Creating a marketing budget for 2025 can feel daunting, especially for companies with less than 100 employees. However, a well-planned budget is key to driving growth and achieving your business goals. Whether you’re focused on B2B or B2C marketing, this guide will help you allocate your resources effectively and make the most of your marketing dollars.
A marketing budget helps you plan, prioritize and track your spending to maximize ROI. It ensures that you’re investing enough in brand awareness, lead generation and customer retention to sustain growth. The right budget allocation depends on your business size, goals and industry, but understanding general benchmarks can provide a strong starting point.
For Companies with Under 100 Employees
Smaller companies typically allocate 33%-48% of their budget to both marketing and sales efforts, whether they are B2B or B2C. To achieve optimal results, the Southern View Crew recommends the following breakdown for your marketing budget:
1. Brand Awareness – 30%
This portion of your budget is dedicated to making your business recognizable and memorable to your audience. It focuses on increasing visibility and positioning your brand as an industry leader.
Examples:
- Social Media Ads: Run campaigns on platforms like Facebook, Instagram or LinkedIn to reach new audiences.
- Content Marketing: Create high-quality blog posts, videos and infographics that educate and engage your audience.
- PR and Sponsorships: Partner with local events, charities or influencers to gain visibility.
2. Lead Nurturing and Remarketing – 15%
Lead nurturing focuses on building relationships with your audience, while remarketing ensures you stay top of mind for potential customers who have already shown interest in your products or services.
Examples:
- Email Campaigns: Send personalized follow-ups to leads who downloaded a guide or visited your website.
- Retargeting Ads: Use Google Ads or social media retargeting to re-engage users who didn’t convert on their first visit.
- Customer Loyalty Programs: Implement offers or discounts for returning customers.
3. Lead Generation – 60%
This is the largest portion of your budget, aimed at acquiring new customers and driving sales. Lead generation is all about converting interest into action.
Examples:
- Pay-Per-Click (PPC) Ads: Invest in Google Ads to capture intent-based leads.
- Search Engine Optimization (SEO): Improve your website’s ranking to attract organic traffic.
- Webinars and Events: Host events to connect directly with potential clients.
For Companies with Over 100 Employees
Larger organizations often operate differently, with budgets tied closely to revenue. Here’s what we see on average:
- B2C Brands That Provide Services: Spend approximately 15% of their revenue on marketing, which is about 14.9% of their overall budgets.
- B2B Companies That Sell Services: Allocate around 12% of their revenue toward promoting their business.
For larger companies, the focus shifts to scaling brand awareness and maintaining strong customer relationships.
Example Allocations for Larger Companies:
- Brand Awareness (30%): National advertising campaigns, sponsorships of major events or expanding into new markets.
- Lead Generation (50%): Advanced analytics and CRM tools to optimize large-scale campaigns.
- Customer Retention (20%): Developing robust loyalty programs or enhancing customer service.
Steps to Build Your 2025 Marketing Budget
- Review Past Performance:
- Look at the ROI of past campaigns to determine what worked and what didn’t.
- Set Clear Goals:
- Decide whether your focus will be on lead generation, retention or brand awareness.
- Analyze Industry Benchmarks:
- Use percentages outlined here to gauge how much you should allocate.
- Segment by Campaign Type:
- Divide your budget into brand awareness, lead generation and nurturing to create a balanced plan.
- Monitor and Adjust:
- Regularly review your spending and ROI throughout the year to make adjustments.
Whether your business is small or large, allocating your marketing budget strategically will help you maximize your reach, engage your audience and grow your revenue. With the benchmarks and suggestions outlined here, you’re well on your way to creating a successful marketing strategy for 2025.Need help planning your marketing efforts? The Southern View Crew is here to guide you every step of the way. Schedule a free consultation today!
