10 reasons for SMBs (Small and Medium sized businesses) to not have an in-house digital marketing team

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Marketing teams globally are spending more than $135 billion on digital marketing tools as the world is moving towards being more mobile and technology dependent. However, spending your marketing dollars doesn’t quite ensure that you succeed in your campaigns. The laws of economics states that every business must try and work on an optimum scale – there might not be profits, but there shouldn’t be losses too. When it comes to digital marketing of brands, SMBs (Small and Medium sized businesses) have two options – having an in-house team (DIY style) and outsourcing to an external marketing agency.

Outsourcing digital marketing cuts down the costs to a large extent and some even suggest that the total cost of outsourcing would be roughly equivalent if not less than having one digital marketing recruit in your team. Digital marketing today is not about a single road of action – it varies considerably depending upon market demands, consumer preference and changing trends. There is good reason to believe that single recruit will not be adept in all the aspects of the job, which again is being continually updated. Apart from these, there are several other reasons why having an in-house team is not such a great idea.

1. ExpensiveDigital marketing team

Hiring a full time digital marketer for your in-house team can be quite expensive. Mid-career professionals demand salaries that can be quite overwhelming. Here’s what you are expected to pay on average:

  • Digital Marketing Manager: $73,000
  • Web Designers: $47,000
  • Social Media Managers: $49,000
  • SEO Marketers: $60,000
  • Content Writers: $55,000
  • Graphic Designers: $53,000

Combining all of the above expertise (which is necessary for any targeted digital marketing campaign), businesses would be spending $337,000 every year in salaries. Add to it the cost of training, infrastructure, health care benefits, sick leaves and paid vacations!

2. Reduced flexibility

An outsourcing agency offers more than just the marketing skills while the job responsibilities of an in-house executive are clearly defined. An expert web designer will not be a skilled content writer or a social marketer and vice versa. Outsourcing however, will give you access to the best designers, writers, SEO professionals, social media marketing professionals, etc – all in the same place but in a single paycheck. Further, finding someone talented enough and ready for the industry takes a lot of time and seldom do businesses get a dependable recruit.

3. Cutting yourself from the latest technology

An in-house executive depends on your company’s marketing budgets to organize a marketing campaign. Consequently, his/her expertise/freedom in choosing the best technology platforms and software tools are greatly limited. Further, you cannot choose to buy in all the software technology, as it would be unproductive. Here are the top marketing tools that outsourcing agencies provide:

  • Bright Local costing $64.99 / month
  • Hootsuite costing $99 / month
  • Raven Tools costing $249 / month
  • Manage Filter costing $49 / month / account
  • AWeber costing $50 / month
  • Sprout Social costing $500 / month
  • Release Wire costing $70 / release

Outsourcing will let you use all these platforms and without spending monthly on the same.
company marketing budgets

4. Unpredictable efficiency

There are two ways in-house marketing recruitment is taken care of. Either companies hire new professionals (who cost a lot depending upon their experience in the industry) or assigning new roles to existing employees (after a brief training of their new responsibilities). In both cases, there is a strong likelihood of burnout which in turn reduced productivity in the longer run. For smaller companies that don’t regularly come up with extensive marketing campaigns, having an in-house team will be paying employees for sitting idle!

5. Training costs

Digital marketing channels and tools are continually being updates and new platforms are being created to make digital marketing more diverse and intrusive. If you are working with an in-house team, you would also have to regularly invest in training your guys on the latest technologies such that they don’t lose to the market competition. Outsourcing on the other hand provides you with the option of experienced and qualified professionals ready to start the work. Also, 82% of global marketers understand that digital marketing is better learnt on-the-job and rarely from trainings.

6. Difficult to scale up

The only way to scale up marketing operations when you are working with an in-house team is hiring more people. This again lays extra burden of recruitment processes, extended infrastructure and training. Reputed digital marketing agencies on the other hand have an unlimited arsenal of workers ready to take up projects of any magnitude. Globally, 60% of businesses admit that they have an ineffective in-house marketing team.

7. Following the learning curve

Growing by the learning curve is a good thing but not so much when it comes to tuff market competitions. In such a scenario, when your marketing team is learning from experiences, competing brands would already be ahead, helped by the best third party digital marketing team. 79% of B2B marketers also face a skill gap when recruiting in-house professionals.

8. Losing out on the outsider’s perspective

An outsider’s perspective to your marketing strategy is important, especially when brands are investing in unique campaigns. It has been seen that employees find it hard to express new ideas or brings up their personal concerns against a campaign in fear of losing jobs or getting spat upon. However, two heads is definitely better than one when it comes to idea generation. Digital marketing agencies on the other hand will always share their perspective and business marketers might even find it more credible to listen to the experts.

9. Not ready for challenges

The marketing world today throws regular challenges to any marketer. In-house teams might not be capable enough for challenges they have encountered for first time. Third party service providers however come with huge industry experience and are ready for any situation.

10. Monotony

Finally, the average digital marketing responsibility for any business revolves around repetitive tasks including social media updates, social engagement, tweeting, sharing and similar things. These are better allocated to a third party than have a complete infrastructure in-house.

To conclude, a single point person is enough to communicate effectively with a third party digital marketing service provider. Having a complete in-house team, for most would be adding to your non-productive assets.

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