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Word Count: 1,143
Budgeting for Campbell Advertising Campaign Advertising costs are a completely controllable expense however advertising budgets are the means of determining and controlling this expense and dividing it wisely among departments lines or services It helps you to determine how much your advertising should cost including how much should be invested in making sales grow and how that amount should be allocated Whereas in budgeting for your advertising campaign you should ask yourself what you can afford to spend and knew the calculation for the investment needed for your advertising campaign in order to generate the sales required to make your business successful In some cases the companys revenue comes from your marketing That means that your marketing plan is probably the most important document you have Your advertising campaign is just as important as payroll and rent and taxes Whereby advertising is not an option for your company instead it gives advantages and feedback It is not an extra expense that can be cut if you do cut your advertising campaign your business will die Due to your advertising campaign is a long-term investment that takes time to show a return your budget must reflect the reality Each of the various ways in which to establish an advertising budget has its problems as well as its benefits These are the concepts from several traditional methods of budgeting have been combined into three basic method such as percentage of sales or profits unit of sales and objective and task Percentage of sales has been most widely used method of establishing an advertising budget is to base it on a percentage of sales Advertising is as much as for the business expense for instance the cost of labor and thus it should be related to the quantity of goods sold as well The percentage-of-sales method avoids some of the problems that result from using profits as a base For instance if profits in a period are
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