By failing to invest in multiple channels to promote their brands, advertisers are missing out on the full potential of their campaigns. According to AdAge, this results in a staggering $31 billion in underspending each year.
Many brands try to move money from one channel to another in a bid to tap into an audience in a new medium without altering the overall budget. However, the Advertising Research Foundation study cited by AdAge has found that this strategy is ineffective: “Spending more to spread [your brand message] more widely” is the key.
“Spending more” is rarely an attractive term. But you might be surprised to learn that “more” in this case doesn't mean as much as you think. The study found a discrepancy of just 16 percent between what brands are currently spending and what they should be spending.
How Can Spending 16 Percent More on Marketing Benefit My Practice?
Looking at your practice marketing budget, it might be difficult to see what difference a 16 percent increase in your investment could make. Yes, it's a relatively small increase (especially compared to the billions more dollars the study prescribes), but wouldn't the return on investment be correspondingly small?
By adopting a multi-channel digital marketing strategy, your practice can build a flexible budget that invests in the platforms you feel would be best positioned to drive leads and revenue for your practice. Should you decide to increase your marketing budget, you can choose from a wide number of channels – many of which can be adjusted to fit your needs and goals.
Let's take a look at an example.
The 16 Percent Solution in Action
Say you've determined that your practice can afford to spend an additional 16 percent on marketing. If you typically spend $1,000, this will mean an additional $160.
Can $160 do much to enhance your practice marketing efforts? Absolutely! One increasingly popular channel our clients are using is paid social advertising through Facebook. (We have also seen positive results from Twitter, Pinterest, and LinkedIn, but Facebook offers more robust targeting options for your flexible budget.)
Facebook ad campaigns can be targeted very granularly to specific demographics, making it possible to get ads for your practice in front of a highly refined subset of users, increasing the likelihood of capturing the attention of your most valuable prospective clients, nurturing their awareness of your practice, and ultimately increasing the likelihood of their conversion into leads.
The monthly budget for Facebook advertising starts at $150, and there are a variety of campaigns you can use (see the image to the right). But this list belies the virtually limitless possibilities these campaigns can have when you start to define the type of prospective clients you want to reach and align them with your lead and revenue generation goals.
Balancing Your Budget
Let's return for a moment to your practice's hypothetical $1,000 marketing budget. Even if you're excited about investing your extra 16 percent into one of the Facebook ad campaigns mentioned above, $160 only pays for a one-month campaign.
Though this might seem like a limitation of increasing your spend, it's actually the hidden beauty of multi-channel marketing. By investing in this additional channel, you are increasing your brand awareness and lead generation prospects. By converting these leads into cases, you increase revenue, which benefits all aspects of your practice – including your marketing budget.
So, by investing more in your marketing and expanding the channels you use to promote your practice, you can drive revenue. By taking the additional money you earn full-circle, you can continue to invest in broadening awareness of your practice among target consumers.
Of course, every practice is different. Though the latest study shows that a 16 percent increase can help advertisers realize the full potential of their budgets, it is very possible that a higher investment might be necessary depending on your location, the level of competition, and the activities of your competitors. If you are unsure how much you should be investing in the marketing of your practice, please call (303) 233-3886 or contact Page 1 Solutions online to speak to your Internet Marketing Consultant today!
By Adam Rowan, Content Specialist, Page 1 Solutions