If you’re reading this, you’re probably already looking for a marketing team to work with. Maybe you have a good idea of your goals but don’t have the skills or capacity to meet them. Or you’re thinking about expanding the scope of your in-house team and want to determine if doing so is right for you. The marketing skills required in today’s digital world are expensive and ever-increasing. Many companies can’t afford in-house teams and so turn to an agency to assist. But why use a marketing agency over an in-house marketing team? What do you get from an agency that you don’t from the services of in-house marketers?
As a business leader, you’re always looking for ways to get the most out of your marketing budget. So much can be done in-house now with technology. You may be tempted to create an in-house marketing team, but there are several benefits to outsourcing your marketing needs to an external agency. And for smaller owner-run businesses, we find people push marketing activity up a level when they realise, they need to become a marketer and not just a business owner. Here are the points we make to companies and business owners on why they should look at hiring a marketing agency instead.
Expertise and Experience
An outsourced marketing agency will have the expertise and experience to help you reach your goals. With their specialist skills and knowledge, they will be able to advise you on the most appropriate and effective marketing strategies. Agencies have the skills and contacts to manage an effective marketing plan, from SEO and PPC to social media and PR. An agency can offer a range of skills, contacts, and experience that may be available in various ways. For example, they may have connections with existing influencers or key suppliers. They will also have specialist knowledge of the latest marketing techniques or the ability to access data from other industries.
An in-house marketing team is limited to the skills and talents of the individuals within the team. On the other hand, an external agency can provide you with access to a range of specialised skills, from social media experts to graphic designers. This allows you to create campaigns encompassing a broad range of marketing strategies and tactics, maximising your ROI. One person rarely has the contacts or skills to cover all bases required to run effective marketing strategies. So most companies will have to draw on agencies in some capacity at some stage. Hiring an agency to complete all of your marketing activity frees up your time to run your business. Agencies are the experts and have tried and tested processes.
Cost Savings using a Marketing Agency
Outsourcing your marketing can save you money in the long run. Some things to think about:
- Recruitment Costs: Recruiters are typically paid on commission. Recruitment costs range between 15% and 20% of a candidate’s annual salary, but this can go as high as 30% for hard-to-fill positions.
- High Salaries: In a high salary, candidate-led market, benefits and culture are causing more marketers to move jobs. Retention is a real problem within the industry. Recent data from LinkedIn suggested a 31% growth in LinkedIn members with marketing careers changing jobs year over year. That’s more than 700K marketing job changes in 2022.
- National insurance and Pension contributions: The minimum 3% required by law for pension contributions is unlikely to cut it. Expect to pay closer to 10% and even as high as 15% to attract real talent.
- Training: Most companies offer either in-house training or funding for external training. Either way, this comes at a cost. The average UK company spends over £1,000 per employee.
- Office space and equipment: This can vary depending on the business but could include everything from the desk, laptop, and phone to even needing bigger premises or more office space.
- HR management costs: To cover all people management processes, from induction to holiday and maternity cover, and sick days. It’s estimated that an average salary of £27,600 would cost nearly double this – more than £50k in the first year of employment. So, if the employee doesn’t stick around, that increased cost will be incurred again.
- Software and Subscription fees: Posting at the right time of the day to ensure you get around social media algorithms requires scheduling software. This alone can be around £2,000 – £4,000, depending on the number of users. Then there are graphic design and video editing software costs and image licences.
An outsourced marketing agency eliminates these costs, allowing you to save money and use it elsewhere. Moreover, you avoid paying for software and subscription fees, which can add up quickly. An agency can also help you avoid costly marketing mistakes. They are experts at ensuring that your marketing is inclusive and targeted at your audience. Even if we assume that in-house marketing teams can find and handpick the best marketer for the job, it’s not always the most cost-effective solution.
Access to the Latest Technology
An agency will have access to the latest technology, which can give your marketing efforts an edge over competitors. This can include software for social media scheduling, graphic design, video and social media design and analytics – without the need for your business to pay for these individually. An agency already has in-built resources and tools to get your marketing program running.
Outsourcing your marketing needs to an agency also gives you greater flexibility. An agency is likely to be more flexible than an in-house team. Allowing you to tailor the services you require and the length of the contract. This means you can scale up or down as and when needed and do this quickly. All without having to worry about recruiting or managing staff. It’s estimated that a marketing role takes more than 50 days to recruit for. That’s nearly two months with no marketing activity! A well-planned social media campaign must be posted regularly to gain real engagement with your audience.
Using an agency will ensure that your marketing efforts are always up to date and won’t disappear into a black hole when someone resigns. This allows you to focus on other business areas while your outsourced marketing agency works on your campaigns.
An agency will have access to data-driven insights, which can help you make informed decisions about your marketing strategies and campaigns. Using an outsourced marketing agency is an effective and cost-efficient way to ensure your marketing efforts are successful. With their specialist skills and knowledge and access to the latest technology. With data-driven insights, they can help you reach your goals. An agency can provide cutting-edge insights into your market and customers. But also access to marketing successes, information and key analysis in other industries and businesses that may add value to yours!
Making the right decision to outsource your marketing
So, as with most things in life, it depends on your specific needs and the needs and goals of your business. An in-house marketing team may suit one company better than another with the exact requirements. However, a creative agency’s services are often not replicated internally by a big company. You’ll find the capabilities of any person or team to be limited compared to an agency’s combined abilities. As a business leader or owner, outsourcing your marketing to an external agency is a wise decision. You can benefit from cost-efficiency, access to specialised skills, increased flexibility, and improved ROI.
Just like recruitment agencies and estate agents, outsourcing provides a cost-effective solution to help you get the most out of your marketing efforts.