Marketing your products cost money. We know this is true most of the time but how much it costs is not just calculated by the advertising medium’s fees, it is also dependent on how much you pay for any marketing software, services, and resources you use to deliver the activity. Measuring and planning for marketing activities is known as marketing cost analysis.
For example…
Timothy has created the world’s first FitBit for dogs. The product is in the form of a dog collar. To market his product, Timothy uses Facebook Ads, Google Adwords, magazine advertisements and radio Ads. He has also employed the services of a marketing agency to write blogs and other marketing material. His marketing cost analysis will, therefore, include the cost of advertising on each medium, the fees charged by the marketing agency after separating out marketing work done for the dog FitBit.
