No budget? No problem: Creating a marketing plan for your small business when you have limited funds

Are you a small business owner feeling overwhelmed by all of the marketing advice out there? Are you trying to get by on free tips, challenges and relentless emails? You're not alone.

One of the most common concerns I hear from my clients is, "I don't have the money to do proper marketing." But here's the truth - effective marketing doesn't always require a big budget. It’s possible to grow your marketing budget alongside your business success so you’re always moving those graphs up and up.

This is general advice, so please remember that as you’re reading, but I want to share some of my experiences and knowledge from 28 years of working with businesses and budgets of all sizes. Read on for some advice on how to create a realistic marketing budget and leverage low-cost channels to grow your business.

Assess your current situation

Before you dive into the potentially stressful business of budgeting, take the time to collect all the information first (you may want to get your bookkeeper or accountant to help with this.

1. Review your overall business budget

2. Identify your current marketing efforts (even if they're minimal)

3. Determine (or set) your marketing goals (e.g. increase brand awareness, generate leads, boost sales)

Set a realistic marketing budget for your small business

I tried to find a universally agreed-on percentage to help you on your way, but it doesn’t exist. What everyone does agree on, is that you should reinvest some percentage of your revenue into advertising and marketing. This amount is going to change over time but here’s a guide: 

1. Start small: If you're new to budgeting for marketing, begin with 3-5% of your revenue.

2. Be consistent: It's better to allocate a small amount regularly than to do sporadic, expensive campaigns.

3. Track results: Monitor which efforts bring the best return on investment (ROI) and adjust accordingly. No point in continuing to invest in marketing channels that do not work.

Leverage your low-cost marketing channels

There are dozens of channels you can use to market your products or services on a shoestring budget but, though they appear free, the cost of your time can do more harm than good sometimes. I would caution you to keep track of the time you spend on social media and account for it when you are putting together your marketing budget. 

Here are a few low-cost channels you might consider:

1. Content marketing can be incredibly cost-effective. Some examples:

• Start a blog on your website

• Share valuable tips and insights on social media

• Create a newsletter to keep in touch with customers

Cost: Your time and potentially a small fee for email marketing software
ROI: Improved SEO, increased website traffic, and better customer engagement

2. Collaborate or partner with complementary businesses to expand your reach. Some examples:

• Host joint events or webinars

• Run a joint giveaway

• Offer package deals with partner products/services

• Exchange social media shoutouts or guest blog posts

Cost: Your time and potentially small costs for event hosting
ROI: Access to new audiences, increased credibility, and shared marketing expenses

3. Signage - I find it’s completely underrated or forgotten these days. Can you pop some signage on your car and/or your partner’s car? Do you have adequate signage on your store? Are there any high-traffic areas in your neighbourhood where you can pop a sign?

Cost: Printing and possibly graphic design (if you can’t use Canva effectively).
ROI: Moving billboards like cars are always working for you and can add to brand visibility through repetition, especially if you are in a small town or regional area.

How to find money to reinvest into your business marketing

Here are two ideas to help you free up money within your business that you could use to develop and implement marketing strategies:

1. Audit your existing expenses, looking for areas where you can cut costs without impacting your core business. Even small savings can add up to a decent marketing budget. Do you really need all those subscriptions? Are you using all of those software packages or could you consolidate them?

2. Implement a silent ‘marketing tax’ by adding a small percentage to your pricing specifically for marketing. Roll this out on the 1st of January or July when price rises are expected, or communicate the rise to your customers in a way that feels comfortable for you. Tip: don’t call it a marketing tax

I hope this has been helpful in getting you to think about your marketing budget (or lack thereof) with a fresh approach. Remember, marketing is an investment in your business's growth, not just an expense. Start small, be consistent, and focus on channels that give you the best bang for your buck. With creativity and persistence, you can create an effective marketing strategy that fits your budget and helps your business thrive.

If you need help, please reach out. I’ve been working in advertising and marketing for 28 years now, so I know a thing or two about budgets as well as strategy. Marketing coaching and developing strategy is also an investment in your business that will pay off in the short and long-term.

❤️ Hi I’m Erika ✌️

I’m a marketing specialist with a BA in Media and Comms, Masters of Marketing, Certificate in CX (Customer Experience) and 28 years marketing experience.

I’m well-placed to help you navigate the sometimes overwhelming world of marketing and social media. I work with you one-on-one or create fun and action-oriented workshops and webinars for groups, organisations and businesses.

Connect with me on social media for more tips or to start a conversation 👇