What percentage of total gross income should be allocated to advertising?

• A. 5%
• B. 3%
• C. 1%
• D. 10%

Answer: (B)

Advertising is planned as a share of what the business earns, so you can market without hurting the rest of the operation. For a typical esthetic practice, 3% of total gross income is a sensible baseline. It provides enough funds to keep marketing going—social media, promotions, local ads, and referral programs—while still leaving room for essential costs like rent, wages, and supplies. Spending less than this can lead to inadequate visibility and slower growth, while spending much more (like 5% or 10%) can strain cash flow and profitability. So, 3% hits a practical balance between promoting the business and maintaining financial health.