What you'll learn:
- What small businesses really spend on marketing
- Four websites at four prices - what separates them once you work out the hours
- Why a monthly price is a number of hours with a plan attached
- What changes when your developer bills $20 an hour instead of $150, none of which is about quality
- Five questions to answer for yourself before you go out and get quotes
- Hosting from $10 a year to $10,000 a year - what's the difference?
- Why nobody can guarantee an SEO result, and what to judge instead
- Vague versus specific deliverables side by side
How Much Does
Digital Marketing Cost?
Ask a plumber what it costs to replace a water heater and you will get a range, and it will be roughly the same range across town. Ask what digital marketing costs and you get "it depends," which is true and completely useless when you are the one trying to budget for marketing.
This session is about why that happens, and what to do about it as a buyer.
The short version: there is no agreed definition of what is being sold. You can buy a website for nothing this afternoon, or for $300, or $1,500, or $10,000. All four exist right now. All four are called a website. In a trade with real standards the words mean something and there is an inspector who comes out and checks. In this one, nobody has agreed on the definition and there is no inspector. So when you line up four quotes and try to compare them, you are not comparing one thing at four prices. You are comparing four different products that happen to share a name.
This same problem plagues hosting, email marketing, SEO, AEO - and really all things digital marketing related. We talk through the numbers, some assumptions and then end with our own pricing on screen.
If you're interested in finding out what digital marketing costs, watch this webinar and follow it up with What's Worth Doing Yourself, and What You Should Hire Out, which answers who should do the work.
Frequently Asked Questions
There is no single answer, and the honest range is wider than most published guides admit. What the data shows is that 52% of small businesses run a total marketing budget under $1,000 a month, covering everything: website, hosting, ads, email and social. Businesses with ten or fewer employees are more likely still to be under $500. The often quoted figure of 7.8% of revenue comes from a survey of companies mostly above $1 billion in revenue, so it is a real number describing companies that look nothing like yours. A better starting point is working out what one new customer is worth to you, because that number tells you what any channel can afford to cost.
Because there is no agreed definition of what is being sold. A free site builder, a $300 template job, a $1,500 build and a $10,000 project are all marketed with the same word. Compare that to a licensed trade, where a defined scope of work has an inspector who checks it. Digital marketing has neither the shared definition nor the inspection, so prices cannot be compared directly the way they can in trades that have both. The practical consequence is that the price is never the first question. What is inside it is the first question.
Mostly hours, and who spends them. A $300 site at a $20 hourly rate works out to roughly fifteen hours, and that has to cover the sales conversation, the setup, the build and any back and forth with you. What you get is a template with your logo in it, very little discovery, often stock content and a cap on pages. A $10,000 project at a professional rate is roughly seventy hours: real discovery, custom design rather than a theme, work on what the pages say, integrations, testing and a launch plan. Neither is automatically the wrong choice. The question is how many hours your situation needs.
Not for quality on its own, because good work happens at both ends. It matters for four practical things. Who picks up the phone when the site breaks at four in the afternoon. Whether the company you hired is doing the work or subcontracting it, which is a legitimate model you should still know about. Who owns what was built, and whether you can hand it to somebody else. And where the strategy comes from, because a low cost usually buys execution only, and somebody still has to decide what the site should say. If that person is not on their side of the table, it is you.
Hosting runs from about $10 a year to $10,000 a year for the same word, so the price alone tells you nothing. Budget shared hosting is fine for a brochure site with modest traffic. Managed WordPress hosting, roughly $30 to $276 a month depending on tier, handles updates, backups, staging and security for you, and that is where most small business sites belong. What should set your budget is a single question: what happens to your business the day the site goes down? If the answer is not much, host cheaply. If you take orders through it, you are underinsured. And remember that the advertised signup price is rarely the renewal price, so budget for year two before you buy year one.
No. Guaranteed organic placement is a sales tactic. It is a promise nobody can make except the keepers of the algorithm at Google, and they are not selling. A common version of the trick is guaranteeing a ranking for a phrase so specific that nobody searches it. Since the outcome cannot be promised, what you are buying is the work, which means the only sensible thing to judge is whether you can see the work being done.
Named deliverables with numbers attached, so there is something to hold anyone to. Instead of "ongoing SEO optimization," ask for a specific count of pages rewritten each month, named in advance. Instead of "content creation," ask for a set number of posts at a set length, with topics agreed and your approval before publishing. Instead of "monthly reporting," ask for a report you can check against your own Search Console and Analytics. You should also have owner level access to every account in your business name, including your domain, hosting, Google Business Profile, ad account and analytics. If a proposal has none of that, there is nothing in it you can measure.
