What is digital marketing, and why is it important?

Digital marketing refers to the use of online strategies like SEO, social media, PPC, and email campaigns to promote products or services. It's essential because it helps businesses reach their target audience, generate leads, and boost sales in a cost-effective way. At FOG Digital Marketing, we specialize in crafting custom strategies that ensure your business gets noticed online.

How long does it take to see results from SEO?

SEO results can vary depending on the competitiveness of your industry and the state of your website. On average, it takes 3 to 6 months to see noticeable improvements. FOG Digital Marketing helps speed up the process by using proven SEO techniques that drive local traffic and increase your website’s search engine ranking.

What is the difference between SEO and PPC?

SEO (Search Engine Optimization) focuses on improving your website’s organic search rankings, while PPC (Pay-Per-Click) is a paid strategy where you bid for top placement on search engines. At FOG Digital Marketing, we help you decide which strategy—or combination of both—best fits your business goals.

Why should I hire a digital marketing agency?

A digital marketing agency like FOG Digital Marketing has the expertise, tools, and resources to implement a comprehensive online strategy that drives growth. We help you focus on running your business while we handle the complexities of digital marketing, from SEO to web design to social media.

What are the benefits of social media marketing for small businesses?

Social media marketing allows small businesses to connect directly with their audience, build brand loyalty, and drive website traffic. FOG Digital Marketing develops personalized social media strategies to help you engage followers and convert them into customers, growing your business effectively.

How much should a small business spend on digital marketing?

Digital marketing budgets vary based on business size, goals, and industry. A general rule is to spend 7-10% of your revenue on marketing. At FOG Digital Marketing, we offer affordable digital marketing services designed to maximize your ROI and help your business grow within your budget.

How does website design impact SEO?

A well-designed website improves SEO by enhancing user experience, increasing mobile-friendliness, and optimizing page speed. FOG Digital Marketing creates SEO-friendly web designs that not only look great but also improve your search rankings and help you connect with more customers.

Can I handle digital marketing myself?

While small business owners can handle basic digital marketing tasks, it’s challenging to stay up-to-date with industry changes and trends. Hiring a professional team like FOG Digital Marketing ensures your digital marketing efforts are effective, consistent, and aligned with your business goals.

What is local SEO, and why is it important?

Local SEO focuses on optimizing your website and online presence to attract local customers. This includes appearing in local searches and Google Maps results. FOG Digital Marketing uses local SEO strategies to help businesses in San Antonio and surrounding areas improve visibility and get more customers.

How does content marketing help my business grow?

Content marketing provides valuable information that engages your audience, builds trust, and positions your business as an industry leader. FOG Digital Marketing develops content that not only attracts visitors but also converts them into customers, helping you grow your business.

How Much Should You Invest in Digital Marketing in 2025?

July 25, 2025

Digital Marketing

The Cost of Standing Still

If you’re like most business owners, you’ve asked yourself:

“How much should we spend on digital marketing this year?”

It’s a fair question. You don’t want to overspend—but underinvesting can be even more dangerous. In today’s economy, staying invisible online means falling behind competitors who are doing the opposite: investing in strategy, SEO, content, paid ads, and better digital experiences.

Whether you’re a small local shop or a national brand, digital marketing isn’t optional in 2025—it’s the engine behind your leads, revenue, and long-term relevance.

In this guide, we’ll break down how much businesses actually invest in digital marketing, what works, what to avoid, and how to approach your budget with clarity and confidence.

What the Data Says: Benchmarks & Real Averages

Most authoritative studies agree that 7%–10% of gross revenue is a common marketing investment for small to mid-sized businesses.

Here’s what recent research shows:

Source	Suggested Marketing Investment
SBA (Small Business Administration)	7%–8% of gross revenue for businesses under $5M
Gartner 2024 CMO Survey	9.1% of total company revenue (average across industries)
Deloitte CMO Survey	B2B Services: 10.4%
Boomcycle Report	Top-performing companies invest 10–20%

The takeaway? Businesses that want to compete seriously in 2025 should be investing a minimum of 7%, with 10–15%being more realistic for those wanting growth.

