BACK
Budgeting for Digital Marketing
Taylor Tunnison • March 31, 2022

Budgeting for digital marketing is critical in the 21st century. Your future customers are probably online every day, and it’s important to meet them where they already are. Traditional methods like TV, radio, and print advertising just don’t deliver reliable results anymore. That’s because these broad approaches often aren’t targeted, personalized, or engaging enough to reach the right people.


The main benefit of digital marketing techniques is their flexibility. Many tactics can be adjusted on the fly to deliver the maximum return on investment (ROI) over time. They do this by allowing you track how well campaigns are doing throughout their duration. For instance, web traffic can be measured monthly to determine if something is making a difference. Social media platforms also provide detailed feedback on post reach and engagement, as well as demographic data. Critical key performance indicators (KPIs) like click-though rate (CTR) can indicate whether any attempt met specific goals.


In general, good marketing strategies help companies promote their products and services to the right target market. This allows them to increase sales by creating and nurturing genuine relationships. It also reduces overhead by taking a precise approach to advertising, which ensures the greatest ROI per dollar of marketing budget. Let’s take a closer look at how to budget for digital marketing.

Digital Marketing

Many companies are making the shift to digital. As more people spend more time online, the value of professional websites, social media profiles, and digital advertising becomes undeniable. The ROI of these channels is often higher than traditional marketing methods. Plus, the data they provide is useful for fine-tuning the approach along the way.


Digital marketing campaigns target the right audiences to produce high conversion rates while also providing measurable results. The best campaigns involve multiple tactics and channels including email, webpages, search engine optimization (SEO), and social media platforms. Your marketing plan will likely measure the following items in its budget:


  • Campaigns: platform-specific goals, timelines, and deliverables;
  • Advertising: graphic design, copywriting, SEO practices, paid and organic social media, and pay-per-click (PPC) or programmatic ad spend;
  • Software: tools, accounts, and software-as-as-service (SaaS) like cloud platforms, social media schedulers, and keyword research programs;
  • Training: materials such as online classes, subscriptions to publications, as well as industry workshops, webinars, and conferences;
  • Salary: compensation for staff members and subcontractors.


Allocating a proper budget for these items will require attention to detail. Successful companies prepare early and have a realistic expectation of costs before implementing any strategy. Do not simply go with your best guess. Instead, do your best to plan, monitor, and adjust your strategy every step of the way. Whether you work with an agency or a freelancer, get multiple quotes to ensure the best fit possible. 


It’s also important to review goals, campaign performance, marketing plans regularly. This will help to refine target markets and the ideal strategy for optimum growth. Campaigns that don’t meet expectations can then be analyzed to determine opportunities for improvement. 

Budget Allocation

Organizations must account for what they can afford. Regardless, budgeting for digital marketing involves reviewing and carefully considering business goals. Assess your situation and imagine the best path forward in order to achieve your current and future aims. The budget you prepare will depend almost entirely on your available capital and overhead cost.


Exactly how much should one spend on digital marketing? The answer varies widely between companies and industries. However, a good baseline can work wonders. We recommend spending at least 1% of annual revenue on digital marketing. Of course, this is only an estimate, and it can be adjusted to suit your unique goals. As much as 3-5% may be allocated, especially if you’re promoting new products, services, or an upcoming event.


Effective marketing budgets follow the 70-20-10 rule. This simple tactic can help your marketing team distribute its dollars in the most efficient way possible. Begin by focusing the majority of your efforts, roughly 70%, on methods with a proven track record. For example, if your company website brings in most new leads and sales, be sure to take good care of it. Continue paying for hosting and maintenance, as well as your domain name and SSL certificate. Consider adding a blog page and claiming your Google Business Profile if you haven’t yet. Also, don’t forget to update your website regularly. If you offer ecommerce options, ensure they are current and optimized for mobile devices.


Split 30% of your marketing budget between emerging trends. The exact ratio is up to you, but don’t be afraid to try something new with at least 10%. Consider starting a YouTube channel or a Twitter, LinkedIn, or Instagram profile if you haven’t yet. You may even try boosting some Facebook posts to promote your latest product, service, or approaching event.

Budgeting Tools

There are many free online budget calculators available. These helpful tools can provide a rough estimate based on business information like revenue, level of risk, and relevant industry. Their results are intended as a bellwether to help implement the most appropriate long-term digital marketing budget.


