Spreading the word about your business is an important part of gathering new customers. And advertising is one avenue to gaining that publicity. In many ways advertising is just as important as other expenses like insurance, materials, equipment, and commercial rentals.
The amount of ad spend you decide on will vary depending on a number of factors. Including your year in business, current repeat customers volume, the product or service you offer, your target market, and even your location.
The ad spend per campaign also is determined by the type of advertisement you select. While a simple local Direct Mail campaign may cost you $1,500, a billboard ad may end up costing you an easy $8,000 per month.
In addition not all advertisements are fit for all business types. It’s usually best practice to first know your target audience prior to purchasing an advertisement. Including your customers demographics like age, income, and location. And even their purchasing habits, their interests, and styles.
While selecting your advertisement one other condition to consider is your promotional schedule and budget for those campaigns. Your ad spend should appropriately reflect your offering schedule. Keep in mind that it would be a good idea to schedule your ads a few months in advance to give yourself plenty of time for graphic design, approvals, and scheduling. In some types of advertising space is limited.