Marketing budget calculator
Work out a marketing budget in two ways: as a share of your revenue, or backwards from the number of new customers you want, through your lead and visitor conversion rates. Then split it across channels and see it per month.
How to use the Marketing Budget Calculator
- 1Choose a method: a percentage of revenue, or working back from a customer goal.
- 2Enter your numbers. For the goal method, use your own conversion rates and cost per click if you have them.
- 3Adjust the channel split to match where your customers really come from.
- 4Copy the budget into your plan, and update it once you have real results.
Frequently asked questions
What percentage of revenue should go to marketing?
Many small businesses spend roughly 5–10% of revenue on marketing, and new businesses trying to grow fast often spend more. The right number depends on your margins, your growth goals and how much a customer is worth to you.
How does the goal-based budget work?
It starts from the customers you want, divides by the share of leads who buy to get the leads you need, then by the share of visitors who become leads to get visitors, and multiplies the paid part by your cost per visit.
How should I split my marketing budget between channels?
Put most of it where your customers already find you, keep 10–20% for testing new channels, and move money every month towards whatever brings customers at the lowest cost.
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