How to Set a Marketing Budget for Your Small Nigerian Business

“How much should I spend on marketing?” is one of the most common questions we get. There's no single magic number, but there is a sensible framework. Here it is.

1. Start from revenue, not vibes

A common benchmark is 5–10% of revenue for steady growth, and 10–20% if you're pushing aggressively or launching. New businesses without revenue should set a fixed monthly experiment budget they can sustain for at least 3 months.

2. Split budget between proven and experimental

Put roughly 70% into channels already working for you, and 30% into testing new ones. This keeps results stable while you discover new winners.

3. Think in cost per customer

Work out what a customer is worth to you, then what you can afford to pay to get one. If a customer brings ₦50,000 profit, spending ₦5,000 in ads to win them is a brilliant deal — “expensive” is relative to return.

4. Commit for at least 90 days

Marketing compounds. One month tells you little; three months of consistent spend and optimisation shows you the real picture. Budget for the quarter, not the week.

5. Track everything

Every naira should be accountable. If you can't tell which channel brought a sale, fix tracking before increasing spend.

Not sure where your budget would work hardest? Our free growth audit gives you a tailored recommendation in 48 hours.