How to Set a Budget for Your Next Video Project
Learn how to set clear budgets for your next video project. It's a fine balance between over spending and doing more than you need or underspending and not making the most of what you already have.
A complete guide to help you calculate the budget of your video production project in Brisbane.
In this video I’m going to show you how to easily set a budget for your next video project, long before you even hire a videographer or make a single video.
A lot of companies often end up overspending by making way more than they actually need. Others end up underspending by not doing enough to maximise their growth potential.
That’s why as business leader in your company, you should consider these 3 factors before deciding how much to spend on your next video project. They are your business goals, obstacles and expected return on investment.
1. What Are Your Business Goals?
The first step is to define your business goals. What are you trying to achieve with your video project?
This should be as quantifiable and specific as possible.
For example, more customers and more revenue is not a specific enough business goal. Every business wants that. The question is by how much?
Say if you’re only looking to increase your revenue by only 10% and most of your marketing is already doing well, then you might need just a few videos.
But if you’re looking to double your revenue in the next year, then you might need a much more aggressive video strategy.
Your video marketing budget should reflect that.
2. What Are The Obstacles?
The next thing to consider is the obstacles. In other words, what’s stopping you from achieving your revenue goals?
- Do you just need more people going to your website? OR
- Do you already have a lot of daily visitors, but not enough of them are turning into inquiries, demos or appointments.
- Maybe you’re getting a lot of inquiries, but they’re mostly from people who are not qualified enough to work with you. OR
- Your service is complex. So you waste a lot of time repeating yourself in sales conversations. This extends your sales cycles and slows down your growth. OR
- You don’t face any of the above challenges, but your audience doesn’t know you as an authority in your space.
Or a combination of everything. Each of these obstacles will point you towards a different video strategy and accordingly how much it’s going to cost.
3. How Much Can You Afford to Spend?
The third and final thing to consider is how much you can afford to spend.
This will depend on how much your video strategy stands to generate. Keep in mind, this is going to be a one time investment. So you’ll want to make videos that will stand the test of time and sell your service for years to come. Any videographer you partner with should be able to show how their video strategy will generate new income for your business.
As a general rule, you should aim to get at least 10 times return on your investment from your video project.
For example, if you want your videos to generate an additional $100000 in new revenue, then you should not spend more than $10000 on your next video project.
That way, you’ll keep every spent marketing dollar accountable.
Your videographer should show you how their videos will help you get the result you want. If all they talk about is their equipment and video making skills, then it means they only know how to make videos. But they don’t have a strategy that will give you the results you want.
Full disclosure, we don’t take on clients unless we can clearly trace how our videos will help them achieve at least a 10X return on investment or more. Often within the first year of working with us. It helps us build long term relationships with our clients.
Conclusion
So in conclusion, before making any videos, be clear about your goals, identify your roadblocks and have a clear strategy that will give you the results you want.
This will remove all the guesswork and help you make an educated decision on how much to spend on your next video marketing project.
Want to Work With Us?
Ready to build a long term video strategy for your business? This is what we specialise in. We’ll first look to identify the gaps and opportunities in your sales process. If we know we can help, we’ll show you how.
Book a free no-obligation call to get started.
