Then, average or use the highest quote to base your

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Values? Very good, you now know what some of the possible marketing expenses are and, also, how to distribute the budget between them in accordance with the goals of the sector. But we still haven't gotten to the main point: how to estimate the value that should be attributed to each category of expense? There are different answers to this question. They are all valid, so you can use the method that seems most convenient to you. Use of previous references ADVERTISEMENT If the expense category refers to something you have already done or used on another occasion , then you have some reference for how much you need to have available. For example, if one of the elements of your budget is payment to the marketing agency, and you have worked with an agency in

the past, you can use the previous contract as a baseline. This doesn't mean Chinese Australia Phone Number List you'll be working with the same agency this year. And, if you work, the values ​​may be different. But at least you're starting from a well-founded estimate for your budget. Making quotes If you have never had a similar expense in your marketing budget, you can make a quote, just to get an idea of ​​the values ​​​​in the market. Call a few vendors, give them background information, and ask for a value proposition. Then, average or use the highest quote to base your budget on. Of course, this quote will not be accurate . For example, if you think the company is going to organize an event during the year, you can make a quote for buffet expenses; The problem is that you still have no idea how many people there would be at that event





or what the ideal menu would be for the occasion. After all, it's just an estimate, maybe the company won't even do the event, who knows? Working with a margin of safety As you probably noticed, both methods we presented are imprecise. And that is why the margin of safety is essential for your marketing budget. Basically, you should always estimate a little more for each budget item, a good margin is % to % of the value. Taking into account the financial availability of the company The first two methods assume that there is good flexibility to