One of the most common phrases I hear from business owners who are new to Marketing is: "Marketing is expensive." My response is usually the same:
Compared to what? Compared to the cost of not growing? Compared to losing market share? Compared to your competitors becoming more visible than you? Compared to missing opportunities because customers simply don't know you exist?
Marketing isn't inherently expensive however poor marketing is. And more often than not, poor marketing isn't caused by poor execution. It's caused by poor leadership and a lack of sound strategy.
Many businesses begin with the wrong question: How much should we spend on marketing?That's like asking: "How much should we spend building a factory?" Without knowing what you're trying to produce.
The better question is: "What business outcome are we trying to achieve?" Because marketing should never start with budget. It should start with business objectives.
One of the first things I do when developing a marketing strategy is reverse engineer the commercial outcome.
Let's imagine a business owner says: "I'd like to grow revenue by $3 million over the next three years." Great. Now we can work backwards.
How many additional customers does that require? What's the average customer value?What's the conversion rate? How many qualified opportunities are needed? How many enquiries does that require? What channels are most likely to generate those enquiries?What capability is needed to deliver them?
Only then do we start discussing investment. Because the investment should be determined by the value of the opportunity.
Manufacturers rarely question buying a machine that increases production capacity. Professional services firms invest in experienced staff because they know better people produce better outcomes. Healthcare providers invest in technology that improves patient care. Why? Because they understand the commercial return. Yet marketing is often treated differently.
Imagine applying that logic to manufacturing: "We'd like to increase production by 40%, but we don't want to buy another machine." It doesn't make commercial sense. Neither does expecting significant business growth without investing in the capability required to achieve it.
This is where I believe many businesses have misunderstood the role of marketing. Marketing isn't a communications department, or social media. It isn't advertising, nor is it a website.
Marketing is a collection of activities, based on a strategic foundation for business growth. Its purpose is to support commercial outcomes. Because once marketing becomes accountable for growth, investment decisions become much easier.
I've seen businesses spend hundreds of thousands of dollars on marketing with very little commercial return. Not because the agencies weren't capable. Not because the team wasn't talented. Because nobody was leading the strategy or making the activity accountable.
The campaigns looked great. The reports were full of metrics. The activity never connected back to the business objectives. That's the difference strategic leadership makes.
A marketing leader should ask:
Only then do they decide what marketing activity and investment is required.
There's a simple difference between a cost and an investment. A cost is money spent. An investment is money expected to generate a return.
If marketing cannot demonstrate how it contributes to business growth, it will always be viewed as a cost. If marketing has a clear strategy, measurable objectives and commercial accountability, it becomes an investment. That's a completely different conversation.
Business owners often try to reduce marketing costs by:
Ironically, these decisions often become the most expensive and can lead to poor positioning that attracts the wrong customers. Weak messaging reduces conversion. Inconsistent activity damages brand awareness. Short-term thinking creates long-term instability. The cheapest marketing frequently delivers the lowest return.
The businesses I admire don't ask whether marketing costs too much. They ask whether they're investing enough to achieve their commercial ambitions. They understand something many businesses overlook. Marketing doesn't create growth on its own.
Leadership determines the strategy. Strategy determines the investment. Investment enables capability. Capability delivers execution. Execution produces commercial outcomes. That's the sequence. Not the other way around.
Ask yourself four questions.
Because marketing shouldn't be budget-led. It should be opportunity-led.
When you reverse engineer the value of the outcome first, the marketing investment becomes far easier to justify. And that's when marketing stops being viewed as an expense on the profit and loss statement .. and starts being recognised for what it should have been all along. An investment in business growth.
As Fractional Chief Marketing Officer at BEAM Marketing, Natalie works alongside business owners and leadership teams to provide the strategic marketing leadership many growing businesses need but don't require on a full-time basis. Unlike traditional marketing consultants or agencies, Natalie believes marketing should never exist in isolation. It should support sales, strengthen brands, improve customer experience and ultimately contribute to sustainable business growth.
Every successful business reaches a point where more marketing activity isn't the answer. What they need is greater clarity, stronger strategic direction and experienced marketing leadership.
Natalie's complimentary 60-minute Growth Accelerator Assessment has been designed to help business owners identify the strengths, gaps and opportunities within their current marketing approach.
Together, you'll review your marketing through a commercial lens, uncover where opportunities are being missed, and discuss practical recommendations to better align your marketing with your business goals.
You'll leave the session with valuable insights, clear priorities and a better understanding of what your business needs to achieve sustainable growth, whether that's strategic guidance, stronger capability, or simply a clearer marketing roadmap.
Book your complimentary Growth Accelerator Assessment today and discover how strategic marketing leadership can help your business outsmart, outmarket and outgrow the competition.
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Email : natalie@beammarketing.au
When you truly know your customer, growth stops being guesswork.