Planning for marketing efforts can be tedious, especially if you’re beginning from scratch without any previous baseline. However, it’s certainly better to form a basic budget sooner rather than later, as it’s important to begin tracking progress early. After all, you can’t improve what you can’t measure. In this way, you can see what channels are most effective, then adjust and easily adapt to new changes in trends and technology. 


Marketing gurus at HubSpot have tons of useful resources on their website, such as this thorough budgeting guide. They even include free templates to help you get started. Their detailed blog post features examples of costs alongside suggestions and straightforward definitions. It mentions paid Google ads, social media platforms, content and email marketing, and search engine optimization. HubSpot also includes a step-by-step guide to aid in budgeting for digital marketing.


Always prioritize your buyer’s journey from start to finish. Ask yourself how customers usually find you online, and what they need to know before making a purchase. Keep in mind how many website visits and leads you generate each month, as well as your average conversion rate. Then, align your marketing budget with your company goals. Promote new products or services, sponsor social media posts to grow your following, and work to increase your organic and paid website traffic. Don’t forget to keep your priorities straight, measure the ROI for each effort, and beware of hidden marketing costs including revisions and adjustments.

Don't Neglect Digital Marketing

Your current and future customers are already online. They likely spend hours on news sites, search engines, and social media platforms each and every day. Putting yourself in the right place at the right time can make a major difference in generating new leads and additional revenue. In our opinion, every company needs a professional website, at the very least. A Google Business Profile is also essential to drive traffic, as are SEO best practices. Social media channels like Facebook, Instagram, LinkedIn, and YouTube are great ways to reach new audiences for little to no cost. Budgeting for some or all of these digital marketing strategies is one of the best ways to stay competitive in the 21st century.

 

Digital marketing is our specialty. We encourage you to contact us with any questions, comments, or concerns on this subject. It’s our goal to help businesses improve their online presence, increase brand awareness, and boost revenue. If you’re interested in discussing details, schedule a meeting with us. We’d love to sit down together to see how we can help shift your business into the digital age.


Originally published on February 21st, 2021

Are You Interested In More?

