Pepsi? More than $2B. And these are brands we all know and love. What does that mean for companies like yours? Two things. Firstly, the bad news: marketing takes money. It’s not a one-time event, it’s an engine that needs fuel. Secondly, the good news: it works. 2017 revenues for Coca-Cola were $35.41B, and that was a down year.
According to a Gartner 2016-2017 CMO Spend Survey, the average survey respondent’s budget was 12 percent of the company revenue.
Of that budget, the biggest ticket items were, in order of amount, websites, digital commerce and digital advertising. A 2017 survey by Duke University reported in the Wall Street Journal reports that the average biotech firm spends 15%, the average healthcare organization 10% and the average energy company 4%. The average consumer packaged goods company like Coca-Cola spends around 24% of annual revenues on marketing.