SME’s and their Marketing Budget
The results of a survey conducted by Truvo for a recently held conference are particularly interesting for SME’s. The survey was conducted in three countries – Belgium, Ireland and Portugal. In total they canvassed 1850 small businesses and, as the survey was conducted in May 2009, it’s particularly topical. They posed the question:
How do you allocate your marketing & advertising budget:
Truvo have a vested interest in the SME sector. It’s where they get most of their revenue. This company, and others like it, have seen a decline in print adverting, advertiser numbers and average advertiser spend in recent years. In Ireland their print revenues fell 9%, their online gained 65% (coming from a low base) and their overall revenues were down by close to 5% in 2008. So, in order to get an insight into the minds of their customers, they conducted this survey.
From the results its looks as if the largest chunk of the SME’s current marketing spend goes on the traditional print Directory Advertising. This spend is then followed by small businesses developing their own websites and the combined they take 38% of the total budget.
“Online” now consumes 40% of the SME’s marketing and advertising budget leaving 60% to the more traditional mediums. Some leaps of faith have to be made here to try and interpret what is actually meant in by the broader categories.
Other Print could be direct mail, leaflets/flyers perhaps. Other media is really too broad, but you would suggest that it includes local radio and the like. Regional Press make the smallest grab for the SME’s budget.