Understanding Outsourced Marketing: A Comprehensive Guide

Outsourced Marketing… Fractional Marketing… Marketing Consultant… All do the same thing? Right?… Well not quite…

Small and medium-sized enterprises (SMEs) often struggle to keep up with the demands of effective marketing. This is where understanding outsourced marketing comes into play. But what exactly is outsourced marketing, and how does it differ from traditional consulting?

Marketing Week’s exclusive Career & Salary Survey reveals that 46.2% of marketers have had to outsource some aspect of their marketing to an agency, specialist, or consultancy in the past 12 months.

In this article, we will delve into the various names and forms of outsourced marketing, highlight its distinct advantages, and explore the financial aspects involved.

What is Outsourced Marketing?

Outsourced marketing, sometimes referred to as fractional marketing, managed marketing services, or virtual marketing department, involves hiring an external company to manage your marketing efforts. Unlike hiring a consultant who typically provides advice and strategies from the outside, an outsourced marketing team integrates closely with your business, often functioning as an in-house marketing department.

Different Names for Outsourced Marketing

Outsourced marketing goes by many names depending on the specific focus or the services offered:

1. Fractional CMO (Chief Marketing Officer): A part-time CMO who provides strategic leadership and oversees the marketing department without the full-time commitment.
2. Fractional Marketing: Similar to a fractional CMO, this refers to hiring a part-time marketing team that can handle specific functions within your business.
3. Marketing Consulting: Often used interchangeably with outsourced marketing, though traditional consultants typically offer advice rather than taking on the actual execution of marketing tasks.
4. External Marketing Support: This refers to any marketing services provided by an outside company, from strategy to execution.
5. Marketing Management Services: A broader term encompassing the full management of marketing activities by an external provider.
6. Virtual Marketing Department: A remote team that acts as your in-house marketing department, managing everything from social media to SEO.
7. Marketing Outsourcing Solutions: A catch-all term for outsourcing all or part of your marketing activities.
8. Small Business Marketing Consultant: A specialist in helping small companies manage their marketing.

Why Outsourced Marketing is Different

The key difference between outsourced marketing and traditional marketing consulting lies in the level of integration with your business. When you engage an outsourced marketing, you are not just hiring an external advisor; you are bringing in a dedicated team that becomes an integral part of your company. Here’s how:

1. In-Company Presence: Outsourced marketers often work within your office, attend team meetings, and align closely with your business objectives. They might even have a company email address, making them appear as a seamless part of your organisation.
2. Senior Management Role: These professionals don’t just advise; they execute. They take on a senior management role, helping to steer the business’s marketing efforts from within. This ensures that strategies are not just developed but also effectively implemented.
3. Day-to-Day Involvement: Unlike consultants who may only check in occasionally, outsourced marketers are involved in the day-to-day operations of your business. They understand the internal dynamics and work alongside your team to achieve your marketing goals.
4. Long-Term Commitment: Outsourced marketing is not about quick fixes. It’s about building a long-term relationship where the marketing team grows with your business, adapting strategies as your company evolves.

The Financials: Cost of Outsourced Marketing

The cost of outsourced marketing is typically linked to the amount of time the team spends working within your business. Here’s a breakdown of what you can expect:

1. Monthly Retainers: Most outsourced marketing companies, work on a retainer basis. This means you pay a fixed monthly fee, which generally covers 1-2 days of work per week. The cost for this level of engagement usually ranges from £2,000 to £5,000 per month.
2. Additional Services: While the retainer fee covers core activities such as strategy development, content creation, and campaign management, extra services are often billed separately. This might include social media management, PPC (pay-per-click) campaigns, and the production of promotional materials.
3. Customisation: The level of service can often be customised to fit your budget and needs. For example, a smaller business might opt for a more limited engagement, focusing on specific areas such as digital marketing or brand development.

Why Choose Outsourced Marketing?

Outsourcing might be new to you, but its well established as you can read here in the Harvard Business Review back in 2005. There are several compelling reasons to choose outsourced marketing over hiring a full-time team or relying on traditional consultants:

1. Cost-Effectiveness: Hiring a full-time marketing team can be prohibitively expensive for many SMEs. Outsourced marketing provides access to high-level expertise and comprehensive services at a fraction of the cost.
2. Flexibility: Outsourced marketing offers the flexibility to scale services up or down as your business needs change. You’re not locked into long-term contracts or full-time salaries.
3. Expertise Across the Board: Outsourced marketing companies bring a wealth of experience across various industries and marketing disciplines. This breadth of knowledge can be invaluable in developing and executing a successful marketing strategy.
4. Focus on Core Business: By outsourcing your marketing, you can focus on what you do best—running your business—while the experts handle your marketing efforts.

The Process: How Outsourced Marketing Works

1. Initial Consultation: The process usually begins with a consultation to understand your business, your goals, and your current marketing efforts. This helps the outsourced marketing team tailor their services to your specific needs.
2. Strategy Development: Based on the consultation, a comprehensive marketing strategy is developed. This strategy will be aligned with your business objectives and tailored to your target audience.
3. Implementation: Once the strategy is in place, the outsourced marketing team gets to work, executing campaigns, creating content, managing social media, and more. They work closely with your internal team to ensure consistency and alignment with your brand.
4. Ongoing Management: The relationship doesn’t end with implementation. The outsourced team will continue to manage and optimise your marketing efforts, providing regular updates and making adjustments as needed to ensure success.
5. Reporting and Analysis: Regular reporting and analysis are crucial to understanding the effectiveness of your marketing efforts. The outsourced team will provide detailed reports, highlighting what’s working and where improvements can be made.

Conclusion

Outsourced marketing is a powerful solution for businesses that need expert marketing services but lack the resources to build an in-house team. It offers the best of both worlds: the expertise and dedication of a senior marketing team, without the overheads of full-time staff. Whether you’re a small business looking to grow or an established company seeking to streamline your marketing efforts, outsourced marketing can provide the support you need to achieve your goals.

At Miles Marketing, we specialise in providing tailored outsourced marketing services that integrate seamlessly into your business. We don’t just advise from the sidelines—we become a part of your team, working with you to drive growth and success. Whether you need a comprehensive marketing strategy or ongoing support with specific campaigns, we’re here to help. Contact us today to learn more about how we can support your business.