Why 5% of sales must be channelled into marketing
Imagine your company is like a proud ship sailing on the sea of opportunity. Your goal is clear: to reach the safe harbour where enthusiastic customers and long-term success await you. But what happens when the ship is travelling without a compass and propulsion? It begins to falter, cannot stay on course and threatens to fall behind. Marketing is precisely this motor and compass that not only keeps you on course, but also gives you orientation in stormy times.
Why marketing is not a "can", but a "must"
The rule says: At least 5% of turnover must be channelled into marketing. That may seem like a lot, but consider what's at stake. In the business world, the principle of "if you don't advertise, you die" often applies. Competitive pressure is high, and every missed opportunity to showcase your brand means losing potential market share and customers to the competition. Marketing is therefore not just an expense, but a strategic investment that protects your company and ensures sustainable success.
Example
Think of a small company that wants to gain a foothold in a competitive industry, such as a new coffee roasting company. Without the necessary presence, it is almost invisible among the established brands. However, with a targeted investment of 5% of turnover, it can raise its local profile, launch promotions for new coffee beans and secure a permanent place in people's everyday lives. The roastery is not only appreciated by customers for its coffee, but also for the story and values it conveys with clever marketing.
The right marketing mix - diversity as a recipe for success
The key to a successful marketing strategy lies in the mix - the combination of different measures that together form a harmonious whole. A marketing mix ensures that your message is picked up at several points and reaches your target group in different ways. In this way, you will be remembered and build trust.
A simple example: Imagine a fashion shop. The shop could rely solely on social media to reach young shoppers. But through a combination of Online marketing for targeted adverts, Offline marketing through flyers and events in the shop and Direct marketing in the form of an email newsletter, it can not only score points on social media, but also reach customers at various touchpoints. The marketing mix brings the business and its unique products into the lives of customers - wherever they are.
Examples of the marketing mix:
- Online marketing: With Google Ads and social media, you can reach customers who are actively searching for information or products. For example, your fashion shop could run a Google Ads campaign for "summer fashion", which is played out more frequently during the summer months to capitalise on seasonal demand.
- Offline marketing: A local event or posters in the city can appeal directly to people and attract them to your shop. Think of the fashion shop that presents an exclusive summer collection and arouses the interest of passers-by with flyers in the surrounding neighbourhoods.
- Direct marketing: A regular newsletter to your existing customers maintains the relationship and provides information about new products. The fashion shop can send out discount campaigns or invitations to special events, for example, to strengthen customer loyalty.
Why Google Ads should not be missing as an amplifier
Google Ads plays a central role in online marketing. It is like a megaphone that amplifies your voice and helps you to be present exactly when potential customers need you. A minimum monthly budget of CHF 600 is essential to ensure that your adverts are displayed regularly and that you achieve measurable results. Without a sufficient budget, your adverts may be displayed infrequently and you may miss the opportunity to reach your target group.
Example
A provider of customised furniture can use Google Ads to target people who are searching for "customised furniture" online. With a solid budget of CHF 600 per month, he can reach customers who are actively searching for just such products. Without this investment, his brand might get lost in the noise of the competition and not get the attention it deserves.
Conclusion
Marketing is not only the engine that keeps your brand running, but also the compass that shows you the way. Investing at least 5% of turnover and the right combination of marketing measures creates a solid foundation for success.
If you are ready to realise the potential of your company, we at Swiss Media Design are your partner on this journey. Let's work together to find the perfect marketing mix and tell your story. Give your brand the drive it deserves - and let it win the hearts of your customers.
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