Avatar is the most successful movie ever!
$300 million dollars to produce, another $150 million for promotion and total worldwide sales of over $2 billion dollars!
2 billions dollars! That’s a big return on investment!
The most important number is the $150 million spent on promotion. That is a big number. Yes, the movie business is unique but the fact is successful businesses put more money and more energy into marketing than less successful businesses. This is true of movies as well and every business.
Does advertising really pay? Sure, but it is not all about paid ads.
Advertising does work but brand awareness and credibility can sometimes be earned faster than it can be bought – that is why social media and public relations is so powerful!
The fact is that the most successful companies in every sector tend to spend the most on marketing.
The least successful businesses tend to spend less on marketing than the competition.
My experience in business development is that most struggling companies spend little or nothing on sales, marketing and brand awareness.
Most guidelines suggest businesses spend between 5-10% on marketing costs, the most successful and most profitable tend to spend much more.
Many smaller and new businesses allocate almost no money for marketing and sales – budgeting little or nothing for even sales commissions.
Not budgeting for sales and marketing costs means that a lack of promotion has been hardwired into your business model – this is a condition that will keep your business small and behind the competition.
Services and products with higher brand awareness are easier to sell – this is a fact!
Higher brand awareness also equals higher pricing and higher margins!
Investment in sales and marketing is essential to growth. Invest, measure (yes, all marketing is measured), refine and test again – this is a process that never stops!
Consider investing more in your brand!
The value of your brand is the value of your business – consider putting more money and more energy into building the profile of your business.
How much do you invest in your brand?