Uhh, how much to budget for ads?
A smarter way to plan your marketing budget (with real math, not guesswork).
In almost every client meeting, this question pops up.
"What is the average budget we should put into ads?"
Sometimes, someone from finance would say something like, "I think putting 10% of our revenue into marketing makes sense."
Newsflash, that does not make sense.
My take: If your marketing works, why limit your growth to 10%? The only logical reason why people limit their marketing budget… is when it doesn’t work.
Start with the end in mind
In the book, 7 Habits of Highly Effective People, Stephen Covey writes, "Begin with the End in Mind".
It's the same in marketing.
- Don't ask: How much to budget for ads?
- Ask: What is our goal?
For example, when we ran Underdog Con, our target was 120 attendees.
We worked backwards:
If we could acquire a paid attendee at RM50, then... RM50 x 120 = RM6,000 ad budget
Simple. Strategic. Predictable.
No more marketing mess!
Let me ask you something uncomfortable. Do you have a solid marketing plan, or are you stuck in tactical hell – jumping from influencer marketing, to livestreams to social media?
If your week feels like putting out marketing fires... that's a sign you're guessing.
Most businesses don't know their:
- CAC (Customer Acquisition Cost)
- CLTV (Customer Lifetime Value)
- Top-performing traffic source.
That's why I created a 15-minute marketing plan masterclass. It's the same planning system I use for every client before we launch any campaign.
Watch the masterclass here (Just RM49, one-time)