For a small businesses or start ups every dollar you invest into your business is precious. Knowing how much to invest into your advertising can be tricky – you don’t want to over stretch yourself and you don’t want to under play it either – so how do you set a budget for your campaigns?
Start by looking at what you can comfortably invest into advertising each month and where your dollars need to go i.e. print, google ad words and what you can allocate to social media, Once you understand what you can spend, you now do what you can with what you have. You don’t need to reverse engineer this and think that you must spend a specific amount each month. You can start advertising on social media for as little as a dollar a day but bear in mind you also get what you pay for of Facebook.
Next divide your budget up keeping a small amount to boost your best performing posts and the rest for advertising.
Look at your business objectives for the month ans start to assess the best type and buying options for your advert campaign. Use any existing data you have to help you make this decision, so if you know your customers usually buy more at the end of the month then keep your funds ready to advertise then.
Split test your adverts and make sure you are getting the best value from your ads – check which image works best, test different terms in the copy and different calls to action to make sure you put your money behind the best performing ad. Don’t wait until the end of an ad campaign to assess you adverts, watch them every 12 – 24 hours as they run and keep tweaking them until you know you have the best “bang for your buck”
When you find a good formula ( right image, strong copy, the best call to action for your audience) and you start seeing results for your adverts ( results = more sales, business or leads ) you can then increase your budget behind this type of campaign because you can be more confident it will work for you *Note remember social media is ever changing and this too can change so always monitor and track your adverts
There is no simple answer to how much you should spend, Do what you can with what you have and learn as you go. Keep checking your ads and slowly start to increase your budgets when your seeing return of investment from you adverts.