It just so happens that when the time comes for budget cuts, marketing is the one that gets tightened. However, this can be counterproductive because you need to market and bring in business to get more money for the budget. But don’t fear. If your budget has been cut, there are still ways you can make the most of it.
It’s all about not panicking, evaluating the situation and prioritising your efforts. It may mean revamping your marketing strategy to focus on reaching your objectives and measuring your Return on Investment (ROI).
So, let’s get started with four key actions to take:
1. Evaluate your existing data against your goals
This seems like an obvious first step, but it’s a really important one which many businesses carry out incorrectly. Some businesses only focus on vanity metrics such as overall traffic or page likes on Facebook. But these metrics may not actually mean anything in terms of gaining new clients.
Rather than focusing on vanity metrics, you should look at the actual transactions that have happened from your marketing efforts. If you find there are some avenues which are generating more transactions than others, it can give you an idea of where you should focus your efforts. The same logic can also indicate which of your marketing efforts are falling short.
Once you know this, you can re-distribute your budget into the channels which are better performing. Limiting your metrics to these also allows you to better prove your Return on Investment (ROI), so when the next budget comes around, you can prove your worth when it comes to marketing.
2. Narrow your targeting
Understanding your audience is vital to impactful marketing. However, your audience may change over time. As a result, you may be wasting money targeting the “wrong” people. So it may be worthwhile re-connecting with your audience to define who your ideal customer is and who is more likely to buy from you.
This could be done through a survey of existing customers to find out more about them. If you include questions such as “How did you hear about us?” you can also see how well your marketing channels are working. Utilising online analytics tools can also help find out where people came from to make your data more reliable.
3. If you have limited data, go with what you know
Sometimes, the data isn’t complete; or isn’t what you need when you need it. This isn’t a problem limited to just your business, in fact, quite a few businesses suffer from it and have done so for years. As a result, you may not have all the data available to make an informed decision about which channel to go for. If this happens, making some “safe bets” may be best.
For example, email marketing. It’s perhaps one of the oldest forms of digital marketing, but it is still very effective and trackable. It can be used to give your customers useful information but, if used correctly, can also lead them towards making a purchase. It is also fairly cheap, meaning you usually get a very good ROI.
Also, keep on top of your Search Engine Optimisation (SEO) and content, as these can also produce good ROI.
4. Invest in efficiency
This isn’t always about doing more in less time, but about making the most of your time and doing the right things. As the adage goes, “Work smarter, not harder”. This can boil down to 3 core elements:
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Technology Having the right technology can optimise workflow and even automate time-consuming processes.
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Training If the marketing budget has been cut, it’s likely that there have been other cuts taking place too. This may include internal resources. Make the most of what you have available to you; re-training staff is a good way to improve things. Whether this is expanding skill sets or levelling up current skills, having your team working to the best of their abilities is a great way of making the most of what you have.
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Agency partnerships Partner agencies have the expertise in their field; they can give you insights and support to maximise your ROI. This can be a cheaper solution than hiring someone with the equivalent skills.
Summing Up
Budget cuts aren’t fun for anyone. So use the knowledge you have to redefine your marketing strategy from both a tactical and measurement standpoint. Hopefully, this will allow you to see where your money is being spent and what you’re getting back from it while helping to protect you from future cuts.
