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Allocate Your Marketing Budget Between Direct Response and Branding

allocating your budget between branding and direct response

Allocate Your Marketing Budget Between Direct Response and Branding

Michael Marchese

May 22, 2019

Every marketer is struggling to determine what is the optimal mix within their marketing program. The optimal mix includes content marketing, advertising, email, pay per click, social, and other forms of marketing.

How do you create your content budget?

You need to first define what kind of company you have and the types of products and services that you offer. For the purposes of this article, we’re going to focus on B2B companies. Additionally, we will also be focusing on companies that sell their products primarily off line but are still high ticket purchases. In this instance, the way that sales occur is primarily offline. However, the leads and research are conducted online.

So in trying to determine how to create that budget you have to measure the difference between your branding budget and your direct response budget. So the first way to allocate your marketing budget is the split between those two.


Success metrics for branding and direct response

Branding often gets maligned within the industry as being unaccountable when in fact, branding is quite accountable if it’s structured correctly. Structure your branding budget around the metrics used So in setting up to measure success.

Examples of branding success measures include website visitors, number of people who reviewed articles, and more awareness metrics like that. The direct response budget is measured much more clearly – the number of leads that are generated.

Email registrations and ultimately sales that result from a marketing channel are the core to qualifying a successful budget.

“Best practices include allocating approximately one third of your budget towards branding (or top of funnel activities) and two thirds of your budget between mid to bottom funnel activities for for direct response marketing,” says Michael Marchese, Tempesta Media’s Founder & CEO.

Start by determining where content marketing fits within your marketing budget.

Content marketing is actually a very robust and flexible tool. It can be used both within your branding budget as well as your direct response budget. How content varies depends on the type of content that’s created.

Picture of Michael Marchese

Michael Marchese

Michael is the founder and CEO of Tempesta Media. He is responsible for corporate strategy, executive team leadership, and overall business operations across all the company’s segments. With over 25 years of experience, he has held various strategic and operating positions. ​​As a recognized expert, he has served on numerous committees for the following industry associations: SEMPO (Search Engine Marketing Professionals Organization), IAB (Internet Advertising Bureau), CGA (Casual Gaming Association), and the MMA (Mobile Marketing Association).

Our Mission

Tempesta Media is the performance-based content marketing solution specifically developed to drive revenue for your business.

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