I am about 3 weeks away from launching my store. We are an all organic/ natural pet wellness company focused on using superfoods in each and every product. I am launching 2 diffrent products a general health Moringa supplement treat as well as a Turmeric & glucosamine hip and joint supplement treat. all my ingredients are fair trade sourced as well as fda approved. All of my superfood ingredients are USDA organic as well.
These treats are for any dog, it just happens to be they are also holistic and very good for them as well.
I am having trouble putting together a budget for my marketing on a monthly basis. I have a group of investors asking me for a presice budget and quite honestly its been hard for me to say exactly how much because i honestly dont know where to start. Quite honestly i was thinking of a low budget instagram and concentrate on google adwords but I am also lost there lol. Any advice???
Sounds like you have a great product for pets. I'm excited for you to launch your store.
Marketing is going to be essential to ensure dog owners are able to find your store to buy their treats from.
Establishing a marketing budget is like asking how long is a piece of string. At first, marketing is usually more expensive as you have to A/B test to find your target market and what imagery and ads get the best responses. This Complete Guide to A/B Testing is a must read!
It's hard to put a budget on the initial ad spend as you don't know what ads are going to take off. Just because you put $200 into an ad, for example, doesn't mean even a percentage of that will get the desired results or convert. That is why it is a good idea to first establish your marketing strategy for Instagram and Google AdWords. Find out who is your target audience, and find the cost per acquisition industry standards for that particular demographic. For example, do some research on how much it will cost to target dog owners aged 30 - 50 for example. Here are some industry benchmarks to help you get a better idea of the cost of ads. Start with an amount you feel comfortable with like a few dollars a day, knowing that it could take some time and tweaks before this starts to convert.
Once you have established your possible audiences, then you will need to test your imagery for those audiences. This can be an expensive process as some clicks may cost you $1 while others cost $0.01. You won't know what works for your advertising until you try multiple scenarios. Learn more about ad testing here.
This article on ad spends and industry standards runs through possible scenarios for an ad budget of $100 and how to spend it wisely.
Now that you have a better idea of the cost of ads, see how much your business can feasibly put towards ad spend. Recognise that if done right, ad spend is scaleable. The more you put in the more you can get out with effective optimization. Learn more about advert optimization in this free 2018 guide here.
You can also check out this guide on Instagram Marketing 101: Using Hashtags, Stories, and More to Grow Your Business, for some organic ways to market your new store through social media.
I hope this helps with giving you a better idea of ad spend and strategy. Feel free to reply with any questions you may have.
Best of luck with the investors.
Lisa | Social Care @ Shopify
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Nice position to be in, name your budget.
I think by putting a high budget in, say $100 a day and then see if anyone panics would be the best idea. I don't think that it would be wise to spend that, it would be a prudent idea to start off on 5 a day on facebook, google adwords etc. See where you get the best return.
Finding your audience and then reaching them is the key. I think having a structure in place where you can get customer information, email/facebook messenger subscribers is key as you can go back to them and market other products/get them to try new ones. On facebook, this can help in reducing ad costs and then offer a reward/loyalty program.
All the best in your new endeavour.