With June 30th fast approaching, business owners are busy focusing their time on end of financial year tax and financials. While the financials are something we can’t avoid during this time of year, now is also the perfect opportunity to conduct a complete marketing health check.
Below are some key points to consider when doing your End Of Financial Year (EOFY) Marketing Health Check:
Reviewing the past financial year
End of Financial Year (EOFY) is the perfect time to review your marketing activities to see what worked and what didn’t. The best way to do this is to refer back to your marketing plan outlining details of your overall marketing activities including campaigns, advertising and any sponsorship. From here, you can assess the success of the activities by weighing up any changes in sales, enquiries, and traffic to your business etc. Naturally, you will have some activities that weren’t so successful and it is from those that you ask yourself ‘why.’ Were they aimed at the wrong audience? Was the copy and design good enough to drive action? Was the timing right?
While it is important to review your marketing strategies moving forward it is also important to review your target audience. Consumer habits do change, as do a businesses target audience. EOFY is the perfect time to reassess all of these factors and develop a new strategy moving forward to build relationships with your target audience.
Setting a budget
Marketing affects most areas of your business and extends much further than just promotions and advertising. For this reason alone it is crucial to set a marketing budget each year in order for you to create a realistic plan of action, resulting in improved profitability and growth. By setting a marketing budget you are also able to stay on target with estimated costs versus the actual costs, ensuring you don’t overspend on marketing. But how much do you spend on your marketing each year and how do you set your budget? Depending on industry and business size, many businesses allocate a percentage of their gross revenues to marketing alone. Larger companies are known to spend up to 20% each year, while small businesses generally allocate around 8% of their revenues to marketing. However, each business is different so your allocated marketing budget will depend completely on your businesses financial position.
Developing a new Marketing Plan
Once you have set a budget the next step is to develop your marketing plan.
Companies that are successful in marketing all start out with a detailed and targeted marketing plan. Your plan should be well thought out and developed in advance to ensure marketing activities are effective and align with your objectives, whether they are to build brand recognition or grow sales. There are many components to a successful marketing plan and many business owners automatically cut this from their planning as they find it too difficult and may not understand the process. By partnering with a professional, you can take your business to the next level giving you control of where your business is heading.
Now that you have initiated the process of a marketing health check you are well on your way to a healthy and profitable financial year for your business.