Setting a marketing budget without guessing
Most shops underspend in good times and panic-spend in slow times. A simple rule prevents both.
Anchor to a percentage of revenue
3 to 8% of revenue is a typical range for service businesses. Newer or growing shops sit higher in the range. Established shops with strong referrals sit lower.
Split the budget by stage
Roughly half on what's working today (renewals, referrals, Google), a quarter on growth experiments, a quarter on brand and presence. Don't put it all on one channel.
Review quarterly, not annually
Channels shift fast. A quarterly look at cost per lead by channel reveals which to expand and which to cut. Annual reviews are too slow.
Take your version of this question further
This is one operator-tested angle on the question. Your shop, your size, your trade, and your team change the answer. Ask your specific version inside Ask a Shop Owner to get a response grounded in how owners like you actually handled it.