SCHEDULE A MEETING

Share This Post With Your Friends

Latest Posts

Why Your Business Needs a Strong SEO Strategy in 2025

By Rachel Hayden • March 11, 2025
As we begin 2025, businesses must adapt to new trends and challenges of Search Engine Optimization (SEO) as it continues to become more relevant. Whether you're running a small startup or an established company, a robust SEO strategy is no longer optional—it’s essential.  Here’s why your business needs a strong SEO strategy in 2025: 1. Increased Competition in the Digital Space As more businesses invest in online marketing, the digital marketplace is becoming increasingly crowded. In 2025, there will be even more companies vying for attention across search engines, social media platforms, and beyond. SEO is the key to standing out. A well-executed SEO strategy helps ensure that your website ranks higher on search engine results pages (SERPs) , making it more likely that potential customers will find your business before they find your competitors. 2. Google’s Algorithm Updates Keep Changing Google's algorithms are constantly evolving to provide users with the most relevant, high-quality search results. In 2025, it’s expected that Google will continue to refine its ranking system with updates focusing on user intent, mobile-first indexing, and even more advanced AI-based algorithms. A strong SEO strategy helps businesses keep up with these changes and ensures that their website is optimized for each update, preventing a drop in rankings. 3. User Experience (UX) Will Be More Important Than Ever Google has increasingly emphasized the importance of a positive user experience as a ranking factor. In 2025, factors like site speed, mobile optimization, easy navigation, and relevant content will continue to play a crucial role in determining where your site ranks. A strong SEO strategy focuses not only on keyword optimization but also on creating a seamless and user-friendly experience for visitors, helping to keep users engaged and coming back for more. 4. Voice Search and AI Will Dominate With the rise of voice search through smart devices like Alexa, Siri, and Google Assistant, optimizing for voice search will be more important than ever. As people ask questions in a more conversational tone, businesses must adapt their SEO strategies to include long-tail keywords and natural language. Additionally, AI advancements will make personalized search results the norm, making it essential to provide high-quality, relevant content tailored to your audience's needs. 5. SEO Provides Long-Term Results Unlike paid advertising, SEO offers long-term benefits that compound over time. While ads can deliver instant results, SEO can generate organic traffic that steadily increases as your website climbs the search rankings. In 2025, a strong SEO strategy will provide your business with sustained growth, ensuring that your content continues to be discoverable and valuable to your target audience. 6. Local SEO is Key for Small and Medium Businesses For small and medium-sized businesses , local SEO will remain one of the most effective ways to connect with customers in your area. In 2025, local search queries are expected to grow, as users seek businesses near them. Claiming and optimizing your Google Business Profile, ensuring your NAP (Name, Address, Phone number) information is consistent, and generating positive customer reviews will be essential components of your local SEO strategy. 7. Content Marketing and SEO Go Hand-in-Hand Content marketing and SEO are a dynamic duo that, when paired together, can create powerful results. As search engines continue to prioritize high-quality, relevant content, having an SEO strategy that aligns with your content marketing efforts will help you rank higher and connect with your target audience. In 2025, content creation will be more than just producing blog posts—it will involve creating videos, infographics, and podcasts that serve your audience’s needs while being optimized for search. 8. The Shift Towards Mobile-First In 2025, mobile-first indexing will be more important than ever. With the growing reliance on smartphones and tablets, Google primarily uses the mobile version of your site to determine rankings. If your site isn’t mobile-friendly, you’re likely missing out on valuable traffic. A strong SEO strategy ensures that your website is optimized for mobile, offering users a seamless browsing experience no matter what device they’re on. 9. Measurable ROI One of the biggest advantages of SEO is that its results are trackable and measurable. You can monitor the success of your SEO strategy by tracking key metrics like organic traffic, bounce rate, conversion rates, and keyword rankings. With the right tools and analytics in place, you can clearly see how your SEO efforts are impacting your bottom line, making it easier to adjust strategies as needed to maximize results. 10. SEO Builds Trust and Credibility Trust is a key factor in customer decision-making. Websites that rank well in search engines are often perceived as more credible and trustworthy. A strong SEO strategy not only focuses on ranking but also on providing value through helpful, informative, and well-crafted content. By demonstrating expertise and addressing customer needs, you can build trust with your audience, increasing the likelihood of conversions and brand loyalty. Stay Relevant With SEO As we enter 2025, SEO will continue to be one of the most valuable tools for businesses looking to succeed in a competitive digital landscape. A solid SEO strategy ensures that your business stays relevant, competitive, and visible to potential customers. Whether you’re looking to improve your website’s user experience, capitalize on local SEO, or build a content marketing plan, now is the time to invest in SEO for long-term growth and success. If you’re looking to get started or optimize your existing SEO strategy, True North Technologies is here to help. Contact us today to learn how we can help you grow your online presence and achieve measurable results!

