The Metrics Brothers

B2B Marketing Budget and Productivity Benchmarks

11 snips
Jun 4, 2025
Discover insights from recent benchmarks on B2B marketing budgets and productivity. Learn how marketing spend as a percentage of revenue varies across company sizes and affects growth rates. Explore the contrasts between product-led and sales-led growth strategies in budget allocation. The importance of metrics is emphasized, with recommendations for assessing effectiveness through pipeline coverage and efficiency. Finally, understand how historical data can aid in strategic marketing planning and goal setting.
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INSIGHT

GTM Efficiency Squeezed Over Decade

  • Marketing and sales budgets combined have been squeezed from 60% to about 30% of sales over the past decade. - Despite this, the ratio of sales to marketing spend remains roughly 2:1, preserving balance while compressing GTM efficiency.
INSIGHT

Smaller Firms Spend More Percent

  • Smaller companies spend a larger percentage of revenue on marketing, with a median of 14% for $1M-$5M revenue companies. - As companies grow, marketing spend percentage decreases but absolute dollars increase significantly.
INSIGHT

Faster Growth Means More Marketing

  • Companies growing faster allocate a higher percentage of revenue to marketing: 7% for <20% growth, 10% for 21-30%, and 15% for >30%. - This pattern holds consistently even for companies over $50M in size.
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