No matter what industry your business is in, marketing plays a central role. However, the 2020 coronavirus crisis has meant that many companies are now facing budget constraints. It also affects their marketing spend, as well as other areas of their operations.
So, can you still be competitive, successful and productive in this increasingly difficult scenario? If so, should you choose to hire in-house marketers or enlist the help of an outside agency? And what are the advantages of choosing in-house marketing services over outsourcing?
You have come to the right place. Read on to learn about this very important topic and get ready to choose the type of marketing approach that’s right for your business.
What is internal marketing?
Internal marketing, as you may have already guessed, means having all the marketing resources within your own business. Depending on the size and scope of your business, your marketing resources may consist of a single individual or a full team.
When you choose to create an in-house agency to meet your marketing needs, you can choose and hire the best and most talented talent for your industry. This allows you to develop, share and strengthen marketing related skills within your business.
What types of businesses typically take this approach, you might be wondering? It is more common for businesses with a large budget to hire in-home marketers. For this reason, it seems to be the preferred approach of medium and large companies.
And what about outsourced marketing services?
At the other end of the spectrum are outsourced marketing services. When a company prefers this option, it delegates a third party to take care of everything related to the marketing of its company. It could be a single professional or a marketing agency that handles content creation, social media, video content, etc.
So who benefits from this type of approach? In general, small businesses and start-ups tend to go for the outsourced style of marketing. This may be due to a variety of factors, as we are about to find out.
Choosing Outsourced Marketing Services
As we have indicated, there are certain trends that should be taken into account when deciding whether to opt for in-house or outsourced marketing services. Small businesses that are starting their marketing journey tend to prefer outsourced services.
This is understandable, as their marketing needs may not be as regular and urgent as those of their larger counterparts. Working with a marketer or with a marketing agency can also give small businesses the opportunity to learn new skills. This new knowledge can then be used in the future if these companies decide to form an internal marketing team.
There are some drawbacks to this approach, however. The main one is that companies run the risk of losing control of their own creative process and marketing requirements. Companies that rely on outside help are also more exposed to potential data privacy issues.
This shouldn’t discourage you from hiring an outside agency, however, if you think this might be the ideal option for you. It just means that you are going to have to secure your data and be very careful when sharing information with your agency.
Opt for internal marketing
Keeping your marketing in-house is often the preferred approach of medium and large businesses. This is, again, due to a variety of factors.
First of all, these companies can count on a budget allocated more coherent to marketing expenses. It allows them to hire people, pay them a salary, offer them sick leave and create a vacation policy. Another reason why these companies seem to go for internal marketing is data security.
By keeping sensitive data within the enterprise, larger businesses are better protected against potential cyber threats. Data loss and theft, in fact, can be more common when sharing data with third parties, such as a marketing agency.
Just like outsourced marketing services, in-house marketing can also present challenges for businesses that decide to go this route. For starters, it tends to be more expensive. Businesses that hire home marketing experts typically face higher costs.
Salaries, sick and vacation time, and sometimes even bonuses or paid expenses are all managed by your company. Another possible downside to internal marketing is the retention of talent and knowledge. When a member of the marketing team leaves, it can sometimes mean that they are leaving a gap in their knowledge.
And, for a business to fill this gap, it needs to hire someone else with that skill set. This can take time, during which the business suffers from a skills gap that could impact its marketing efforts.
Are you still on the fence? If you want to dig deeper into the topic, you should check out Studio MFP’s 2021 Marketing Blog.
Weigh in-house marketing versus outsourcing to help your business thrive
Choosing in-house marketing or outsourcing can be tricky. It is, however, very important to choose the approach that best suits your specific needs. Only then can you get the most out of your marketing services.
More importantly, this can be the key to strengthening your competitive advantage at a very difficult time. Are you a small business owner, sole entrepreneur, or founder of a start-up? Then there is a good chance that you will choose outsourced services.
Are you running or managing a larger business? You are more likely to achieve better results by creating your own in-house marketing team.
Which approach will you choose?
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