Marketing Budget Calculator
MARKETING BUDGET FORMULA: (REVENUE TARGET / AOV) x COST TO ACQUIRE
Calculate your marketing budget beyond guesswork.
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Identify the best digital marketing strategies, tactics and channels to use for your business!
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Calculate your customer lifetime value quickly and easily. Explore different scenarios.
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Marketing Budget Questions
What is a good Marketing Budget?
Typically companies are re-investing 10% of their gross revenue into marketing.
Your marketing budget depends on a variety of variables, including product-market fit and business objectives. If your target is to repidly scale up, consider investing north of 50% of your revenue into marketing.
How do you calculate digital marketing budget?
MARKETING BUDGET = REVENUE TARGET / AOV) x COST TO ACQUIRE
You should reverse engineer your marketing budget based on your revenue objectives, average order value, and cost to acquire your customers.
What is included in a Marketing Budget?
Every marketing expense should be taken into account to create a marketing budget.
A typical marketing budget includes the cost to create advertising collateral, media cost, technology cost, agency, freelancer or marketing-related human resources expenses.
How do you calculate marketing budget?
Start by asking a few simple questions:
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What is your revenue target?
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How much revenue do you make per customer or per sale?
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How much does it cost you to acquire a customer?
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How frequently do your customers purchase your products or services? (What is your customer lifetime value?
Access the marketing budget calculator to get started!