps with the first question. Over 600 businesses participated in the survey, note that some of these were agencies estimating their clients' investments.
This summary post includes what I believe to be the three most useful insights from the report Marketing Budgets 2014: Effectiveness, Measurement and Allocation Report.
This chart suggests that if you are investing less than 10 or 20% of budget on digital then you may be out of step with your competitors and certainly consumption of digital media by your prospects and customers.
With a bigger sample this chart would be more useful split out by market or industry, but it does provide a benchmark against your current spending.
For those involved in allocation in a current budgeting cycle, this chart will certainly be interesting. As many readers would expect content marketing is getting the biggest increases in many organisations (this includes SEO in this edition of the survey it seems since SEO isn't broken out separately).
Another notable feature of this chart is which channels are receiving the lowest increases in investment. Mobile is clearly gaining investment, but paid search, display advertising and affiliate marketing are growing at a lower rate.
I was also interested in the breakdown of investment in customer acquisition in comparison with customer retention. It's often thought that budget investment on retention is insufficient compared to acquisition.
The research shows that in nearly a half of businesses there is an equal balance, but in the remainder the balance is in favour of acquisition.
For more insights on allocation of budget for digital media see our Managing Digital Marketing 2014 research report with TFM&A. This has additional insight on sourcing in-house or outsourcing and investment in optimisation and paid social media.
By Dave Chaffey
Dave is CEO and co-founder of Smart Insights. He is editor of the 100 templates, ebooks and courses in the digital marketing resource library created by our team of 25+ Digital Marketing experts. Our resources used by our Expert members in more than 80 countries to Map, Plan and Manage their digital marketing. For my full profile, or to connect on LinkedIn or other social networks, see the About Dave Chaffey profile page on Smart Insights.
Dave is author of 5 bestselling books on digital marketing including Emarketing Excellence and Digital Marketing: Strategy, Implementation and Practice. In 2004 he was recognised by the Chartered Institute of Marketing as one of 50 marketing ‘gurus’ worldwide who have helped shape the future of marketing.
Start the discussion on our community and social networks
Recommended Blog Posts
A newly launched SaaS will be up against hefty competition and numerous potential customers who have seen it all before. The owners and administrators of the service can get a quick leg up by following a few tried and true …..
30 key statistics from 2017 to inform your marketing strategy in 2018 when targeting millennials Millennials have become a bit of a buzz word over the past few years, but do you truly know how to reach this generation? Millennials were …..
Popular Blog Posts
Statistics on consumer mobile usage and adoption to inform your mobile marketing strategy mobile site design and app development “Mobile to overtake fixed Internet access by 2014” was the huge headline summarising the bold prediction from 2008 by Mary Meeker, an …..
Landing page examples and best practice advice Discussion of web design in companies who don’t know the power of landing pages still often focuses on the home page. But savvy companies know that custom landing pages are essential to maximise conversion …..
Use the RACE Planning System to get ahead in your digital marketing The first edition of my book Internet Marketing: Strategy, Planning and Implementation from 2001 included a popular template for creating what we then called an Internet Marketing Plan. Today, …..