Emilio Garcia walks through setting ad budgets by starting with your revenue target, measuring baseline sales without ads, then calculating the gap you need to fill. He recommends using search and intent-based advertising to close that gap, whether you're entering a new market or reaching a new customer segment.
I think you start from goals, definitely, right? Establishing those baselines with or without advertising, right? What are the revenue goals that we have for the quarter, for the year? Breaking down, you know, what is it that we can accomplish with our current sales and marketing process, right? Independent of advertising. And what is the gap? And usually the gap is either I'm trying to break into a new market, Decrease the impact of a product or service, or even just an industry or segment. So once you have identified that, that will make it easier to say, well, if I want to solve this particular problem of a revenue equation, what is a proper budget that I can put here behind on advertising? Tackle those 2 problems, right? Is it easy to find me and to buy from me for this segment? Right? That's the availability that you're building up with search and in general intent advertising.
