Marketing Budget Allocation Models: Pros And Cons

Every budget allocation model has an impact on the behavior of the marketing team. Marketing leaders should periodically assess their budget allocation model for its alignment with marketing strategy, and consider shifting toward a solution or campaign allocation model to improve efficiency, enhance sales enablement and market intelligence programs, and eliminate overlapping activities and undesirable behavior. In this report, we examine six approaches to marketing budget planning and management, highlighting strengths and weaknesses for each in terms of the range of decisions that can be made and the behavior that it encourages.