Marketing budgets have consistently met untimely ends due to economical constraints and unpredictability in the market. However, marketing is crucial to the ongoing growth and incremental brand awareness involved in so many of the steps of business. When it comes to business and forging new awareness for brands, you’re bound to see marketing involved every step of the way.
It’s a critical aspect of ensuring steady growth and stability, but it must be flexible enough to navigate the unexpected waves. Ashley Rodriguez, Co-founder of Alchemi Marketing, understands this balance well and has introduced the 30-30-40 method, helping businesses create marketing budgets that are sustainable and predictably achievable.
Sustainability: The Foundation of Marketing Budgets
A sustainable marketing budget is the foundation of the entire practice. It’s designed to ensure the long-term health of your business, allowing you to consistently invest in incremental growth. To have a sustainable budget, you first need to decide what the maximum monthly spend is for your entire marketing efforts. Ashley has first-hand experience working with budgets as small as $200, and as large as $65,000+ per month or more. Here’s how the 30-30-40 rule builds sustainability into your marketing budget:
30% for Automation: To sustain your marketing efforts, allocate 30% of your budget to automation tools and processes. These might include social media scheduling software, design tools, or CRM systems. By automating essential tasks, you free up time and resources for strategic activities.
30% for Boosting and Testing: Another 30% of your budget should be earmarked for boosting posts, running small ad campaigns, and testing audience engagement strategies. This segment allows you to experiment and optimize your marketing efforts without risking a significant portion of your budget. It also allows for consistent growth and brand awareness as you refine your testing and gain new awareness. Small but achievable growth – is still growth.
40% for Savings: The largest chunk of your budget, 40%, should be placed in a savings account. This acts as a financial safety net, allowing you to pivot or seize opportunities when unexpected events occur. It can be used for sponsoring events, advertising in prestigious publications, or investing in high-impact marketing strategies.
An example would be $200 maximum spend per month for solo-preneurs or small businesses. That means out of this amount per month:
$60 would be used for automation. Choose the automations wisely like scheduling, bulk creation, and content curation.
$60 would be the maximum per month for boosting and testing potential larger ad campaigns. Use this budget to boost popular posts, stories, or set small ad campaigns. Although it’s micro-sized, the data is still relevant and important to larger campaigns.
$80 per month would go into a dedicated saving space for larger opportunities like ad sponsoring, magazine or commercial placements, or saving for video creation services. Depending on your larger goals, you’ll need to calculate the time it would take to achieve at this rate – but consistent saving of 40% of your entire marketing spending will ensure you are able to invest in these larger opportunities over time.
The Power of the 30-30-40 Method
The 30-30-40 method offers a well-rounded approach to budgeting that promotes sustainable growth, achievable targets, and preparedness for unforeseen circumstances. By implementing this method, businesses can expect:
- Consistent Incremental Growth – The combination of SEO, strategic advertising, and process automation ensures steady, predictable growth.
- Flexibility – With 40% set aside for savings, your budget is equipped to adapt to changing market conditions or capitalize on unexpected opportunities.
- Peace of Mind – Knowing that your budget is designed to withstand challenges provides peace of mind, allowing you to focus on strategic marketing initiatives.
- Creative Freedom – The 30-30-40 rule allows you to explore innovative marketing strategies, such as high-quality video ads or exclusive event sponsorships, which can elevate your brand’s visibility and impact.
This 30-30-40 rule offers a practical framework for creating marketing budgets that are sustainable and achievable. It ensures businesses of all sizes can navigate the complex marketing landscape with confidence, setting sail towards a future of consistent and predictable growth.
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