Social Media Marketing BudgetJanuary 29, 2020
One in every two people in the entire world has at least one social media account, and this number is only growing. Social media marketing is vital for any company in today’s day and age. Many marketing agencies in Los Angeles would even tell you that it is nearly impossible to have a successful online marketing campaign without the social media aspect of it. Any company needs to allocate some part of their marketing budget for social media marketing.
But, it is important to conduct all the necessary research before deciding how much money should be spent on social media marketing. Create marketing personas and customize your target audience. Based on these personas, research their social media usage and social media habits, then decide how social media will help you in achieving your marketing goals. If most of your sales and revenue come from your website, or anything internet-related, then logically, you should spend more on social media marketing than other marketing channels such as print, broadcasting, or mail. There are specifics that apply, but the general rule of thumb is that 35%-45% of the total marketing budget should be allocated for digital marketing. Additionally, 15%-25% of the online marketing budget should be dedicated to social media marketing. Of course, this number is highly variable and may be different for each company.
Now, before you ask what really goes into that budget, here are the most important components of social media marketing, according to the top marketing agencies in Los Angeles.
1. Creation of content
Content is one of the key aspects of social media marketing. It should catch the eye of the customer without being too flashy and annoying. The line between being persuasive and being off-putting is very thin, so the content must be carefully planned and executed. Because of this, content should be a significant portion of your social media marketing budget. Many companies and marketing agencies allocate more than half of their whole social media marketing budget to content creation. Here are some of the moving parts which go into this section of the budget:
– Graphics and photography
Your product or service might be very high-quality, but if your visuals aren’t up to par, your marketing will be unsuccessful. Graphics and photos are what naturally catch the eye of the customer first, so they must be very well done. Therefore, it is very important that you set aside appropriate funding for hiring professional photographers and illustrators, as you can’t do these things yourself. Many professionals will be able to make your idea come to life, adding to it their own tips from past experiences of what works and what doesn’t. If your budget is considerably small, you should consider using stock photos. They are high-quality but also affordable, so you won’t be breaking the bank.
Depending on the type of content you hope to produce, videos may be a one-time cost. Once you have your high-quality clip or movie, then you can promote using that many times. Videos are more costly than photographs as you need to take into account, cameras and all other equipment, videographers, editors, and any costs of renting a space to shoot. If you desire to achieve a more high-production shoot, then you must also consider the costs of hiring a director, a producer, stylists, makeup and hair artists, and any other staff that you may require.Talent
Once again, depending on the type of production you are hoping to create, you might need people such as models, extras, and actors to take part that will need to be paid. If you are hoping to get a social media influencer or a celebrity to be a part of your campaign, you must take into account their costs too.
– Production costs
There are a few factors that must be considered here, such as travel expenses, locations rentals, prop rentals, meal expenses, and so on. These are usually left out of the budget, so don’t make the common mistake of forgetting them.
– Copywriting and Translation
Keep in mind that you must pay copywrites either by the word or by the hour. Depending on the content, you may also require hiring a proofreader and a fact-checker. If your brand is global and aims to have customers who speak different languages, then you must also budget for a translator. Translators are also paid by the word or the hour.
2. Paid advertising
Spending a lot of money on producing high-quality content will be ineffective if you don’t have a way of getting it out there. Paid advertising should also form a significant section of your social media marketing budget. Each social media platform is unique and has its advantages and disadvantages. Each platform also has a specific user majority and age group. In order to understand which platform is the right one for your company, you must create marketing personas and do some research. Try to understand what age range you are trying to reach and research what platform they use the most. Remember, more is not always better. It is better to spend a significant amount of money on ads on a platform you know will reach your target audience and will boost sales, then on small amounts of ads on every platform available. All social media platforms have different offers for boosting posts and running campaigns. Here are some of the most popular platforms according to the experience of top marketing agencies in Los Angeles.
– Facebook and Facebook Messenger ads
Facebook offers a whole range of options, such as slideshow ads and Instant Experience ads. The price for these ads changes according to visibility, how long you want to run the ads, and how often. Facebook is mostly used by people ages 18–44, with the biggest demographic group being men at ages 25–34. So, if you are aiming for a different demographic, then consider some other options. Facebook messenger is more global, as it is more of a communication app and is used by many more people. It is also more often used in a day than Facebook is, as people open the app every time they receive or want to send a message. Ads on the Messenger app are placed in the inbox feed and are easily noticed. You can also create a page that will automatically answer any questions a customer may have about what you offer. It is also an easy way for interested customers to get in contact with you immediately after they see the ad.
