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There is no simple answer to this question. Books, consultants, courses
and some advertising agencies will provide insight into percentages, sales
to promotion ratios and just about every other mathematical way of calculating
this figure. However, in all honesty, this can be a dangerous way of doing
things, especially since none of these methods involves looking at your
particular business, cash flow, market dynamics, competitor activity,
net profit or any other facet of your business.
Advertising
may well be a significant proportion of the promotional mix for some companies,
however, you will gain a better insight by working through the promotional
mix, producing contingency strategies and carefully monitoring your investment.
If you need more help in deciding how much, if anything, to invest in
advertising, contact thinktank
now.
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