Boris Litvinov Of Left Off Madison: 5 Ways To Manage Your Marketing Budget For Improved ROI

An Interview With Rachel Kline

Start your testing and learning journey with digital channels. As you gather insights and successes, gradually integrate them into your standard marketing strategy. Meanwhile, continue experimenting with fresh opportunities. When properly executed, a one-month intensive testing schedule can yield exceptional outcomes.

With the growing complexity of marketing channels and the need for businesses to constantly adapt their strategies, managing marketing budgets effectively has become more critical than ever to ensure the highest possible return on investment. In this interview series, we are talking with marketing experts, industry professionals, and thought leaders who have significant experience in budget management and optimization, to share their “5 Ways To Manage Your Marketing Budget For Improved ROI.” As a part of this series, we had the pleasure of interviewing Boris Litvinov.

With over a decade’s worth of marketing experience, Boris Litvinov joined Left Off Madison as president to oversee the omnichannel, performance, and e-commerce media disciplines for the multi-service New York City-based agency. Having conducted media planning, buying, and reporting for a multitude of reputable brands across disciplines, such as Hitachi, Louis Vuitton Moet Hennessy LVMH, Party City, and Upfield, Litvinov joins a company that already boasts José Olé, Ling Ling, Panasonic, Tai Pei, and more in its portfolio. In addition to his media expertise, Litvinov is bringing national recognition for his previous work as well, which includes two Telly Awards he won for his work with the U.S. Army and Western Union, two Reggie Awards he won for his work with Dish Network and Western Union, and the U.S. Army Coin of Excellence.

Thank you so much for doing this with us! Before we dive in, our readers would love to “get to know you” a bit better. Can you share your personal backstory with us?

I initially pursued a career in pharmacy but very quickly decided to take a different path. I ventured into digital marketing when I met the owner of the ad agency Gravity and spent a remarkable decade there. Later, Gravity was acquired by Dentsu International, where I continued to thrive for another five years. Eventually, I joined Left off Madison, bringing me back to my media roots and what I love about this industry.

This agency was a breath of fresh air compared to larger ones, allowing me to execute ideas swiftly without the usual bureaucracy. The absence of layers and roadblocks here has been a significant advantage for our clients, making my journey truly rewarding.

Can you share with us three strengths, skills, or characteristics that helped you to reach this place in your career? How can others actively build these areas within themselves?

One key strength that has been paramount in my career is being a ‘T-shaped Individual.’ In marketing, it’s common for professionals to excel in one specialized area. However, I believe in mastering one core skill while having a broad range of knowledge across various aspects of the field. This means I can dive deep into my expertise, like media, while also being a ‘jack of all trades’ in areas like creative production or ad tech. This versatility allows me to connect the dots and demonstrate how my work impacts the bigger picture.

To cultivate this T-shaped approach, you must be open to continuous learning and stepping out of your comfort zone. Don’t limit yourself to a 9-to-5 mentality. Instead, question how your role influences your client’s brand and what it brings to the table. The ability to ask these critical questions stems from pushing your boundaries.

I’ve personally expanded my knowledge by leveraging free digital resources. A wealth of information is available online, so seize the opportunity to read and absorb as much as you can. However, hands-on experience is the real game-changer. Being able to navigate various tools and platforms is what sets truly great professionals apart. So, embrace a holistic learning approach to thrive in the dynamic marketing world.

Fantastic. Let’s now shift to the main part of our interview. What factors do you consider when allocating your marketing budget across different channels and tactics?

The #1 factor in allocating our marketing budget is identifying the right Key Performance Indicators (KPIs). It’s surprising how often I’ve seen businesses set goals that don’t align with the KPIs they’re measuring. For instance, aiming to boost sales while only measuring brand awareness. Your KPIs should always dictate your budget distribution because each channel and tactic uniquely impacts specific KPIs.

It’s essential to understand that only some channels can achieve some goals. For example, search ads won’t significantly enhance brand awareness, regardless of the budget invested. So, aligning expectations with budgets is crucial. We set clear goals and then determine the most effective tactics and budget allocation to achieve them.

