Now that you understand the difference between in-house and external marketing teams, how do you know which is the best for your business? Here are some factors to consider when making your choice.
Running an entire in-house marketing team requires spending considerable company resources on acquiring and training marketing specialists. You’ll also have to pay a set yearly salary (and possibly benefits) to retain them. Moreover, since your marketing needs will likely change from time to time, you may end up paying employees who aren’t knowledgeable about the specific area you need help with.
Marketing agencies, on the other hand, typically charge a standard monthly fee for their services. This payment method is usually more budget-friendly than in-house marketing, and it offers access to a diverse set of experienced experts. Thus, you don’t have to worry about the cost of recruiting and training.
Marketing strategies change every now and then — at some point, you may find that you need a completely different set of skills or talent. For instance, you might discover that you want to transition from blog posts to video marketing. Trying to build an in-house marketing team that’s well versed in a wide range of marketing skills is no easy feat. Not only will this take a considerable amount of time and money, but it also requires planning, screening and hiring various experts.
Because they serve different clients with a wide assortment of needs, most marketing agencies already have a vast pool of specialists available. Regardless of your needs, you can rest assured that a digital marketing agency will have the right tools, experience, experts and technology to tackle the job.
Successful marketing involves thoroughly understanding a company’s objectives and shaping a campaign around those objectives. While both digital marketing agencies and in-house marketing teams have the capacity to understand and meet a company’s goals, in-house teams are arguably more suited to doing so. This is because internal employees are specifically trained on a company’s vision and spend more time around the company.
Cost of Turnover
If you are running an in-house marketing team, there’s always the chance that one of your team members will leave at some point. Whether this individual has outgrown the company, fallen sick or been offered a new job, their leaving may disrupt your marketing campaign and even bring it to a standstill. Moreover, the cost of acquiring and training a replacement can be expensive — it ranges from $4,000 for a task force member to $14,000 for an executive, not factoring in the price of a failed hire.
On the flip side, marketing agencies are immune to work disruptions thanks to their wide pool of specialists. If a member of the agency does leave, they can quickly fill the vacant position, thus avoiding disrupting your campaign.
Industry Practices and Technology
The digital marketing landscape continues to evolve with every change in consumer behavior and technology. A marketing team that doesn’t know how to adapt to these trends will find that their marketing quickly becomes inefficient.
To accommodate the ever-changing landscape of marketing, most digital agencies partner with clients across technology industries. They also attend frequent marketing and technical conferences. This guarantees that your business maintains access to the latest industry practices.
On the other hand, in-house marketing teams rarely attend industry conferences and thus have limited access to the latest technologies. Budgetary restrictions may further limit access to new research that’s pivotal to adapting your marketing strategy.
Time Spent on Rollout
When it comes to the business world, everybody knows that time is money. The faster you’re able to devise and employ a marketing strategy, the more effective it will be.
The time it takes to come up with and implement a marketing initiative can be relatively long in an in-house marketing setup. Creating a functional team requires recruiting, screening and hiring new talent. Moreover, you have to spend time training and familiarizing the new team with your target goals before you can officially roll out your marketing campaign.
Marketing agencies, however, are built for speed — they can jump into the market and face off against competition right away. Since they handle a wide range of clients, these agencies have sufficient knowledge when it comes to market setting, current consumer trends and successful sales tactics.
Long-Term Business Goals
Another factor you have to consider when deciding on a marketing setup is how long the campaign will last. If you’re looking for a long-term strategy, you might want to invest in an in-house team to conserve costs in the long run. You can also groom your team to attain top-level expertise along the way, thus helping your marketing department rise to the standards of specialized marketing agencies.
For shorter campaigns and marketing goals, a marketing agency is usually the wiser choice. It provides you with ready talent that can help achieve your target goals quickly while saving on the cost of hiring full-time staff.
Efficient communication is key to attaining your business’ marketing goals. Since in-house teams are located within the company, they can maintain smooth and efficient communication with stakeholders. Emergency discussions can also be held quickly if any issues arise.
Agencies, on the other hand, usually prefer email and phone communications. Meetings and reports on progress can be arranged weekly or monthly, depending on what works for the client. However, some marketing agencies may designate a specific person to handle communications to facilitate this process.