Determining the exact percentage of a retail purchase that is allocated to a company's advertising budget can be challenging, as it depends on various factors, including the industry, company size, marketing strategy, and the specific campaign or product being promoted. Additionally, companies typically do not disclose the specific breakdown of their expenses in such detail.
That being said, it is common for companies to allocate a significant portion of their overall budget to marketing and advertising activities, especially well-known brands like Nike, Under Armour, and Harley-Davidson. These companies invest heavily in advertising to build brand awareness, promote their products, and connect with their target audience.
Industry standards suggest that companies typically allocate around 5% to 10% of their total revenue to marketing and advertising efforts. However, this figure can vary significantly. In some cases, companies may allocate a higher percentage, especially during product launches or major marketing campaigns, while smaller or niche brands may allocate a lower percentage.
It's important to note that the advertising budget percentage can fluctuate depending on various factors, including the company's marketing goals, competitive landscape, and overall business strategy. Therefore, while there are industry benchmarks, the actual percentage for specific companies like Nike, Under Armour, or Harley-Davidson can only be estimated based on available information and industry trends.