Recently, I heard a successful business entrepreneur speak. His audience of almost 100 business owners was comprised of some who were familiar with his business and others who were not.

This business leader owns a Construction General Contractor business. He described that his company’s role as General Contractor is to project manage a construction job. From start to finish, his company project manages jobs big and small, so the owner does not have to do so.

How a Construction General Contractor Business Parallels an Ad Agency

I noticed right away that the job components included in managing projects as a Construction General Contractor mirror ours as a branding and marketing partner. In order to execute a successful project, these four components must be happen for us at Front Porch marketing:

1. Create and manage the timeline — Along the way, make sure all tasks are on time and timelines are updated.
2. Develop the budget — Estimate all costs, agency fees and out-of-pocket expenses, to ensure no surprises during the course of the project.
3. Hire the crew — The right crew is critical. With us, our crew is already on board. We engage them as needed and they deploy their expertise and skills for each part of “the job.”
4. Manage communication — Front Porch Marketing account managers are the primary liaison with the Client. They manage the team executing the work, so our Clients don’t have to do so.

The Right People for the Job

This is where the rubber meets the road for Construction General Contractors as well as Advertising Agencies. They both require the right people to do the job who are focused on results. The cost for both construction and advertising is higher sometimes, because we both want to get the right, skilled experienced experts to execute the work. We also want to be able to hold them accountable for executing at the highest level. By doing this, the results meet or exceed clients’ expectations.

As a business or nonprofit leader or owner, if you have time and team members to manage the above. rock on.

Managing Your Time Effectively as a Business Leader

Think about whether the way you’re doing it now is the right way to spend your time.  Are you managing or executing your own marketing? For me, I create the annual plan for Front Porch. I review it. Our team weighs in and embraces their roles. I check in with team members along the way.

However, for me, I know my business and the team benefits when I work ON our business not IN our business. Does yours?

Manufacturers are a sweet spot for us. In addition, we love business owners and leaders who share their expertise and learnings with other. Hence, that is where the inspiration for this blog came from for me after seeing this business owner speak. Connecting the parallels of agency business and Construction General Contractor business reinforced for me that we are driven when we work with like-minded business leaders. Let me know what you think.

Cheers to business success!

Frequently, we ask a potential client what their marketing budget is in an effort to better understand what resources we will use to meet branding and marketing goals.

And regularly, we hear, “What should our marketing budget be?”

We are already two weeks into Q1, so let’s talk about your marketing budget. Total marketing budgets are on the rise (yay!) and are at 7 – 12% of total gross revenue. If one of your resolutions this year is to grow your small to mid-size business, let’s rock.

Here are four things to remember when formulating your marketing budget:

1. Small businesses should budget 7 – 8% of gross revenues for marketing in order to compete against larger companies.

2. Track your marketing budget and results monthly – at a minimum. If you consistently track your results you will be better able to adjust your marketing spending over time to spend smarter, not harder.

3. Increase the budget for new product launches. Keep track of what you make on the product and tweak as needed to cover the marketing costs and increase profit from sales.

4. One size does not fit all. While the latest Forrester Research report projects that digital marketing spending will make up 44% of all ad spend, this number can vary depending on a variety of factors including industry, growth plans and local market.

As you create your marketing budget this year, don’t start with the tactics. Develop a defined marketing budget to support a marketing plan with measurable goals and a sound strategy.