How much should startups spend on marketing?

Ralph suggests marketing budgets relative to revenue and warns about overspending on labor or marketing.

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Stop guessing. Get the blueprint to scale: https://www.tiereleven.com/audit

Are you getting the results you expect from your agency? Or is your marketing just vanity metrics? Too often, businesses spend thousands of dollars without understanding whether their marketing is truly driving revenue. In today’s episode, we get into why performance marketing should focus on what matters most: the impact on your bottom line.

We break down the issues we’re seeing in the agency space, including a shocking example of a business spending $30-40K a month without any measurable results, all because their agency failed to focus on tracking what actually moves the needle. But it’s not just about hiring agencies but also about how to hold your team accountable.

We’ll share some tips to help you recognize if your agency is really performing or just reporting numbers that look good on paper. You’ll gain a better understanding of what to look for in your agency relationships, what metrics to monitor, and how to make smarter marketing decisions.

In This Episode:

- Vanity metrics vs. real performance

- When should you hire an agency vs. in-house contractors?

- The financial cost of hiring a marketing agency

- Determining the type of agency your business needs

- Dealing with inaccurate agency reports

- Key metrics to measure marketing performance

- What should your agency’s dashboard show?

Mentioned in the Episode:

Stop guessing. Get the blueprint to scale: https://www.tiereleven.com/audit

Tier 11’s Data Suite: https://www.tiereleven.com/what-we-do/data-suite

Tier 11’s Marketing Performance Indicators (MPI) Checklist: https://www.tiereleven.com/marketing-performance-indicators