Budget as a healthy % of revenue. The Marketing Budget Calculator takes annual revenue (or target revenue), marketing budget as a share of revenue and returns annual marketing budget plus monthly budget, quarterly budget. Results update as you type, and the formula is shown under the result so you can repeat it in your own spreadsheet.
Marketing metrics are most useful as trends and comparisons between channels. Measure every campaign the same way, over the same period, and judge it against your gross margin rather than against revenue alone. Use the worked example below to check the maths against your own figures.
How the Marketing Budget Calculator works
Established businesses spend 5–10% of revenue on marketing; growth-stage companies and consumer brands 10–20%. Base the percentage on growth ambition and margin.
Worked example
With the example values (annual revenue (or target revenue) of $2,000,000, marketing budget as a share of revenue of 8%), the annual marketing budget is $160,000.00; monthly budget $13,333.33, quarterly budget $40,000.00. Change any figure above and the result updates immediately; use Copy results to paste the summary into a note or email.
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Frequently Asked Questions
How is annual marketing budget calculated?
budget = revenue × percentage.
Which figures do I need?
Annual revenue (or target revenue), marketing budget as a share of revenue. Take them from the same period and the same set of accounts or reports so the ratio is consistent, and check the example values as a guide to the units expected.
How often should I track this metric?
Weekly for live campaigns, monthly for channel comparisons, and always over the same period for spend and results so the figures line up.