It may sound surprising, but I believe budget allocation often involves a ‘test and learn’ approach, especially for startups or those lacking extensive marketing experience and data. Unless you’re a well-established brand with decades of marketing insights, experimentation helps refine strategies, provided your KPIs are accurately defined.

In your opinion, what are some common mistakes that marketers make when managing their budgets? How can they be avoided?

One common budgeting mistake in marketing is trying to do too much with too little. It’s easy to get caught up in lofty goals, especially in startups, and attempt to test everything at once. However, the key is to try one thing at a time and understand its effectiveness. If it doesn’t work, move on to the next.

When you have limited funding, conducting small, well-structured tests is essential, and only allocating more budget to what shows promise. Avoid spreading yourself too thin by focusing on what truly works and scaling it wisely.

When allocating your budget, how do you balance short-term marketing goals with long-term brand building initiatives?

Balancing short-term marketing goals with long-term brand building is a dynamic challenge. Initially, you must prioritize clear, short-term objectives because building a brand is ongoing. It’s essential to generate steady revenue before diving into large-scale, long-term campaigns that might not be financially sustainable.

Today, building a brand is more than relying on traditional TV advertising. Digital strategies offer more efficient and effective ways to establish a brand presence. When allocating budgets, I focus on KPIs, conduct targeted tests, learn from the results, optimize, and repeat. This iterative approach maximizes our resources, especially when a lengthy attribution model isn’t feasible.

For start-ups and those with limited budgets, what tactics would you recommend to receive the highest return and the fastest initial growth?

For startups with limited budgets aiming for quick growth, prioritize search. It’s the ultimate revenue driver, delivering immediate results at the bottom of the sales funnel. In the digital realm, particularly for e-commerce, search is the place to start. You can confidently expand your horizons once you crack the code for generating revenue through search.

How do you collaborate with other departments within your organization, such as sales or finance, to ensure alignment and maximize ROI from your marketing spend?

In my role within an advertising agency, it’s crucial to collaborate effectively with clients’ finance and sales teams, as they ultimately control the budget. I start by emphasizing KPIs to achieve alignment and maximize ROI. These teams often aren’t marketing experts, so I break down how each channel and tactic directly impacts these KPIs. Simplifying the conversation around KPIs helps foster understanding and collaboration, ensuring we’re all on the same page to maximize our marketing spend.

What tips do you have to get buy-in from the CEO and others in the C-Suite when requesting additional budget for new projects or tactics?

Which marketing software in your tech stack do you feel is most worth the investment?

In our agency, Left Off Madison, the most valuable investments in our tech stack revolve around audience and data tools. These tools, such as MRI-Simmons, empower us to pinpoint the ‘who, what, where, and when’ of our marketing efforts. We’re data-agnostic, leveraging various data sources, including CPG data, to dive deep into different audience segments, especially multicultural or ethnic segments. This level of precision is essential because our clients often operate in highly competitive spaces, where smarter segmentation and targeting are vital to maximizing their ROI against larger competitors.

Can you please share five things marketing leaders should do to improve the ROI of their marketing efforts?

1 . Define clear and relevant goals.

2. Ensure goals have trackable KPIs for proper measurement. Setting a goal without the appropriate KPI gets a lot of small businesses in trouble.

3. Embrace automation to free up valuable brainpower. Rather than advocating for replacing people with automation, consider automating manual tasks like report generation. This way, your team can elevate their roles and redirect their energy toward more impactful and meaningful contributions to your business. For instance, if you have a skilled data engineer creating Excel reports, utilizing their talents for higher-value tasks is a far more efficient use of their capabilities, allowing them to sharpen their competitive edge.

4. Maintain a continuous “test and learn” strategy, allocating a dedicated budget to explore new channels and amplify successful ones. This approach aims to gauge the viability of various sales channels.

5. Start your testing and learning journey with digital channels. As you gather insights and successes, gradually integrate them into your standard marketing strategy. Meanwhile, continue experimenting with fresh opportunities. When properly executed, a one-month intensive testing schedule can yield exceptional outcomes.

How can our readers best continue to follow your work online?

My personal and Left off Madison’s LinkedIn accounts.

Thank you for these fantastic insights. We greatly appreciate the time you spent on this.