A while ago I wrote an article about the benefits of outsourcing your marketing strategy to an agency vs using an in-house marketing team. I have to be honest, it was a bit one sided as I do work for an agency. So, in the interest of providing a balanced argument, I’ve added some counter points from an in-house point of view…
1. Detailed Understanding vs Objectivity
• In-house – detailed understanding
One thing’s for sure, an outsourced team could never understand your business in the same way an in-house team would. Every detail of the organisation i.e. staff, management structure, products/services, marketplace, competitors, company culture, clients…I could go on. This detailed understanding of the company can help set objectives and create strategies to achieve those objectives which will be more likely to satisfy the company as a whole, as opposed to an agency who may only have contact with 1 person within the company and will base their strategies in-line with that person.
• Outsourced – objectivity
One major advantage of outsourcing your marketing strategy is the point of view that an agency can take while looking at your business. Objective, yes, plus the ability to find the USPs that make you stand out from the competition in the eyes of the potential customer/client as well as through search engines. The agency will be, should you choose the right one, highly experienced at providing structure to your campaigns and will give you timelines to work to, giving you that extra push that an in-house team may not have the confidence to do.
2. Laser Focus vs Experience
• In-house – laser focus
When it comes to the implementation and management of marketing campaigns, an in-house team has 1 strategy to focus on and will devote all of their time to it. An agency may not have people dedicated to your company alone unless they’re an outsourced ‘in-house’ team. Typically your account manager within your agency will have several clients and will divide their time between them. The obvious advantage of the in-house team here is the amount of time they can spend and the focus they have on your campaigns.
• Outsourced – experience
When developing your marketing strategy your agency will have the experience from many businesses/marketing campaigns to draw from. What’s working for businesses not just in your sector/field, but from a large variety of companies and campaigns. This means your agency will be looking at all of the possibilities available, not just the standard strategies for your sector. The agency’s combined and cross sector experience of studying and understanding buyer behaviour will further optimise your campaigns.
3. Growing the Team Together vs Team of Experts
• In-house – growing the team together
Using an in-house team gives you the opportunity to hire the right people and train/mould them into exactly what your company needs. Each member of that team can specialise in certain marketing channels i.e. paid search or social media management, then share their knowledge with the team. You’ll then have a dynamic and flexible team who can collectively focus on certain marketing tactics, when needed, while maintaining focus on the business’ overall objectives.
• Outsourced – team of experts
Your agency will be made up of a team of experts, specialists in their field, who have the experience of building and running many campaigns, typically for a variety of sectors, and though the individual may be specialist on one particular channel i.e. Google Ads, they are still very much aware of all the marketing channels available and are in an office with experts in them. Meaning you have a multi-disciplined team available to you plus the massive network that comes with that i.e. connections to the best web developers or content writers. To hire an in-house team with this level of knowledge and experience is going to cost you an awful lot of money, far more than the fee the agency will charge.
4. Team Dynamics vs Drive New Ideas
• In-house – team dynamics
With your in-house team it’s important to ensure there’s an open culture which enables each member of the team to express their opinions, be critical if need be, encourage debate without the fear of upsetting or undermining each other and make sure every team member’s opinion is heard. This type of dynamic will create a strong team bond, working collaboratively and driving each other to ensure the best outcomes from your strategies.
• Outsourced – drive new ideas
Your agency will have the confidence to stand up for what they believe in far more than an employee would. The in-house team will always feel more comfortable following your orders and agreeing with your ideas, even when they know they aren’t necessarily the best ones. Meaning you could end up running the same old strategy time and again, when there may well be a more profitable option.
5. Choosing the Most Appropriate Platforms vs Finger on the Pulse
• In-house – choosing the most appropriate platforms
While your agency may have access to more tools and may well adapt the latest strategies more quickly, your in-house team will be more selective and ensure the tools/platforms used will fit in with the structure and needs of the company more effectively. An agency may get excited by how certain tactics are performing for their other clients and then encourage you to do it too, but what works for one company doesn’t necessarily work for another and your in-house team will be have a better idea of what to spend their budget on.
• Outsourced – finger on the pulse
Your agency is at the forefront of new advances, new ideas, new technologies, services, concepts, developments and they have the tools to implement these very quickly. Furthermore, as they’re running many campaigns for many clients, their learning process is much quicker than the in-house team who can only take learnings from one company’s campaign, which can be a very slow process.
6. Tailored Reports vs Performance Measuring
• In-house – tailored reports
In reality, your in-house team will be using the same analytics tools as an agency would. They have the time to be very granular when it comes to reporting the metrics that are important to the company. The in-house team will have a better understanding of what management want to know about and will have more time to tailor reports to different people/departments.
• Outsourced – performance measuring
An agency will be constantly self-evaluating the value they bring to your business. They need to have the evidence that shows how strong their performance has been and this will be reported to you as often as you need it to be. Metrics driven, all activity is measured and analysed on a regular basis, which means you can quickly capitalise on successes and change any campaigns which are not performing well, minimising exposure.
7. Teamwork vs Always On
• In-house – teamwork
Your agency will always have cover if your account manager is off work for some reason, either planned or unplanned. But if your in-house team is working together as I mentioned earlier, then there will be no problem when it comes to holidays or unplanned absenteeism. Each member of the team will be up-to-speed and know what the most important task is…and be able to take over the workload.
• Outsourced – always on
Always on, always working, never on holiday, never calling in sick. Agencies are made up of multiple people who, in the event of the account manager not being available, always have someone who can step in and pick up the work load. Meaning you aren’t at risk of falling behind or missing something important just because, for example, your marketing manager’s car broke down on the way to work and he’s stuck on the motorway. This level of consistency and reliability are what makes campaigns run successfully, for a long time, with ever improving results.
8. Part of the Family vs Business Partnership
• In-house – part of the family
If working with an agency is a business relationship, then an in-house team is like being part of the family. All under one roof and being together all day, everyday with no restrictions on communication and no other commitments to distract them. Making plans together, setting targets and being agile enough to make changes quickly should the need arise.
• Outsourced – business partnership
Agencies strive for long-term relationships with their clients, at least the good ones do, client retention is king for them. Therefore, it’s important to view your agency as a business partner, together striving for the same thing, your business’ success. Working closely with their in-house contact to deliver the results, while sharing their knowledge, expertise and learnings. Having this infrastructure in place means you can accurately plan your business’ resources, safe in the knowledge that the “new business” element is secured.
9. Responsibility vs Cost
• In-house – more responsibility and accountability
While there are significant costs in building your in-house team, they’ll have more responsibility to both your company and themselves…it’s their livelihood after all…and they have to walk past management in the hall and look you in the eye every day. An agency will not (should not) fall apart without your business, but it’s much more difficult for an employee to find a suitable position, especially if they’ve lost their job due to poor performance.
• Outsourced – the elephant in the room!
The cost of an employee, need I go on? Ok, just a bit. Recruitment, PAYE, insurance, holidays, illness, pensions, equipment, office space……….
With your agency you have a fixed price, thankfully, making cash-flow management much easier and giving you the ability to predict your business growth much more accurately. You also have the ability to quickly ramp-up your activity, or draw back for a while, without the cost implications you would have with staffing in this manner.
…to be honest, I can only see that using a mix of in-house and outsourcing is going to bring the best results. There are just too many positives to each case.
That’s how we prefer to work at WBS. Having a close relationship with our clients’ in-house team, using the positives that we all bring and working in collaboration to provide highly successful campaigns.
