Two Ways to Create a Marketing Plan in 2020
This is that time of the year that all of us as business leaders and marketers put our marketing planning hats on. Whatever we plan, we put into place this year or the start of the year and hopefully, we can achieve it at the end of the year as well.
Identify Your Revenue Goals
Marketing planning should be done every year and you know it doesn’t have to be a perfect science. What you should do is look at two different ways of how you want to grow your company or your department. There are a couple of ways you can do achieve this. Number one, you can actually look at the revenues that your company or your marketing department generated last year and then add a positive number to it. So let’s say you want to grow by 20 percent or by 35 percent this year. After you determine the percentage you want to grow, you add that number on top of what was done last year, and that becomes your revenue objective or revenue goal for 2020. The other option is to take the respective of what your company did last year, pick a goal and see how much you have to do as a company, as a business in 2020 and that becomes your goal for the year. Essentially those are the two ways you can go about creating a revenue goal or a revenue target.
Convert Your Goals to Number of Leads
After you have identified your top level goal, the next step in the marketing planning process is to reverse engineer or back track that revenue objective into day to day leads, or day to day sales and day to day traffic from your digital activities. The best way to achieve this is to take your revenue goals for example, how much is the average revenue you generate per client? then you basically divide it up and that is the amount of clients that you would need to generate for 2020, if you are in the B2B Saas world. Once you have a number, that is how many deals you need to close in 2020 to hit that revenue target.
Now you look at, What is your conversion rate? – 2 percent, 5 percent. A conversion rate is from the time a marketing qualified lead is generated until the time the sales closes that lead. So now let’s say you want to close about a thousand clients in 2020, a thousand customers in 2020 and let’s say your typical conversion rate is about 10 percent. So that means as a company you need to generate 10,000 leads in order to hit that target. Now the other way you can look at it is if you want to generate 10,000 leads, what is the average number of traffic that gets converted? Divide your leads by lead conversion to arrive at your traffic target. So let’s take it another 10 percent, you probably need to generate about 100,000 in traffic to generate 10,000 leads so that’s the backwards math. Once you have those numbers in place the next thing you should do is marketing channel mix allocation.
Marketing Digital Channel Mix Allocation
Marketing digital channel mix allocation is super critical, and typically what we do with clients and with all of the previous companies that we have worked with, is to have safe channels. Safe channels can be your search, content marketing and social media, then you can allocate another 15 or 20 percent toward your marketing resources, your marketing budget or into new channels, channels that you haven’t tried.
New Marketing Channels to Look Out for in 2020
There are a lot of upcoming channels on the advertising side. You have podcast advertising for example, build something to create a great conversion rate or increase your conversion rate through the help of technology, let’s say progressive web apps. There are so many new channels to explore, AI, mobile marketing, you name it. Essentially, in order for you to hit your targets, you don’t want to put all your eggs in one basket. Instead, I suggest you pick 70, 80 percent of the channels that worked for you last year and then use the additional 20 percent or so to try new channels this year. In turn, this process becomes your testing for this year, see how that performs, and if it performs great then you can do more of it, not just in this year or the latter half of this year but next year and in 2021 as well.
That’s all for this Digital Smarts Series: How to Approach Your Marketing Planning in 2020. Stay tuned for next week’s video series!
For questions or help with your 2020 plan, you can reach us at Bob@DigitalSparxMarketing.com or visit www.DigitalSparxMarketing.com We have additional worksheets and resources to help you get your marketing plan in place!