Marketing Budget by Business Size and Type

Let’s break it down by business type and revenue:

Business Size	Revenue	Recommended Budget	Growth Budget
Local Service Business	$500K–$1M	$35K–$70K/year	$70K+
Mid-Sized B2B	$1M–$5M	$70K–$300K/year	$150K+
E-Commerce Store	Any	10–15% of revenue	Up to 25% in scaling phases
National SaaS Company	$5M–$20M	$500K–$2M+	20%+ of revenue

If you’re spending less than 5%, you’re likely not even maintaining visibility—you’re vanishing from search, social, and your customers’ minds.

What Happens When You Don’t Invest

This part is simple but often overlooked: your competitors don’t pause.

When you stop investing in digital marketing:

SEO rankings drop
Traffic decreases
Ads become costlier
Your brand awareness fades
Referrals and reviews slow down

And here’s the kicker: it takes 3x longer and more budget to regain lost visibility than it would have cost to sustain your efforts.

Want proof? Read our blog on What Happens If You Stop SEO and Competitors Don’t.

How to Budget Based on Goals, Not Just Revenue

Revenue matters—but your business goals matter more.

Here’s how to rethink the budget:

Want to grow 20% next year? Invest like you mean it. That often means 10–15% of revenue.
Just need stability and visibility? Stick to the 7–9% range.
Launching a new product or entering new markets? Budget 15–25% temporarily.

🧠 Example:
A B2B company making $2M/year wants to grow to $2.5M. A 12% marketing budget = $240K/year or $20K/month across SEO, PPC, content, web design, and lead capture.

Where to Spend: SEO, Ads, Content, Web Design & More

A realistic marketing budget should include:

Channel	% of Budget	What It Covers
SEO	25–35%	On-page, off-page, technical SEO, link building
Google & Meta Ads	30–40%	Search ads, remarketing, Meta campaigns
Website & UX	15–20%	Redesigns, CRO, landing pages
Content Creation	10–15%	Blogs, videos, case studies
Email & CRM	5–10%	Email automation, lead nurturing

Internal link suggestion here:
Read our SEO services page to see how we approach search visibility and lead generation.

Marketing Investment ROI: How to Measure Results

Marketing is measurable—if your setup is right. Track:

Cost per lead (CPL)
Customer acquisition cost (CAC)
Return on ad spend (ROAS)
Organic traffic & conversions
Keyword rankings & visibility
Lead quality (MQLs, SQLs)

Need help tracking performance? Our team sets up detailed reports in Google Analytics 4 and CRM tools to show real results.

Common Mistakes to Avoid

❌ Investing too little, expecting too much
❌ Hiring cheap freelancers instead of a team
❌ Running ads without optimized landing pages
❌ Doing SEO for 2 months, then quitting
❌ Relying only on referrals

Digital marketing takes time—but when done right, the ROI compounds.

What Real Businesses Are Spending in 2025 (Examples)

1. Local Plumbing Company ($900K/year)
Spends $5,000/month on SEO + PPC
→ 40 leads/month, $12,000/mo revenue increase

2. National E-Commerce Brand ($4M/year)
Spends $40,000/month across SEO, Meta, YouTube
→ 4.8x ROAS, 20% YoY growth

3. B2B Tech Startup ($1.5M/year)
Spends $10,000/month in 6-month ramp-up
→ Improved lead quality, reduced CAC by 28%

How to Get Started: A Simple Planning Framework

Define your revenue goal
Calculate budget % (7–15%)
Break it down by channel
Prioritize your quick wins (SEO? Ads? Web?)
Track results monthly

Not sure where to start? Schedule a free strategy call and we’ll guide you.

Final Thoughts: What Growth-Minded Companies Do Differently

They treat marketing as an investment, not an expense.

They:

Invest consistently, not sporadically
Budget realistically based on goals
Build a strategy around performance and data
Partner with experts who understand their growth targets

Whether you’re scaling or stabilizing, digital marketing is the most direct path to leads, revenue, and long-term brand value.

Ready to Build a Strategy That Actually Delivers?

FOG Digital Marketing has helped businesses grow for over 16 years.
From web design and SEO to lead generation and content—we turn your marketing into momentum.

👉 Schedule your free strategy call today »

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