No matter what your marketing budget is, maximizing return on investment is extremely important but it becomes even more so when you have a limited budget. With a small budget, it can feel like you aren’t getting as much out of digital marketing as you could be and you might question whether it is worth investing in digital at all. However, digital can be an effective tactic at any budget level and there are a few steps you can take to get the most out of a limited budget.
Step 1: Determine your goal
Regardless of budget, your marketing mix should be influenced by your goals and business priorities. Identifying one or two key goals for your digital marketing effort is especially important with limited budget. By determining your main goal from the start, you can focus your energy on the channel (or channels) that will help you reach that goal instead of potentially wasting budget in an attempt to achieve too much at one time.
Step 2: Identify your key metric(s)
Now that you’ve locked in your goal, it’s time to figure out what metrics are going to determine success for you. These could be return on investment metrics (I want to have a $50 or less cost per lead on Facebook) or campaign performance metrics (I want a 45% engagement rate for my interactive display ads).
Not only will choosing these metrics help outline what a successful campaign looks like to you but it can also influence your chosen bidding strategy. If cost per lead is the most important metric, you would likely want to bid on a cost per lead basis so you can control it. If your key metric is engagement, then you might want to bid on impressions (CPM) to get your ads in front of as many people as possible.
Step 3: Be ready to make adjustments
No marketing campaign is perfect from the very beginning. Be prepared to adjust targeting, bids, and messaging as your campaign ramps up. Hold your key metrics in mind and use them as a guide for when and how to make changes. Keep track of your changes and their outcomes so you can create your own set of best practices to use in the future.