Marketing Budget Definition
A marketing budget is any amount of money that a company plans to spend on marketing and growth initiatives for their business. Having this really dialed-in understanding allows a company to understand how much they can afford to grow their business.
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What is a typical marketing budget percentage?
The average marketing budget for eCommerce brands depends in part on where the business is in its growth development. Daasity has observed that eCommerce brands tend to set their marketing budgets as a percentage of the previous year's top-line revenue. For younger, scaling startups, we typically see that the average marketing budget is around 20% of top-line revenue. For more developed brands, we see an average marketing budget of between 10-15% of top-line revenue.