Planning a digital marketing strategy for 2019 could be more difficult than ever, as the competition is becoming denser by the day, and the technologies and trends are changing by the minute. It’s worth considering these novelties and shifts, not only in social media marketing but also in social media budgets. By researching which platforms businesses are spending the most on, you will see where they’re seeing the best returns, and this will help you learn the best approach for your business, which must not be a mere copy of the trends.
Nearly 70% of digital marketers who participated in SMT’s 2018 Social Media Spending Survey said that they are planning to spend more, however, this doesn’t mean they are taking the right approach. According to Orbit Media’s 2018 Blogging Statistics Survey, a better approach to take would be to invest in professional writers who would write original content.
Let us try to make the task of setting a social media advertising budget easier for you, by taking these and other important facts into account.
How much should you spend?
According to an analysis by The Content Factory, the industry average when it comes to social media marketing is $4,000-$7,000 per month ($200 to $350 per day). The accurate number, though, will be influenced more by your annual revenue. On average, companies spend between 10 and 13 percent of their annual income on marketing, with 25% of that budget going to social media marketing spending.
When you are budgeting for social media advertising, you also have to take into account the past revenues based on the social media strategy, and your marketing goals.
Which costs should the social media budget include?
We already made a distinction between paid ads and content writing in the intro. But it is imperative to differentiate these things when planning the budget and allocating the funds. There are four areas of social media spending businesses need to pay attention to:
- Paid advertisements
- Technology and tools
- Social media managers and the creative team
- Service costs
Paid ads encompass those ads you are paying directly to social media platforms, such as Instagram, Facebook, and LinkedIn. It can be a very cost-effective marketing approach, as long as you target the right audience.
Technology and tools used to launch and optimize social media campaigns are diverse, and they range from photo editing software to analytical platforms. It is always recommended to use a social media management tool, for a more effective social media strategy and efficient scheduling.
The team behind the whole story will not work for free, regardless of whether they are an in-house team or freelancers. Hiring freelancers can be more affordable, especially if your firm does not require the constant labor of, for example, designers, photographers, etc.
Another option is to leave everything related to social media or any kind of marketing to a specialized digital marketing agency. In that case, you will have to calculate the price based on the services you are getting (managment of social media accounts, on one or more platforms, designing campaigns, etc.).
Where to spend?
You know how they say, “don’t spend it all at one place”? It is the same with social media marketing. A blunt example would be: it is not cost-effective to have a retirement home ad campaign on Snapchat because more than 70% of Snapchat users are under 34 years old.
The platforms you should consider, depending on your line of work and target audience, are Facebook, YouTube, Instagram, Twitter, Pinterest, Snapchat, and LinkedIn.
To choose the right platform for your business, first, you will need to do research of your customers and audience. The network (or networks) you choose should be most frequently used by your target market.
How to get more for less?
It is the question that has been “bugging” the business community from the moment when the first goat was traded for a bag of flour, and in social media marketing, it is finally possible to succeed at it. Here are some basic things you should know, and you can take it from there:
- Set clear and measurable goals and monitor the progress.
- Capture the audience’s attention with inspiring and engaging ads.
- See what is popular among your target audience and use it for generating an appealing campaign.
- Experiment with your ads, and learn from customer feedback.
- Adapt the social media campaign to different platforms. Facebook and Twitter users will never react the same to an identical message.
Tailoring the budget to your needs
To summarize, these were mere guidelines which should help you tailor the budget and the fund allocation based on your business’s revenue, goals, and target audience. It is not possible to find one solution that fits all businesses. It is up to you to do thorough research and establish a strategy based on the results and the specifics of your business. Don’t expect it to hit immediate success, though. It is a process, and you are meant to experiment and learn from your mistakes. It is the only way to grow.
About the Author:
Natasha is a web designer, lady of the keyboard and one hell of a tech geek. She is always happy to collaborate with awesome blogs and share her knowledge about IT, digital marketing and technology trends. To see what she is up to next, check out her Twitter Dashboard.