The final months of the year offer a critical opportunity not only to wrap up projects but also to finalize your marketing strategy for the year ahead. By proactively analyzing your sales, trends, and marketing resources, you can create a robust plan for 2025 that positions your company for success. Rather than waiting for mythical “free time” or until the new year arrives, taking action now allows you to align your efforts with your revenue goals and take advantage of opportunities while supplier budgeting cycles are still in play.
Here are five actionable steps to help you craft an effective marketing plan before the holiday season consumes you and your team.
1. Analyze Your Product Categories: Sales Volume vs. Profit Margin
The foundation of any successful marketing plan begins with a clear understanding of which product categories drive your business. This involves examining both sales volume and profit margin across all the products or services your company offers.
- High Sales Volume Products: These are the products that consistently sell in large quantities. While they may not always have the highest profit margins, they are often your bread and butter in terms of driving revenue.
- High Profit Margin Products: These items may sell less frequently but generate a significant profit when they do. Identifying which products have the highest return on investment is key to determining where to focus your marketing efforts.
Ask yourself: Which products sold the most (and why)? Which cost the least to sell (and any downsides to that)? Finding a balance between volume and profitability will help you prioritize which product categories to focus on and promote in 2025.
2. Identify Consumer Trends: What Will 2025 Hold?
To stay ahead in the ever-evolving world of technology integration, it’s essential to understand what trends are driving consumer demand for residential technologies. Start by exploring predictions for 2025, considering how they align with your company’s strengths.
- Smart Home Technology Expansion: As more consumers are seeking connected home devices, automation solutions, or energy-management options, is your company well-positioned to meet that demand? What would you need to increase presence or productivity?
- Emerging Trends: What emerging technologies could your company adopt to stay on the leading edge and maintain effective differentiation? Consumers frequently search for AI-driven automation, enhanced home security, and immersive entertainment systems. How well positioned is your company to rise to the occasion?
Once you identify relevant trends, evaluate the competition. Will you be entering an oversaturated market, or do you see opportunities for your company to gain an edge? Weighing the potential impact and competition will help you determine which areas are worth your time and resources.
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3. Play With Budget Scenarios: What’s the Right Marketing Allocation?
Once you have a clear vision of your product focus and market trends, it’s time to plan your marketing budget. An easy way to start is by playing with percentages based on your revenue goals.
- 2% of Revenue: A more conservative budget. This approach may work for companies focused on organic growth and maintaining a steady presence in the market.
- 3% of Revenue: A mid-range budget for companies looking to expand visibility or introduce new products. This percentage allows more room for advertising, events, and partnerships.
- 5% of Revenue: A more aggressive budget designed to drive significant growth and brand awareness. If you’re launching a new product line or entering new markets, this might be a worthwhile consideration.
For example, if your revenue target for 2025 is $8 million, allocating 2%, 3%, or 5% of that total to marketing would give you a range of $160,000 to $400,000 to work with. These scenarios will help you assess how much to invest in marketing to support your revenue goals.
4. Leverage Supplier Programs: Secure Marketing Funds Now
Take a close look at the programs and incentives offered by your suppliers. Many provide marketing funds or volume-based incentives that can support your 2025 marketing efforts.
- Negotiate Now: The best time to negotiate recurring quarterly marketing funds or incentives is during budgeting season. Proactively reach out to your suppliers to lock in funds for the coming year, including securing support for special events or promotional campaigns.
- Maximize Opportunities: Don’t just settle for the standard agreement. Explore opportunities for additional co-marketing campaigns, event support, sales incentive programs, or other initiatives that can drive visibility for both your company and your suppliers.
By negotiating and securing these funds now, you can ensure that your 2025 marketing efforts are fully funded without the scramble for resources mid-year.
5. Engage Your Team: On-the-Road Training and Immersion
Your team is your greatest asset, and equipping them with industry knowledge is crucial for long-term success. In addition to developing a marketing plan, now is the time to invest in team development.
- Supplier-Sponsored Trips: Arrange sponsored trips with your key suppliers to visit their factories and immerse your team in the brand’s operations. Experiencing the manufacturing process firsthand will deepen your team’s understanding of the products they sell, making them more effective advocates for those brands.
- Increased Engagement: The more your team experiences the industry, the more connected they’ll feel to the channel and the better equipped they’ll be to contribute to successful outcomes for your company.
Take Action Now for a Strong Start in 2025
By establishing your 2025 marketing plan now, you are giving your company a head start on the competition. Analyzing your product categories, identifying key trends, setting a realistic marketing budget, securing supplier marketing funds, and involving your team in the process will ensure you’re prepared for success. With a well-crafted plan in place before the holiday season, you can enter the new year confident in your ability to achieve your business goals and thankful that you were inspired to get a jump on things before the holidays. You’re welcome!
Want to discuss how to develop a more effective marketing and communications strategy for your company or brand? Drop me a line at kmb@kmbcomm.com. I’m here to help!