Why Authentic Connections Matter in Digital Marketing

By Rachel Hayden • March 6, 2025
With billions of users online, brands are constantly fighting for attention. Consumers are bombarded with ads, emails, and social media content every day, making it harder than ever to break through the noise. So, how can businesses stand out and create lasting impressions? The answer lies in authentic connections—building real relationships with your audience instead of just selling to them. At True North Technologies, we believe that digital marketing is more than just clicks and conversions; it’s about creating meaningful interactions that foster trust, loyalty, and long-term success. Here’s why authentic connections matter in digital marketing. 1. Consumers Crave Realness Today’s consumers are savvier than ever. They can spot a generic ad or sales pitch from a mile away, and they’re not easily swayed by overly polished, impersonal messaging. Instead, they gravitate toward brands that feel genuine, relatable, and human. One of the best ways to showcase authenticity is through organic content —unpaid, value-driven posts that highlight your brand’s personality, mission, and customer experiences. By using organic messaging, behind-the-scenes content, and real customer experiences, businesses can create a sense of transparency and trust—two factors that are essential for building strong relationships. Whether it’s through social media, email marketing, or paid advertising, your messaging should feel personal, not robotic. 2. Trust Leads to Loyalty Trust is the foundation of any successful brand. When customers feel like they know and understand a brand, they’re more likely to engage, buy, and advocate for it. But trust isn’t built overnight—it requires consistent, honest communication. One way to establish credibility is by showcasing user-generated content (UGC) and real customer testimonials. When potential customers see others sharing positive experiences with your brand, they’re more likely to believe in your product or service. Additionally, responding to comments, reviews, and messages in a thoughtful and authentic way reinforces that you value your audience’s voice. 3. Authenticity Improves Engagement People engage with content that resonates with them emotionally. Authentic digital marketing doesn’t just tell people what they want to hear—it speaks to their values, interests, and pain points. This is why brands that embrace organic content see higher engagement rates across digital platforms. Unlike paid ads, organic content allows brands to connect with their audience in a more natural way. Sharing stories, educational content, and interactive posts creates a two-way conversation that keeps followers engaged. Brands that humanize their messaging by sharing behind-the-scenes content, team highlights, or even admitting mistakes (and showing how they’ve improved) foster deeper emotional connections. Simon Sinek's "Golden Circle" concept can be particularly helpful here. By focusing on why your brand exists before explaining what you do and how you do it, you’ll establish a deeper emotional connection with your audience. Consumers are more likely to engage with a brand that shares its purpose and values, rather than simply promoting a product or service. 4. Personalization Enhances the Customer Experience Personalized marketing is another way to create authentic connections with your audience. People don’t want to feel like just another number in your sales funnel; they want to feel like they matter. Using data-driven insights , brands can craft highly relevant content tailored to individual preferences and behaviors. Whether it’s through personalized email campaigns, dynamic website content, or targeted digital ads, brands that speak directly to their audience’s needs create stronger, more meaningful relationships. 5. Authentic Brands Stand the Test of Time Trends come and go, but authenticity never goes out of style. Brands that prioritize real, human connections don’t just gain customers—they build communities. By fostering long-term relationships instead of focusing solely on short-term gains, businesses can create sustainable growth and brand loyalty that lasts for years. At True North Technologies , we help brands craft authentic digital marketing strategies that go beyond surface-level tactics. From social media and content marketing to paid digital advertising, we focus on creating real connections that drive real results. Ready to Build Authentic Connections? If you’re looking to elevate your digital marketing strategy with authenticity at its core, we’re here to help. Let’s create a marketing approach that feels human, builds trust, and drives lasting success. Contact us today to get started!

How to Buy a Website Domain: A Step-by-Step Guide

By Rachel Hayden • February 5, 2025
Owning a website is essential for businesses, personal brands, and entrepreneurs looking to grow their brand and establish an online presence. The first step to creating your website is securing a domain name. A domain is your website’s unique address on the internet, such as www.yourbusiness.com . If you're unsure where to start, this guide will walk you through the process of buying a domain name. Step 1: Choose the Right Domain Name Before purchasing a domain, it's important to decide on a name that aligns with your brand and is easy to remember. Here are some tips for choosing the perfect domain name: Keep it short and simple. Use keywords relevant to your business (or try using your business name if available.) Avoid numbers and hyphens. Choose a memorable and brandable name. Ensure it’s easy to spell and pronounce. Step 2: Check Domain Availability Once you have a name in mind, check if it’s available using a domain registrar. Websites like GoDaddy and Hover allow you to search for available domain names and provide alternative suggestions if your desired name is taken. Step 3: Choose a Domain Extension Domain extensions (also known as top-level domains or TLDs) include .com, .net, .org, and many more. The .com extension is the most popular and widely recognized, but depending on your industry, you might consider alternatives like: .org for nonprofits and organizations .net for technology-based businesses .shop for e-commerce stores .tech for technology-focused sites Step 4: Register Your Domain Once you’ve found an available domain name and chosen an extension, it’s time to register it. Here’s how: Select a trusted domain registrar such as GoDaddy or Hover. Add your domain to the cart and proceed to checkout. Choose the registration period (typically one year, with renewal options). Opt for domain privacy protection to keep your personal information secure. Complete the purchase. Step 5: Connect Your Domain to a Website After purchasing your domain, you need to connect it to a website. If you already have a hosting provider (like WordPress.com or SiteGround), follow their instructions to link your domain. If you haven’t chosen a hosting provider yet, consider purchasing one that offers domain registration and website hosting in one package. Step 6: Renew Your Domain Regularly Domain names require annual renewal to stay active. Set up auto-renewal or mark your calendar to ensure you don’t lose ownership of your domain. Offering Secure Website Solutions Since 2019 Buying a domain is the first step to building your online presence. By following these steps, you can secure a professional and brandable domain name that helps establish credibility and attract visitors. If you need assistance with website development , SEO, or digital marketing, True North Technologies is here to help! Need Help Getting Started? Contact True North Technologies today to learn more about our digital solutions!