How To Prioritize A Social Media Budget For Each Of The Business Goals? – Staying On Top Of Everything
When starting a business, it can be challenging to get the hang of everything that goes into marketing for business. Finding out that a fantastic website without social media doesn’t cut it can be difficult for people to grasp fully. You will need a social media presence – and a social media budget on top of that – for optimal performance.
Are you stuck wondering how to prioritize a social media budget for each of the business goals? Why do businesses need a social media budget in the first place? And how large should it be?
Continue scrolling to learn the importance of a good social media budget plan!
What Is A Social Media Budget?
A social media budget is a document that specifies how much you plan to spend on social media over a specific time, e.g. a month, a quarter, or a year. It can be presented as a simple spreadsheet with the aim of providing a clear understanding of the costs of your social media efforts and is a valuable tool for measuring return on investment.
Usually, the budget is a spreadsheet that depicts how much money can be spent on marketing. The budget plan is a handy tool to calculate the social media ROI and how the allocated budget has performed.
How Big Should Your Social Media Budget Be?
Well, there’s never an exact answer to this one. However, the experts from the one of the recognized UK agency Pixated did share their best practice with us. There’s no set rule for how much to spend on digital marketing however, there are some rough guidelines based on research:
- B2B companies should allocate around 5% of revenue to marketing if they want to continue growing steadily.
- B2B companies should allocate around 10% of revenue to marketing if they want to scale up.
- B2C companies should allocate around 10% of their revenue to marketing if they want to continue growing steadily.
- B2C companies should allocate around 15-20% of their revenue to marketing if they want to scale up.
Each business spends how much it can on its digital marketing strategy. However, if you market to consumers (B2C), you should generally spend double of the B2B figures of your revenue for marketing.
Here’s what that translates to:
Small businesses spend around $30,000 per year on advertising, while large companies spend over $100,000 on average.
What Should A Social Media Budget Plan Include?
A budget plan has to have certain key elements – and they are ultimately the same for social media budget plans. On the other hand, it should include all the things that make your social media worthwhile, so let’s discuss those things.
Creating The Content
The content is the single most essential part – and most businesses spend over 50% of their budget on said content creation. In this section, you will have to include making the photos and videos, editing the videos, additional staff costs, production, graphic design, and copywriting for your website or blog content.
Tools & Software
Your budget will also have to cover some helpful tools and software for design and editing, social media analysis, ad management, and so on. These costs vary significantly based on the size of your business and how big your goals for this quarter are.
Organic content is great and all – but social media campaigns will get you the social media ROI you are aiming for here. Social advertising like Facebook and Instagram ads will be great for starting an online conversation about your products and services.
For B2C you should also consider Pinterest, Snapchat and TikTok ads. Then for B2B take a look into LinkedIn sales navigator and Twitter ads.
Influencers and famous content creators can get you a boost on social media. The costs vary significantly from creator to creator – so, be careful to stay within your budget.
Our automation tool can help you make strategic management a bit easier – but you should still have a supervisor in place. Someone in your team will have to go over all the details to ensure that everything is going according to plan and represent your business.
How To Develop A Social Media Budget Plan For Conversions, Awareness & Reach?
Always start with your goals and objectives – what you wish to achieve with your social media budget. It could be increasing conversion rates, boosting awareness, or expanding your reach. Either way, specific, measurable goals will help you track your success.
Our partner Pixated starts with these key points of structure:
1. Understand and agree goals
Use that as a starting point for your campaign template, then add your target audience, a value proposition, etc.
2. Benchmark previous performance data
Before you set the budget, analyze your spending from the last three quarters. See how much you spent on social media and start from there.
3. Forecast performance based on goals and benchmark data
Then, create the strategy and include other social media campaign examples as inspiration if you’d like.
And there you have it – the perfect budget plan! We thanks for the cooperation of our partner – Agency Pixated. Do you need a strong partner in the UK? Checkout out the works of our partner with three branches in London, Birmingham and Manchester.
How Can BOOSTERBERG Help With Budget Organizing?
Boosterberg allows you to schedule content in advance, set your budget, increase your social media ROI, and target a specific audience for ad placement. Let Boosterberg promote your content on your behalf, and your brand will stay top-of-mind.
Our automation tool will help you streamline and automate your promotions on Facebook and Instagram, allowing you to cut back on social media – and focus on other essential things.
Now that your budget is organized, it’s time to focus on fulfilling all of your business and social media marketing goals. To manage all your social media ads with ease, try Boosterberg, our social media automation tool.
It can help you manage your brand and tell your brand’s story in the most efficient way possible. Sign up today – and get a free 14-day trial!