3 Reasons Why Small Business Owners Need To Allocate A Marketing Budget

Over the last 6 months, I’ve spoken to over 150+ business owners across Australia and the US.

A recurring theme amongst 90% of these businesses was an over-reliance on word of mouth.

The thing is, most of the business owners I speak to are suffering from the same problems:

• Poor cash flow

• No idea of where their next customer is coming from

• Feel invisible

• Don’t know their audience

When I ask them:

“how much are you allocating towards your marketing budget to acquire new leads?”

Many give me that confused look and echo the same thing:

”Huh.. What marketing budget?!”

They are all riding the emotional rollercoaster of working for their businesses instead of having their business work for them.

If you're constantly wondering where your next lead is coming from…

You're not running a business, you're playing roulette with your income.

Here are the top 3 reasons why setting aside a marketing budget isn’t optional, it’s paramount:

Note

In a study by mega consultants Deloitte. They found that businesses that allocate a defined marketing budget grow 60% faster than those that don’t.

1. Greater Reach & More Visibility

In 2025, all your customers are online.

Allocating a marketing budget helps your business gain more visibility and attract a wider audience. Campaigns on the internet give you the opportunity to put your product/service in front of your ideal client.

You can narrow down who sees your offer by

• Age

• Gender

• Target Location

• Specific Interest

• Keywords They’re Using in Search

• many many more nuances…

Instead of waiting by the phone passively for your next client to come through, you can simply put yourself in front of your target audience.

By allocating a marketing budget, you can introduce your business to new prospects daily, helping them solve their problems and improve their quality of life.

2. Consistent Lead Flow

Humans crave predictability.

No one wants to be guessing where the next dollar is coming from.

By allocating a monthly marketing budget, you can instil predictability in your business model and stop the emotional roller coaster nightmare.

Placing your business and offer in front of your target audience allows you to predictably close more sales and generate a stable revenue stream.

Note

The algorithm gets better and more efficient the longer you run your paid campaigns.

If done properly this compounds over time. Allowing you to automate your revenue stream.

3. Your Competition Is Doing It

What’s that old saying?

Keeping up with the Jones’…

Let me explain

Your competition is allocating a monthly marketing budget towards capturing and nurturing prospects. As a byproduct, they’re taking your market share. Your competition is actively nurturing and building relationships with prospects whilst you’re sitting by the phone waiting for the next client to come.

What does this mean for my business?

When you decide to go to market and generate prospects, the market share is smaller and harder to break into.

The longer you delay, the harder it gets. Skepticism is higher, and trust takes longer to build up.

Think of this way…

If you’re not marketing your business, someone else is marketing to your customers.

Frequently Asked Questions