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  • Writer's pictureJuan Grassie

How to allocate a marketing budget to increase sales?

This is one of the most common questions and it is where the marketing and sales strategy begins.

If you are a business owner, it may help you to think about the following:

How much are you willing to pay for a new customer?

It depends on several factors that I will list:

1.-Can your product or service have constant purchases?

Selling an architectural design or an apartment is not the same as selling veterinary medical services or seeking to attract local customers to your beauty salon. Each client cycle will be different and the best strategy must be evaluated

2.- How often will your client buy from you?

Is the sale of the service or product repeated every:


every 6 months

1 time in life?

Analyzing the above, we can calculate how much a new client can generate for us and come to the conclusion of how much we can invest in acquiring it.

3.- How much profit margin does your product or service have?

You must know how to perfectly calculate the costs of your product, since now investing in advertising you must add this new cost.

Ideally, paid advertising will eventually come to a minimum cost. That is, that little by little you can implement strategies that allow your cost to become cheaper.

My conclusion

If you need to grow and want to find another source of customers, it's easy to decide that you need to promote yourself digitally. The 3 questions will help you start in the best way without spending more money.

The most important thing to remember is that it is not magic, although sometimes advertising works like magic, usually you have to give it time to analyze how to find your ideal prospects and how your product or service solves their problems.

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