How to Set a Digital Marketing Budget for Your Toowoomba Business

"How much does it cost?"

It's the first question every business owner asks when thinking about digital marketing, and for good reason. You need to know that your hard-earned money is being invested wisely and will generate a positive return.

The truth is, there's no magic number. A marketing budget for a new cafe in Ruthven Street will be very different from that of an established manufacturing company in the Wilsonton Industrial Estate. However, there is a smart way to think about your budget.

Instead of picking a random number, let's break it down into a practical framework that any Toowoomba business can use.

The 3 Buckets of a Smart Marketing Budget

A good digital marketing budget isn't one big expense; it's an investment allocated across three key areas.

Bucket 1: The Foundation (Your Website)

Your website is the home base for all your marketing efforts. If it's slow, outdated, or doesn't work on mobile, any money you spend on ads or SEO will be wasted, as visitors will just leave.

• One-Off Investment: If your current site isn't up to scratch, your first priority should be budgeting for a new, professional website. This is a capital expense that will pay dividends for years.
• Ongoing Cost: Budget a small amount for annual hosting and maintenance (typically a few hundred dollars per year).

Bucket 2: The Growth Engines (Getting Found)

This is where you invest in attracting new customers who are actively looking for your services. For most Toowoomba businesses, this means focusing on Google.

• Search Engine Optimisation (SEO): This is a long-term investment. SEO is about earning "free" clicks by ranking organically on Google. It takes time (think 6-12 months) but delivers the best long-term ROI. A typical monthly retainer for quality SEO can range from $1,000 to $3,000+.
• Google Ads: This is your short-term growth lever. You can start getting leads the day you turn it on. Your budget here consists of two parts: your "ad spend" (what you pay Google) and a management fee. A good starting point for ad spend for a local business is often between $1,000 and $2,500 per month.

Bucket 3: The Brand Builders (Staying Top-of-Mind)

This bucket is for connecting with your audience, building trust, and nurturing future customers.

• Social Media Marketing: This is about building a community and engaging with your customers where they spend their time.
• Content Marketing: This involves creating valuable blog posts (like this one!) or guides that establish you as the expert in your field.

For many small businesses, this bucket can start small and grow over time. You might allocate 10-20% of your total marketing budget here.

So, What's the Right Number for You?

A common rule of thumb is that established businesses should allocate 5-10% of their total revenue to marketing. For new businesses or those in a high-growth phase, this can be higher, around 10-15%.

Example for a Toowoomba Business: Let's say your business generates $500,000 in annual revenue. Using the 7% mark, your annual marketing budget would be $35,000, or just under $3,000 per month.

How could you allocate that $3,000/month?

• $1,500 for a targeted Google Ads campaign to generate immediate leads.
• $1,000 for an ongoing SEO campaign to build long-term rankings.
• $500 for social media management and content creation.

The Most Important Factor: Partnership

Setting a budget is just the first step. The key to success is working with a partner who understands how to get the most out of every dollar you invest.

At GRIVITY, we specialise in creating customised, results-driven marketing strategies for Toowoomba businesses. We believe in transparency and focusing on the metrics that actually matter to your bottom line.

If you'd like to discuss what a realistic and effective marketing budget could look like for your business, we offer a free, no-obligation consultation. Let's build a plan for your growth.