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&picture=https://514871.fs1.hubspotusercontent-na1.net/hubfs/514871/EP127_The-Science-of-Budget-SettingBlog-image.png&description=<p style="font-size: 18px;"><span style="color: #444444;"><em>This newsletter comes from the hosts of <strong>The Marketing Architects</strong>, a research-first show answering your biggest marketing questions. Find us on <a href="https://c3gzG04.na1.hubspotlinks.com/Ctc/F9+113/c3gzG04/VVn8SY65QyhPVzXQJS3lXDjgW7qxXbD5cs6D0N1c6srn3qn9gW8wLKSR6lZ3pxW7JQJ215NfLB1N4Sg27PGxhBbW32PfTl46RPt4W3P_0cM6FcLCVW3mlC1Q2Plx0FVXyZ1-71xPRsW7HlgTd1-gbFHW6f2f2J3_nzbGW83Gk2L3CjDjSW97f-nl2Mvc0MW5jh1_813KWyXW3PjdK38jF_5_W3kTsfL81_mfWW93hP4V1YCyS6VtTL9f5zY0qqW1jmf9S8f8_VSW7_mM1p5_-ZrnW7qr0jm9kWKmhW7_M1Lq8Qby2SW8jWX0w9ghB3NW3zvc217c97ZkW3pGPyM4wZzX-W49SFK57snwpdW3zW6fm8mmXpsW2cdmtt6Ycv5rW3GX17Q5nhmxwVmPPsN33qRF6W6pHtqM50DxJxf20l3j404" data-hs-link-id="0" style="color: #444444;"><span style="text-decoration: none;">Apple Podcasts</span></a> or wherever you listen to podcasts!</em></span></p>
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<p style="font-size: 18px;"><span style="color: #444444;"><i>Planning season is here, and marketers are staring down spreadsheets, trying to figure out their 2026 budgets. This week, we're tackling the science behind setting budgets that actually drive growth.</i> </span></p>
<p style="font-size: 18px;"><span style="color: #444444;"><i>—Elena </i> </span></p>
<p style="font-size: 18px;"><span style="letter-spacing: 0px; text-transform: initial; background-color: transparent; color: #444444;"> </span></p>
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Stop starving your brand (and your growth)
This newsletter comes from the hosts of The Marketing Architects, a research-first show answering your biggest marketing questions. Find us on Apple Podcasts or wherever you listen to podcasts!
Planning season is here, and marketers are staring down spreadsheets, trying to figure out their 2026 budgets. This week, we're tackling the science behind setting budgets that actually drive growth.
—Elena
48.4% of marketers say ROI is the most important metric for senior leadership.
This pressure to prove immediate returns traps companies in 12-month cycles of short-term results, leading to chronic under-investment in brand building that could deliver better long-term ROI.
The triple-cooked approach to marketing budgets.
Mark Ritson believes most marketing budgets are completely messed up. His solution is a simple system inspired by triple-cooked chips:
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Step 1: Spend 5-10% of revenue on marketing. Econometric evidence from Grace Kite, Nielsen, and others supports this benchmark. Aim for 10% if you're serious about growth and competitive advantage.
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Step 2: Balance long and short-term investment. The optimal brand vs performance mix is typically 62/38 for B2C brands and 46/54 for B2B. Most companies are under-investing in brand and caught in a cycle of chasing short-term wins.
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Step 3: Measure each piece properly. Stop measuring brand building through the same ROI lens as performance marketing. Use brand metrics like awareness, consideration, and preference, which are tailored to long-term effects.
Success requires educating finance teams on excess share of voice, modeling long-term ROI, and positioning marketing as a growth engine rather than a cost center.
“Triple Cooked Chips: Ritson's Foolproof System for Marketing Budgets”
This Marketing Week article breaks down Mark Ritson's case for why traditional budgeting methods are failing and his data-backed approach to fixing them.
The fundamentals of growth
“You can't harvest what you don't plant.”
— Stephen Covey, Author of The 7 Habits of Highly Effective People