How much should you invest in marketing to get results without going broke?
Many clinics struggle with this. The problem is when cash flow is tight we often budget marketing based on “feel” or worse, guessing. But, here’s the “business school” secret: A good marketing budget is simply a formula based on your revenue & targets.
Put your financial numbers in, get the right budget out. No guesswork needed!
Let’s look at specifically how you can take control of your marketing budget to bring clarity, measurable goals, and financial stability to your practice. (We’ll even do the math for you with a free, interactive PT Marketing Budget Calculator.)
[convertful id=”140818″]First, Realize Marketing ≠ Something That Eats Into Your Profits
“If you think of marketing spending as eating into your profits, you’re thinking the wrong way. Marketing isn’t an expense—it’s an investment, one that drives your sales.” –-US Small Business Administration, 2019
The Small Business Administration recommends you spend 7-8% of your annual revenue on marketing. They say that if you underspend on marketing, you won’t reach potential customers, and that could mean lower sales. But let’s be honest. To many PT owners, spending 7-8% of revenue can seem absolutely bat-crazy INSANE. But what if you could double your new patients in 1 year just by investing the right amount?
Also consider this: in June 2020, US companies invested 11.4% of their revenue in marketing, on average (WebStrategies). So, if your competition (i.e. Chiropractors, HOPTS/POPTS, pharmaceutical companies) is investing 8-11% of their budget and you’re only investing 3%, the money you do put in is more likely to go to waste or get lost in the noise.
The RIGHT Marketing Budget Brings Clarity, Goals, Financial Stability to Your Practice
Planning your marketing budget will bring you…
- Clarity. When you plan your marketing budget, you have to understand your current spending and goals. This brings clarity instead of confusion.
- Measurable Goals. To set a good marketing budget, you need to be clear on your goals. What do you want your annual revenue to be in 2022? How many more new patients a month do you need to hit that goal? Creating a new budget will force you to figure out your goals.
- Financial Stability. Planning out your marketing budget, in accordance with your practice goals, will make sure you aren’t wasting money today, underspending in comparison to your competition, or procrastinating on investing in crucial items (like an up-to-date website!) in the future.
A PT Marketing Budget Calculator to Finish 2021 Strong
Sometimes, managing a marketing budget can feel overwhelming. That’s why we created the PT Marketing Budget Calculator. Once you enter 5 simple questions about your practice, the calculator will dynamically show you…
- Your total annual marketing budget, based on your revenue
- Additional patients needed per year and per month to hit your targets
- What you need to spend per year and per month to attract that number of new patients
- Your projected return on investment for your additional marketing spend
Happy budgeting! Access the PT Marketing Budget Calculator today.
