Get the most out of your marketing budget in 2005

Knowing where and how much to allocate to your annual marketing activity and ensuring an effective return on your investment is vital to the success of most companies, but particularly to SMEs who may not have big budgets to play with and so need to think strategically.

With a wider choice of how and where to communicate your brand message than ever before, achieving business effective communication is more of a challenge than ever.

By working closely with its clients, creative communications agency With offers a fully integrated approach to advertising and marketing solutions across a wide number of disciplines. It puts the brand message first and then finds the best, most impactful way to communicate it, be it through press or TV advertising, direct mail, new media, film and video, events, exhibitions, internal communications or mobile technology solutions.

Rob Hodgson, Managing Director of With, offers some tips on getting the most out of your marketing budget in 2005 and what to consider when budgeting.

ìAny business needs to operate effectively and responsibly if it is to survive and grow, but itís vital that companies have a realistic view on what marketing activity and impact can be achieved.

ìA common approach when setting marketing budgets to spend the same as in previous years and allocate this to certain pots - TV, press, PR etc. If outsourced agencies are used, clients often ask agencies to come up with a campaign within each allocated pot.

ìWith’s advice and approach is that the most business effective way of allocating marketing spend is by working closely with an integrated agency, that works across a number of disciplines and isn’t dependant on hitting departmental targets, who will advise on the most appropriate means of communicating the message - rather than the medium dictating the spend allocation. Getting agencies involved in the budgeting process would be advised.
ìFrom experience, With can argue that having your agency more deeply involved in the budgeting process - looking at the overall impact you are trying to achieve, and in order to get true value for money, work with your agency to match creative, top line executions and chosen channels in line with the budgeting process - is the most effective route. The question is also whether traditionally structured agencies are able to achieve this.

With works with a wide variety of companies, from SMEs to large global organisations such as Orange, Microsoft, Virgin, Clarks, NWDA, First Assist, SSL International, Kellogg’s and Reebok.

Hodgson continued: ìThere are so many new ways to reach target audiences with a message, so spending budget wisely and in the most appropriate way, is ever more important. Consumers in particular are becoming more and more resilient to traditional means of advertising. A campaign needs to have impact and be delivered in the most appropriate way to create an impact.

ìIn addition, the need for creative and strategic work to become more measurable has increased over the years. The creative industry is maturing and clients are asking the questions that statistically measure the success of their marketing campaigns.

ìWith delivers business effective communication - this means that for each of our clients we always ask ourselves the question ... will this solution answer a need, is this the right medium for the message ... and exactly how will the effectiveness of this communication be measured. This approach ensures that the maximum return is always received from the budget available.

ìWork with your agency to ensure they can allocate spend in the most effective way and prove it!
Put the message first and allow for flexibility ñ you never know what the market may be doing at the end of the year and your marketing activity may need to vary accordinglyî.

With employs a set of informal guidelines which could be used for most campaigns, launch or project

Make sure you’ve really thought about the budgeting process ... make it an inclusive process between yourself and your agency.

Put the message before the medium - make sure that you have considered all channels of communication as a route to market.

Set the parameters for success early on - what will this look like at the end of the project?

Set stages within the project where budget and performance can be reviewed. Have an open dialogue with your agency which allows you both to be reactive to any situations whether good or bad which may arise

And finally - review success relative to your budget. Not all organisations have millions of pounds available - so be realistic about what you are trying to achieve ... success will be relative to the objectives you set at the beginning of the project.