Why 80% of Organizations Are Wasting Their Marketing Budget (And How to Fix It)

By Jennifer Rogers-Givens, Founder & Lead Strategist, P3 Consulting

I started my career in a world where marketing, advertising, and public relations were clearly defined lanes. You knew what each did. You knew who to call. And you respected the process.

PR managed press. Advertising sold placements. Marketing planned campaigns. Everyone stayed in their lane.

Then social media came in and broke every boundary we knew.

I Remember Life Before Social Media

Before Twitter threads and Instagram reels, marketing strategies unfolded over months—not days. We'd plan print campaigns, TV spots, or launch events with detailed timelines and supporting PR outreach. A brand's voice was something you heard on radio, saw on a billboard, or read in a press release—not something that replied to you in the comments at 10:37 PM on a Saturday.

Social media changed the landscape overnight. Suddenly, every brand needed a voice. Not just a campaign—a conversation.

According to the Pew Research Center, social media usage among U.S. adults skyrocketed from just 5% in 2005 to 72% by 2021. This shift fundamentally altered how consumers expect to interact with brands—transforming marketing from a one-way broadcast into a two-way dialogue.

Now we're all expected to be publishers, creatives, strategists, community managers, and customer service reps—on 7 platforms at once. The line between marketing and PR? Blurred. Between personal and brand identity? Often nonexistent.

The pace changed. The expectations changed. And so did the definition of marketing.

How Consumers Really React to Modern Marketing

Here's what the research tells us about how people actually respond to marketing today:

Trust is at an all-time low. Edelman's 2024 Trust Barometer found that only 32% of people trust businesses to "do what is right." Consumers are increasingly skeptical of traditional advertising messages and instead rely on peer recommendations and authentic brand interactions.

Attention spans are shrinking—but engagement depth is increasing. While Microsoft famously reported that human attention spans dropped from 12 to 8 seconds between 2000 and 2015, consumers will engage deeply with content that genuinely resonates. They just decide faster whether something is worth their time.

Authenticity beats perfection. A 2023 Stackla study revealed that 86% of consumers say authenticity is important when deciding which brands they support. This explains why polished corporate messaging often falls flat while behind-the-scenes content and real customer stories drive engagement.

People crave connection, not just information. Harvard Business Review research shows that customers who feel emotionally connected to a brand are 52% more valuable than those who are just highly satisfied. It's not enough to inform—you must connect.

So What Is Marketing Now?

Let's clear up some confusion:

📣 Marketing is the strategy. It's the full ecosystem that guides your message, market, mission, and momentum. According to the American Marketing Association, it's "the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value."

📺 Advertising is a tactic within that strategy. It's paid promotion—ads, media buys, boosted content. The Interactive Advertising Bureau defines it as any paid form of non-personal presentation and promotion of ideas, goods, or services.

💬 Social Media is a channel. It's a tool. A platform. A way to execute strategy—not the strategy itself. Too many organizations mistake posting content for having a marketing strategy.

🗞 Public Relations is about perception and positioning. It's how your organization is seen, covered, and supported by the public and the press. The Public Relations Society of America defines PR as "a strategic communication process that builds mutually beneficial relationships."

They all matter. But they are not interchangeable. When you confuse the parts, your messaging loses power—and your marketing starts to feel like noise instead of narrative.

Why Marketing Gets Cut First (and Why That's a Mistake)

Here's what I've seen over and over again: When budgets get tight, marketing is the first thing to go. And it's usually because leadership still sees marketing as a "nice to have," or an afterthought.

The data backs this up. During the 2008 recession, companies that maintained or increased their marketing spend saw 2.5 times more growth than those that cut marketing budgets, according to research from McGraw-Hill. Yet the pattern repeats—Gartner's 2023 CMO Survey found that marketing budgets as a percentage of company revenue dropped to their lowest point in over a decade.

But here's the truth:

Marketing isn't decoration. It's direction.

It's how your audience finds you. How they understand you. How they connect, commit, and convert.

Research from the Harvard Business Review shows that brands maintaining consistent marketing presence during downturns emerge stronger, often gaining market share from competitors who went silent.

Cutting marketing is like cutting the fuel because you're afraid to check the tank.

What Consumers Actually Want from Your Marketing

The psychology behind consumer behavior reveals what really drives decisions:

Cognitive ease matters. Princeton's Daniel Kahneman demonstrated that people prefer information that's easy to process. Clear, simple messaging outperforms clever complexity every time.

Social proof is powerful. Robert Cialdini's research shows that people look to others' behavior to guide their own decisions. This is why testimonials, reviews, and case studies are more persuasive than feature lists.

Reciprocity drives action. When brands provide genuine value first—through helpful content, free resources, or meaningful connections—consumers feel compelled to reciprocate through engagement, referrals, or purchases.

Loss aversion influences choices. People are twice as motivated to avoid losing something as they are to gain something equivalent. This explains why "Don't miss out" messaging often outperforms "Here's what you'll gain."

Personalization is expected, not optional. Epsilon research shows that 80% of consumers are more likely to purchase from a company that provides tailored experiences. However, this doesn't mean invasive tracking—it means understanding your audience well enough to speak directly to their needs and challenges.

The Modern Consumer's Decision-Making Journey

Today's buyers don't follow a straight line from awareness to purchase. Instead, they navigate a complex web of touchpoints, research, and validation:

The Research Phase: Before ever contacting you, potential clients have already consumed multiple pieces of content, checked reviews, and likely discussed your organization with peers. HubSpot research indicates that 81% of buyers conduct online research before making purchasing decisions.

