7 Marketing Tactics You’re Wasting Your Money On

Entering 2023, many business owners are anticipating a prolonged economic downturn, leading to touch decisions as annual budgets are confirmed. One line item that typically faces more intense scrutiny in tough times is the marketing budget; specifically the ROI that can be expected from each and every marketing initiative on the calendar.

In fact, nearly 30% of major advertisers say they're cutting their ad budgets into next year, according to a World Federation of Advertisers (WFA) survey of 43 multinational companies. 74% said the economic downturn is influencing their 2023 budget decisions.

Business owners and the marketers that support them need to make smarter decisions as they allocate their dollars. Which tactics can reliably deliver the fastest growth, reliable sales and increased profits?

Some of the same marketing tactics are frequently the source of wasted marketing dollars. In times of robust growth, when money and attention run deep, many of tactics are worth the investment. However, when there is no longer sufficient money, time and expertise to manage campaigns and projects efficiently, the quality, and the ROI begins to dip.

Marketers face tough choices when it comes to allocating the marketing budget. Here are seven marketing tactics that might not make the cut.

1. Programmatic (Display) Ads

   In addition to the universal truth that display ads are universally disliked by users, display ads are known for fraud and mismanagement. It has been reported that up to 40-50% of “clicks” are done accidentally, and most viewers cannot adequately recall the ads they have been served. We have all heard the statistics about how many times an ad needs to be viewed before a user can recall it. Unless you have a massive budget for display, this is usually a waste of money. Finally, successful display advertising requires an expertise that most small to medium business cannot afford, which is applied on top of the costs of serving the ads themselves.

2. Rebranding

   It’s easy to think a rebrand will solve all your marketing problems but this is rarely the case. A rebrand is a HUGE expense, with the added risk of confusing your audience. Often brands under estimate the work and expense of a rebrand, because they are fosed on the rebrand itself and neglect the rollout. Without a launch plan and enough money in the budget to saturate the market, this tactic can be a major waste of marketing dollars.

3. Buying followers

   A robust following signals authority and trust but it doesn’t equate to engagement or sales. The quickest way to undermine your results and growth on social media is to purchase followers. In any economy, this is not a strategy worth the investment.

4. Hiring the Wrong Consultant

   If you’ve ever doubted your marketing, felt you needed a fresh perspective, or simply couldn’t keep up with the workload, you may have looked into hiring an outside marketing agency or consultant. Remember, anyone can call themselves a “marketing expert”. Don’t settle for lackluster results or an approach that is undefined. If you’re considering an outside marketing consultant, make sure they have the experience you need to achieve the results they have described. A clear statement of work should be agreed upon before entering any contracts.

5. A Multi-channel Approach to Social Media

   Repurposing content for distribution on multiple channels; Pinterest, TikTok, Instagram, etc can be an efficient strategy for reaching an even larger audience. The demand for new and more entertaining content on every channel appears unsatiable, and the expense associated with creating high quality content only continues to grow. It would make sense the posting the same content on MORE channels should increase the ROI. The problem that occurs is the “slight tweaks” required in the format and messaging for each channel can become overwhelming, and not adjusting the content for the channel can have the opposite effect. Too little content, over too many channels might not be enough to get noticed.

   In times of budget constraints, opt for the channels most likely to host your ideal customer and focus the bulk of your effort there.

6. Highly Customized Website

   Don’t mis-read this line item. Having a fully functional, fast website that is optimized for mobile is incredibly important and always worth the investment. What isn’t worth the investment is an overly fussy, customized website that your business cannot comprehend or manage independently.

   If you’re not involved in e-commerce and your site isn’t monetized, a major cash investment in a website might not provide the ROI you’re looking for. Look for content management systems and website developers that can work with you to design a website you can manage, at a price you can afford.

7. Paid Media

   In the intensely competitive world of content marketing, organic engagement might not be enough. Paid media exists to deliver your content directly to an audience that you’ve selected, based on criteria that makes them most likely to show an interest in your brand. But what if you’re not actively managing your Google AdWords account? Mis-managed and undermanaged paid accounts are can suck money from your budget with little to no measurable results. If you’re “boosting” social posts, give Ads Manager a try instead. More robust reporting, intuitive adjustments and detailed targeting will increase the chances your content is shown to the right audience. And if you had a Google Ads account, you need to be monitoring it at least once a week, or hand it over to someone that has the time and expertise to make the most of your monthly spend.

Managing the marketing budget facing an economic downturn can be challenging but with the right focus, planning and strategy in place, a reduced budget doesn’t have to mean reduced results.

Reach out to me if you would like to discuss how to make the most of your marketing budget in 2023.