An advertising budget is not just beneficial for businesses. It’s essential.
Advertising increases visibility, educates the community and motivates potential customers to act.
However, many small businesses on a tight budget question whether they can afford to advertise. Instead, the question should be: Can they afford NOT to advertise?
Priority Marketing’s Media Buying Department researches, negotiates, plans and places advertising for TV, newspaper, magazine, radio, outdoor, online and other types of media. In addition to coordinating schedules, the media buying team also monitors and audits campaigns to ensure they are generating a return on investment.
Establishing an advertising budget
In competitive markets, businesses must advertise their products and services to gain attention. Otherwise, competitors will command all the attention… and sales.
There is not a universal percentage of revenue that businesses should devote to their advertising budget. Instead, advertising should be targeted and strategic. It’s usually based on demographics or geography through media sources that customers are most likely to watch, read or hear.
The advertising budget should not include one-time advertisements. Instead, invest in frequency. Ideally, an advertising budget is deemed effective if it reaches at least 60% of the target audience a minimum of three to five times.
DID YOU KNOW? Estimates for the number of advertisements we see per day are as high as 10,000 ads. That’s why it is vital to build a message that is original and creative. That helps your advertising cut through the noise. Keeping messages short and simple helps brands remain memorable and stay top of mind with consumers.
Why media buying is not a DIY task
Media organizations employ sales professionals whose job is to sell advertising to businesses and nonprofits. Advertising packages can cost anywhere from a few hundred dollars to a few hundred thousand dollars. That’s why it is important to partner with a trusted, independent media buyer familiar with the advertising landscape. Priority Marketing helps each client maximize its advertising budget with an eye on results.
Below are five advantages of using a media buyer:
- Time: Business owners and managers are busy running day-to-day operations. Time is always in short supply. Executives often tap into the expertise of specialists to expedite decisions. A media buyer manages multiple media outlets, ongoing sales calls, contract arrangements, tracking, invoice discrepancies and more. Priority Marketing’s mission statement clearly outlines how the firm does its best “so you can focus on what you do best.”
- Media list: There are dozens of potential media partners in every market, including TV stations, newspapers, magazines and radio stations. Priority Marketing has assembled a media buying team with extensive experience and contacts across all platforms.
- Audiences: Each media organization serves a distinct audience. In Southwest Florida, there are magazines targeting business leaders, parents, fashionistas, health-conscious readers and event-goers. Buying an ad in the right publication can generate huge dividends.
- Negotiation: Media organizations publish rate sheets showing advertising prices. However, Priority Marketing’s media buyers have established relationships with media organizations and often receive preferred rates, as well as “value adds,” which are additional advertising and advertorial opportunities provided at no cost.
- Independence: Sales representatives at media organizations will only recommend their advertising opportunities. On the other hand, a media buyer is an unbiased adviser who recommends media placement that best aligns with products, services and goals.
LEARN MORE: Priority Marketing’s Media Buying Services
The Marketing Mix
Financial planners recommend a balanced investment portfolio with stocks, bonds, mutual funds and cash. This helps manage market risk while helping clients achieve their long-term goals.
Advertising experts also recommend a balanced marketing portfolio. That’s because consumers have different media consumption habits. Seeing an advertisement in multiple places also makes it seem like a business or organization is everywhere; that’s great for branding. The marketing mix, as it’s called, has three areas of focus, each with multiple options to consider:
Paid media
Businesses and nonprofits can pay for space on a multimedia platform. Paid advertising is the best way to guarantee your message is delivered when, where and how you want it. After all, you’re paying for it! Examples of paid media include:
- TV commercials (broadcast, cable and streaming)
- Print advertisements (newspapers and magazines)
- Radio spots (FM, AM and streaming)
- Billboards (roadside, stadium and transit)
- Online display ads (websites and social media)
Owned media
Most organizations do not distribute their own magazines or run their own TV station. However, they can still create content to share with target audiences on platforms they control. Examples of owned media include:
- Websites
- Blog articles
- Social media pages
- Corporate brochures
- Direct mail
- Newsletters (print or electronic)
Earned media
Major media companies like Hearst, Scripps, Gannett and Tribune operate hundreds of television stations and print publications around the country. Unlike traditional paid advertising, earned media references media attention because you earned it – not because you paid for it. This means your content has news value. Examples of earned media include:
- News stories
- Guest opinions
- Editorials
Additionally, several digital options for earned media have emerged over the past decade. These can be just as important as legacy media:
- Online customer reviews: Google, Facebook, TripAdvisor and Yelp
- Social media influencers: TikTok, Instagram, YouTube, Facebook and X (Twitter)
DID YOU KNOW? The term “coffee break” came from an advertising message in 1952. That’s the power of advertising.
As a valued partner, Priority Marketing helps clients incorporate all strategies to help them reach their goals.
Looking for a media buyer to help your business or organization reach the right audience? Please give us a call today at 239-267-2638 or send an email to LetsTalk@PriorityMarketing.com.