The Validation Phase: Consumers seek social proof and peer recommendations. They're looking for evidence that you've solved problems similar to theirs—not just that you exist.

The Emotional Connection Phase: While logic might justify the decision, emotions drive it. People choose organizations they trust and connect with, not just the most qualified on paper.

This is why traditional "here's what we do" marketing falls flat. By the time someone contacts you, they already know what you do. What they want to know is: Can you help them specifically?

What Marketing Should Be (And How to Know If Yours Is Working)

Great marketing doesn't start with a post or a flyer. It starts with clarity.

  • Who are we talking to?

  • What do we want them to do?

  • Why should they care?

  • How does this fit into their world—not just ours?

But here's what many organizations get wrong: They focus on vanity metrics instead of business outcomes.

Vanity Metrics (that don't pay the bills):

  • Likes, shares, followers

  • Website traffic without conversions

  • Brand awareness without action

  • Content views without engagement

Metrics That Actually Matter:

  • Qualified leads generated

  • Conversion rates from marketing to sales

  • Customer acquisition cost

  • Lifetime customer value

  • Revenue attributed to marketing efforts

At P3 Consulting, we've seen organizations waste thousands on marketing that "feels good" but doesn't generate results. The difference? Strategy that connects marketing activities directly to business goals.

The 5 Warning Signs Your Marketing Isn't Working

If you're experiencing any of these, it's time to reassess your approach:

  1. You're constantly "posting" but rarely getting meaningful inquiries

  2. People know who you are but don't understand what you do

  3. Your marketing feels like a to-do list instead of a growth strategy

  4. You can't clearly explain how marketing contributes to your bottom line

  5. You're competing on price because you haven't differentiated your value

Sound familiar? You're not alone. In our discovery calls, 80% of organizations admit they're "just posting and hoping something sticks."

The Strategic Marketing Framework That Actually Works

Here's the framework we use with clients to move from scattered tactics to strategic growth:

Phase 1: Clarity First

  • Define your ideal client with painful specificity

  • Identify their biggest challenges and desired outcomes

  • Map their decision-making process and influencers

Phase 2: Message-Market Fit

  • Craft messaging that speaks directly to their world

  • Test and refine based on actual responses

  • Create content that provides genuine value at each stage

Phase 3: Strategic Channel Selection

  • Choose 2-3 channels where your audience actually spends time

  • Develop channel-specific strategies (not just repurposed content)

  • Build systems for consistent, quality execution

Phase 4: Measure What Matters

  • Track metrics that connect to business outcomes

  • Establish feedback loops for continuous improvement

  • Scale what works, eliminate what doesn't

This isn't complicated, but it does require intentionality. Most organizations skip straight to tactics (posting, advertising, events) without laying the strategic foundation.

Final Thoughts: The Strategy Is the Work

Marketing has evolved—but its core hasn't changed. It's always been about people.

About connection. Communication. Clarity.

The tools may be different. The timelines may be faster. But the goal is still the same: To make your mission resonate with the people who need to hear it.

And the data consistently shows that organizations with clear, strategic marketing approaches—not just tactical posting—see better results, stronger communities, and more sustainable growth.

Here's the reality: Most organizations know they need better marketing. They know their current approach isn't working. But they keep doing the same things because they don't know what else to do.

If you're reading this and thinking, "This sounds like us," you're already ahead of the curve. Recognition is the first step toward transformation.

Is Your Marketing Strategy Actually Working?

Take this quick assessment:

  • Can you clearly articulate who your ideal client is and what keeps them up at night?

  • Do you know exactly how your marketing activities connect to business outcomes?

  • Are you consistently generating qualified leads, not just social media engagement?

  • Can you explain why someone should choose you over your competitors?

  • Do you have systems in place to measure and improve your marketing ROI?

If you answered no to 2 or more of these questions, your marketing strategy needs attention.

The good news? This is exactly the kind of challenge we help organizations solve.

Let's Stop the Guesswork and Start Getting Results

If you're tired of marketing that feels like throwing spaghetti at the wall, I'd love to help you develop a strategy that actually drives growth.

In our complimentary strategy session, we'll:

  • Audit your current marketing approach and identify the biggest gaps

  • Map out your ideal client journey and decision-making process

  • Pinpoint the 2-3 marketing activities that could have the biggest impact on your goals

  • Create a clear action plan for the next 90 days

This isn't a sales pitch—it's a genuine strategy session where you'll walk away with actionable insights regardless of whether we work together.

Book your complimentary strategy session here (link to calendar booking)

Or if you're not quite ready for a conversation:

Download our Marketing Strategy Audit Checklist—a comprehensive tool to evaluate your current marketing effectiveness and identify improvement opportunities.

Let's build something that actually moves the needle.

Jennifer Rogers-Givens
Founder + Lead Strategist
P3 Consulting

Sources Referenced:

  • Pew Research Center, "Social Media Use in 2021"

  • Edelman Trust Barometer 2024

  • Microsoft Attention Spans Research Study

  • Stackla Consumer Content Report 2023

  • Harvard Business Review, "The New Science of Customer Emotions"

  • American Marketing Association

  • Interactive Advertising Bureau

  • Public Relations Society of America

  • McGraw-Hill Marketing During Recession Study

  • Gartner CMO Survey 2023

  • Daniel Kahneman, "Thinking, Fast and Slow"

  • Robert Cialdini, "Influence: The Psychology of Persuasion"

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