– Instagram ads
Instagram a highly trendy social media platform right now and is used by more and more people every day. It is an image and video-based platform, so your content must be vibrant and dynamic in order to get the person to stop scrolling and check out your page. Instagram has around one billion monthly active users, so your ad will surely be seen by the people you want to reach.
– Twitter ads
If your content and ads are more text-based, then Twitter may be the option for you. Twitter ads can be used to drive website clicks and increase engagement with the page’s Twitter page. It can also reach more people, once customers retweeted it and put it on their followers’ pages.
– YouTube ads
Youtube is the biggest video streaming platform, which provides a variety of advertising options such as non-skippable ads that play before videos and putting your videos in the recommended section of users’ home pages.
– LinkedIn ads
LinkedIn is where users come to build and engage their professional network and make important connections. There is a very specific crowd that uses LinkedIn, so if your target audience is older and more professional, then this is where your ads should be. If you want to reach younger people, then consider other options. LinkedIn also offers a wide variety of advertising options such as InMail, text ads, and others.
– Snapchat and TikTok ads
These platforms have recently gained popularity and are almost exclusively used by teens and young adults. Snapchats offer ad options such as branded filters and story ads, which might be right for you, depending on your content. TikTok has many advertising options, such as full-screen ad placements, hashtags, challenges, and others.
3. Paid partnerships
This is a component that may or may not match your brand, depending on your social media marketing strategy.
– Influencer campaigns
Social media influencer marketing is a $6.5 billion industry, and a lot of work goes into it. Paid posts are high-quality and have a targeted message as a caption, and the money paid is worth it considering how big the audiences that can be reached by influencers are. Options include Instagram’s partner tag feature, YouTube influencer partnerships, and many other collaboration possibilities that your company should include in their social media marketing budget.
– Co-branded campaigns
Co-branded campaigns may not always require more content funding than a typical campaign, but they still demand other efforts such as organization and planning time from the appropriate personnel, which must all be included in your social media marketing budget.
4. Tools and Software
Now that you have the human part down, here are some of the other tools you must include in your social media marketing budget.
Of course, you know that you must have a website in order to have a successful online marketing campaign. Yet, almost everyone forgets to factor in the costs of hosting providers and domain names. Make sure to check if the domain name is included in the hosting price because sometimes it must be purchased separately.
– Editing tools
You will surely receive touched-up and edited photos once you hire professional photographers, but sometimes you need a quick resize or background blur. In order to save money on hiring an editor, and to save time, you might need to purchase some editing software. It is a one-time purchase that is going to last and surely makes up for its price in usefulness.
– SEO and keyword research
In order to find, research, and bid on relevant keywords, marketing agencies in Los Angeles suggest using resources such as Google AdWords. You can also use this to advertise ads in the “Sponsored Links” part that is next to the search results on Google. This will help you to boost sales and website traffic and is also affordable.
– Analytics tools
A strategy must be planned but must also be monitored. Without tracking your social media campaigns, you will not understand whether you’re on the right track of boosting sales or if you’re just wasting money on pointless ads. It is vital that you track analytics in order to understand if you’re reaching your target audience or what type of audience you’re attracting, how high your bounce rate is, and how fast your website loads. When you start using a new social media marketing strategy, you must analyze the results every week in order to ensure optimal results and get rid of flaws quickly.
Of course, there are many social media training resources out there that won’t cost you a thing, but it is a long term investment to get professional training for your team. It is something that is going to pay off in the end, and you will save money by not hiring extra staff as your current staff will be trained. Depending on how much your team already knows and your campaign needs, top marketing agencies in Los Angeles would recommend using LinkedIn Learning, Blueprint Live, or Hootsuite academy. These offer a variety of certificate courses, single courses, and workshops for all social media marketing needs.
There are many tools to help with social media management, but it is a good investment to hire someone who will be at the office and will supervise social media marketing.
The tasks a social media manager or team must do include:
- Scheduling of posts, publishing, engagement
- Target audience research
- Strategy development and updates
- Tracking of analytics
- Creation of content
- Management of customer community
Setting up a social media marketing budget may seem confusing, but as long as you include the key components, then you are on the right track. Keep this list of important factors from top marketing agencies in Los Angeles in mind, and start budgeting!