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Aug 26
38m 2s

The Science of Budget Setting

Marketing Architects
About this episode
Marketing budgets are a mess right now, says Mark Ritson. His solution? A simple, three-step system inspired by triple-cooked chips: spend 5-10% of revenue, balance long and short-term investment, and measure each piece properly.

This week, Elena, Angela, and Rob tackle one of the trickiest questions in marketing: how do you set a budget that actually drives growth? They explore Ritson's budgeting system, why marketers struggle to secure investment, and the frameworks needed to justify balanced spending.

Topics covered: 
  • [01:00] Mark Ritson's three-step budgeting system
  • [04:00] High-growth companies spend far more than 5-10%
  • [11:00] The 60/40 rule and why most brands fall short
  • [15:00] Setting measurement expectations for brand vs performance spend
  • [20:00] How performance backgrounds shape budgeting approaches
  • [26:00] Keeping unallocated budget for real-time opportunities 


 





To learn more, visit marketingarchitects.com/podcast or subscribe to our newsletter at marketingarchitects.com/newsletter
 

Resources: 
2022 MarketingWeek Article: https://www.marketingweek.com/ritson-triple-cooked-chips-marketing-budgets/
 

Get more research-backed marketing strategies by subscribing to The Marketing Architects on Apple Podcasts, Spotify, or wherever you listen to podcasts.
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