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Effective Advertising: How to Calculate Ad Budget

11 min read

Supercharging your business’s growth through effective advertising is like igniting the afterburners on a high-performance jet. When done right, you skyrocket; 하지만, a miscalculation could result in a rapid descent.

That’s why landing on the perfect ad budget is crucial. But how do you define what’s ‘perfect’? It’s about aligning every cent spent with your business goals, and we’re here to be your mission control.

Why Your Ad Budget Matters

In a world where even the tiniest details can make or break a company’s ad game, grasping the decision-making that goes into every campaign is crucial.

Your ad budget is the financial backbone of your marketing efforts. Every dollar should be put to work effectively to give the best ROI, aka return on investment. It isn’t a number you pluck from thin air or borrow from the neighbors. It needs to be strategic, just like your advertising needs to be targeted.

하지만, the critical question lingering in every business owner’s mind is, how do I know how much to spend for effective advertising?

Before Calculating Your Ad Budget

광고에 지출할 금액을 파악하는 것은 균형의 문제입니다.. 과도한 지출로 돈을 낭비하고 싶지는 않습니다., 또한 과소지출로 인해 효율성이 떨어지는 것을 원하지도 않습니다.. 마진에 영향을 주지 않고 결과를 가져올 수 있는 골디락스와 같은 "딱 맞는" 영역이 있습니다..

시작하기 전에, 이해해야 할 몇 가지 핵심 용어가 있습니다.:

마크업 제품 원가와 판매 가격의 차이입니다. (비용 이상의 총 이익). 일반적으로 백분율로 표시됩니다..

예를 들어, 당신이 제품을 판매하는 경우 $150 비용만 들 때 $100, 당신의 마크업은 50%. 개별적으로 그리고 매장에서 모든 제품에 대해 이 수치가 필요할 것입니다..

여유 총 이익은 판매 가격의 백분율로 표시됩니다..

위의 예에서, 당신의 이익은 $50. 따라서, 귀하의 총 마진은 33.3% ($50/$150).

점유 비용 전자상거래 상점을 유지하고 운영하는 데 드는 비용입니다. (웹호스팅과 같은, 재고 관리, 배송 및 취급). 이러한 비용은 일반적으로 정적이고 예측 가능합니다..

광고 예산 계산을 시작하려면 이러한 측정항목이 필요합니다.. 별도의 스프레드시트에서, make a note of these metrics.

You might have something like this:

여유마크업점유 비용
제품 #133.33%50%
제품 #254.54%120%
제품 #337.5%60%
Average for Store43.39%76%$30.000

Once you have this data, you can start calculating your ad budget.

Calculating Your Ad Budget for Effective Advertising

How much you can spend on ads will depend on three things:

  • 벽감: Stores in certain niches can get away with spending less on ads because of higher margins or stronger word-of-mouth or social media reach. This is particularly true for fashion or highly niche-specific stores.
  • Business stage: 브랜드를 확립하려면 비즈니스 초기 단계에서 광고에 추가 비용을 지출해야 합니다.. 후기 단계의 기업은 최소한의 비용으로 벗어날 수 있습니다. 3% 연간 광고 수익 중.
  • 여백: 광고 예산은 일반적으로 마진에 따라 달라집니다.. 마진이 높을수록, 광고에 더 많은 돈을 쓸수록.

미국 중소기업청 조언하다 할당 7-8% 연간 매출이 다음 미만인 경우 마케팅 및 광고에 대한 총 수익 $5 백만 달러, 순이익 마진 범위는 다음과 같습니다. 10% 에게 12% 사후 비용.

여기에는 브랜드 개발 비용도 포함된다는 점을 이해하세요., 웹사이트 지출 포함, 블로그, 그리고 소셜 미디어. 대개, 당신은 그 이상은 없을 것입니다 3-5% 연간 수익 중 광고비로 지출.

이를 염두에 두고, 광고 예산을 계산하는 단계별 과정을 살펴보겠습니다..

단계 1: 최소 및 최대 가능한 광고 예산 계산

말한 바와 같이, 대부분의 기업은 할당 5 에게 10 연간 수익 중 광고비가 차지하는 비율. 여기, 5 퍼센트는 바닥이고 10 퍼센트 상한.

광고 지출에 대한 하한 및 상한을 계산하는 것부터 시작하세요..

이것을하기 위해:

  • 가져가다 5% 그리고 10% 예상 연간 매출 중
  • 각 수치에 거래당 평균 인상액을 곱합니다..

예를 들어, 귀하의 사업이 올해 연간 매출 100만 달러를 달성할 것으로 예상된다고 가정해 보겠습니다.. 5% 그리고 10% 귀하의 연간 매출은 $50,000 그리고 $100,000.

귀하의 이익 마진이 다음과 같다고 가정합니다. 60%, 즉., 너는 만든다 $600,000 으로 이익을 얻다 $400,000 비용.

그러므로, 당신의 마크업은 150% ($600,000/$400,000 * 100).

