Wondering how to plan a marketing budget? Creating a marketing budget for your company may seem daunting, but it doesn’t have to be. A budget for marketing plans helps keep your strategy on track with your company’s overall finances, so you can reach your business goals.
On this page, we’re diving into six easy steps for how to create a marketing budget for 2025 to make your next planning session a breeze!
Here’s a quick overview of everything we’ll cover on this page:
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A marketing budget is an outline of the costs your company will spend to market or promote your brand, products, or services. A budget in marketing covers all the expenses of your marketing strategy for a finite period of time, which could be anywhere from a quarter to a year.
How to plan a marketing budget for 2025 in 6 steps
Now that you know why a is essential, it’s time to look at how to prepare a marketing budget and prioritize it. Check out these six critical points you’ll want to establish to set up your marketing budget:
Every guide on how to create a will say that you must establish your business’s goals — and it’s true! You need to know what you want to achieve, so you can set a budget that allows you to achieve those goals. You can set goals that focus on:
When you set your business’s goals, make sure they’re specific and smart. You don’t want to set a goal like “increase sales.” It won’t give you a precise target to Afghanistan Phone Number Data work towards and achieve.
Instead, set a goal like “Increase sales by 20% by the end of the year” This goal is easily measurable and gives your team something precise to 50 of the best digital marketing tools to use in 2025 achieve. It’ll also give you a concrete reference point when budgeting for marketing because you know how much you want to increase sales by and the timeline for achieving that increase versus just knowing that you want to increase sales.
If you want to know how to prepare a marketing budget properly, start by adding your overall business goals so you can invest in the right marketing methods to help you reach your goals.
2. Establish your sales cycle
When you create your marketing budget plan breakdown, you want to establish your sales funnel. Your sales funnel is a critical component of your marketing budget because it determines where you’re going to spend your money. Your sales funnel is the process your audience goes through to become a paying customer. A typical sales funnel will have four stages:
Awareness: At this stage, your audience becomes aware that they have a problem and starts looking for solutions.
Consideration: At the consideration stage, your audience starts to look at the options available to them.
Decision: When a lead reaches the decision stage
They start to narrow their focus on companies that provide the best solution or product for their needs.
Action: Once a lead reaches the action stage, they choose your business and become a customer.
Understanding your business’s sales funnel helps you see where you may need a digital marketing strategy to help you keep more people from falling out of the funnel.
For example, let’s say you notice that your business’s funnel has a ton of people at the consideration stage, but very few make it to the decision stage. While some drop-off is natural, you notice that the decline is more significant than what you’d expect.
As a result, you may find that you need to budget more money for strategies that will help get leads from the consideration stage to the decision stage. Strategies like video marketing, pay-per-click (PPC) services, and social media ads may help you push those leads down the funnel.
So, to help you understand how much you need to budget for marketing, you need to understand your sales cycle. Knowing your sales cycle will help you anticipate strategies you need to invest in, which will help you budget for your marketing plan wisely.
