How Much Do You Re-invest in Internet Marketing?

7 replies
How much or what percentage of your income do you re-invest in your online business? Or what's the range? What's your philosophy for re-investing?

I tend to reinvest more as I make more. When I first started marketing online I was in desperate straits, so I started with 5-10%. Now I have more equipment, expenses and income, so I reinvest 20 to 25% depending on the month and projects.
#internet #marketing #reinvest
  • Profile picture of the author DP55
    It's a pretty much identical % for me too. Started out small and now I can invest in my marketing efforts knowing what produces a good ROI.

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  • Profile picture of the author The Niche Man
    Originally Posted by Alyona The Publicist View Post

    It depends on what your re-investment plans are and what profits you are raking in!!!! - If you plan on expanding than I suggest you get around 70% back in as re-investment - If you plan on keeping things as they are and reap the benefits than re-investing 10-20% is also good!! - but it depends on your level, I think that the newer you are in the marketing scene the more you have to re-invest so your business becomes self-sufficient.
    Your philosophy is sound and ideal. I've had occassions when I've re-invested 100% in a project. But during the year it averages to about 20-25%. I've found the riskier the project the less I tend to reinvest and the less risk (sales data confirmations) the more I reinvest. I've been burnt a few times but it works out most of the time (so far).
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  • Profile picture of the author danlew
    So far, I have re-invested 40% to 50% of my income to internet marketing. You know why? I am not satisfied yet of what I have accomplished, I'm hungry for more!
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  • Profile picture of the author jascoken
    It obviously has a lot to do with your income levels; when I started in IM back in 2002, it was everything I made. I put back all my earnings into tools and marketing development.

    Over the years, as my income has increased from IM, the percentage has decreased, but I've always believed a good rule of thumb to be around 10%. But I wouldn't include new development or new sites in this costing, as although it's reinvestment back into the business, I would see that as new project development which should carry it's own ROI.
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  • Profile picture of the author Lucas92
    When i had my website up and running i was putting in around a 30% investment due to it being in a competitive market.
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