이런 수치가 있군요:

연간 매출 (ㅏ)5% 매출 (비)10% 매출 (씨)마크업 (디)5% 마크업 (비 * 디)10% 마크업 (씨 * 디)
$1,000,000$50,000$100,000150%$75,000$150,000

따라서, 최소 및 최대 광고 예산은 다음과 같습니다. $75,000 그리고 $150,000.

단계 2: 조정된 광고 예산 계산

위 금액은 점유 비용이 포함되지 않은 '원시' 예산입니다. (즉., 가게를 운영하는데 드는 비용).

조정된 수치를 얻으려면, simply deduct the cost of occupancy from the raw minimum and maximum budget.

예를 들어, suppose these are the annual costs associated with running the store:

  • Ecommerce software: $2400
  • Payment processor: 2% of annual sales ($20,000)
  • 호스팅: $1200

따라서, your “cost of occupancy” is $23,600.

Your adjusted ad budget is as follows:

  • Minimum: $51,400 ($75,000 $23,600)
  • Maximum: $126,400 ($150,000 $23,600)

This figure tells you how much you can expect to spend on annual ads.

Pro tip: You can reduce your occupancy cost using a budget-friendly ecommerce platform like Ecwid by Lightspeed. You’ll get a robust online store fully hosted and maintained by Ecwid, plus dozens of built-in business management and marketing tools to grow your business.

Best Practices for Effective Advertising and Budgeting

지금, you have step-by-step instructions on how to calculate your ad budget. For best results, here are some best practices to keep in mind:

Start Small

If you’re just starting with advertising, it’s always better to start small and gradually increase your budget as you see results. It will help you avoid overspending and allow you to make adjustments along the way.

Set Clear Goals and Objectives

Before creating your ad budget, it is vital to identify your business goals and objectives. 그렇지 않으면, it’ll be hard to evaluate the effectiveness of advertising.

Whether it’s to boost sales, increase website traffic, or elevate brand awareness, your objective should be crystal clear even before you boot up an Excel sheet.

Goals should be Specific, Measurable, Achievable, Relevant, and Time-bound. Known conveniently as S.M.A.R.T, these goals ensure your intent is as sharp as your execution should be.

Keeping your objectives and goals in mind will help you determine the types of ads you need to run and the platforms you should use. 예를 들어, if your goal is to increase brand awareness, social media ads may be better than traditional print or TV ads.

Adjust for Long Game vs. Quick Win

Advertising effectiveness ultimately boils down to how well your tactics align with your goals.

Different objectives call for other strategies. Long-term brand-building efforts require a sustained, consistent ad presence. Quick sales might push for a flashier, short-term ad campaign.

Consider Ad Platforms

Where you place your ads can have a significant impact on their effectiveness. Think about your target audience and where they spend their time online. It will help you choose the most appropriate platform for your ad campaign.

Consider using multiple platforms to reach a wider audience and increase the chances of success. 예를 들어, 타겟 고객이 주로 젊은 성인인 경우, Instagram 및 Snapchat과 같은 소셜 미디어 플랫폼이 더 나을 수 있습니다.. 동시에, TV광고 효과가 낮을 가능성이 높음.

추가적으로, 다양한 광고 플랫폼은 다양한 유형의 타겟팅 옵션을 제공합니다.. 예를 들어, Facebook과 Google Ads를 사용하면 특정 인구통계를 타겟팅할 수 있습니다., 이해, 행동, 및 위치. 잠재고객 범위를 좁히고 광고가 적합한 사람들에게 도달하도록 하는 데 도움이 될 수 있습니다..

그래서, 궁금하다면, “소셜미디어 광고는 효과적인가??” 대답은 확실히 그렇다 입니다., 광고가 올바르게 타겟팅된다면.

Using Ecwid by Lightspeed for your online store, you can optimize your Facebook and Google ads with 그것을 클릭. It’ll help you set up and automate ads and optimize them for a better return on investment.

Track and Analyze Ad Data

Keep track of your adsperformance and use this data to make informed decisions about your budget. Adjust accordingly if certain ads or platforms don’t yield the desired results.

If you use Ecwid by Lightspeed, measuring advertising effectiveness is easy with the 보고서 tool. It has a Marketing section that helps track order sources, be it Google ads, 페이스북 광고, or other marketing channels.

마무리

With these strategies in hand, figuring out an ad budget that meets your business goals and guarantees an excellent return on investment turns into a smart move, not a scary one.

Dealing with ad budgets isn’t just about finance but vision. It’s about translating the intangibles of advertising into actionable strategies that leave no room for interpretation — and every room for growth.

You’re not just calculating an ad budget; you’re architecting your path to market success. And with the strategies unearthed here, you’re set to craft an advertising budget that’s not just a figure on a sheet but the lifeblood of your most effective advertising.

Do you want to learn more about advertizing with Google?

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With Ecwid Ecommerce, you can easily sell anywhere, 누구에게나 — 인터넷과 전 세계에서.

About the author

Anastasia Prokofieva is a content writer at Ecwid. She writes about online marketing and promotion to make entrepreneurs’ daily routine easier and more rewarding. She also has a soft spot for cats, chocolate, and making kombucha at home.

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