Marketing outsourcing for effective business development
The article content
- What is outsourced marketing?
- Who can benefit from marketing outsourcing
- Which solution will be more profitable in practice: outsourcing or in-house marketers
- Directions that marketing outsourcing may include
- It is worth using marketing outsourcing: advantages and disadvantages
- How marketing outsourcing works: main stages
- What is the outsourcing scale?
- Let's summarize
Outsourcing is one of the relatively new areas of business that has become extremely widespread in practice, especially in America and European countries. But this trend is gradually spreading throughout the world, since many have already managed to appreciate the advantages of such a solution in practice. Thus, according to the latest statistical reports, about 60% of global companies use marketing outsourcing in practice. First of all, this was facilitated by the high efficiency of such a solution, repeatedly proven in practice, as well as economic benefits. The fact is that specialized marketing agencies work in a very narrow niche, they are constantly improving their strategies, instantly responding to current market trends. This is what allows them to cope with the tasks set as efficiently and flexibly as possible, achieving the maximum result in practice.
Every company operating in the market understands very well how important a parameter time is in the implementation of any business process. As the organization expands, marketing processes will require more and more time and effort. It may well turn out that existing resources will not be enough, and it will be necessary to hire new employees. Or at some stage of business development, it will be necessary to think about which tasks should be left for independent solution, and what can be outsourced. What can you solve on your own and ensure maximum results, and what will be more effective in practice if implemented by third parties?
In today's review, we will dwell in more detail on what marketing outsourcing is and who should use it in practice, highlight the work that can be performed within its framework, get acquainted with the main advantages and disadvantages, consider the main stages of work implementation within this area, and also get acquainted with such a concept as the outsourcing scale. The information presented will allow you to assess the benefits of using such a technique within your business and make a decision that will be most justified in terms of time and material costs for promoting the company on the market and maintaining its positions.
What is outsourced marketing?
The term "outsourcing" itself implies the transfer of certain internal business processes of the company to a third-party contractor, be it a specialized organization or a professional working as a freelancer. Since in today's review we are talking directly about marketing outsourcing, we are talking about delegating marketing processes that take place within a particular company to third-party contractors. In practice, such a solution will be useful for those who, for a number of reasons, cannot perform the upcoming work independently, while ensuring their high efficiency.
In order to understand the need to use this solution in practice specifically within your business, it is necessary to compare the key parameters of all marketing costs that your company currently faces in practice. In particular, we are talking not only about money, but also about the time that specialists spend on implementing the tasks set. It is also important to consider the availability of such specialists at your disposal. If you do not yet have a marketer or if this person cannot cope with the increased volume of tasks on their own, then perhaps you should think about outsourcing.
Practice shows that finding a new specialist for a team takes an average of 3 months. During this time, you will need to conduct interviews, study resumes, which will also require additional time. Then another 2 months will be required for a trial period, because this is the only way you can understand whether this person is suitable for you as a permanent employee. In parallel with this, it will be necessary to allocate additional resources for preparing test tasks, forming a new infrastructure, direct training, forming a reporting system, etc.
But what if it turns out that your full-time marketers cannot adapt to all the changes that are happening within your business, do not know how to optimize work strategies, how to implement market innovations into internal business processes? Then you will have to conduct training for the entire team, which will also entail costs of time and money.
In many such situations, delegating all these responsibilities to third-party specialists will be a more effective and reliable solution. In practice, such a solution can be useful not only for companies that are just appearing on the market, but also for those that have been working for quite a long time, constantly being in the process of development. An outsourced marketer is a specialist who can fully cover the marketing needs of your business. It is worth turning to his services in cases when:
- you want to actively develop your business, attract more clients, find new markets, present new products or services as effectively as possible, but do not clearly understand how to build this process and where to start;
- you are faced with the task of scaling the flow of applications, but all these methods that were used in practice did not give the desired result;
- you constantly launch advertising campaigns, but still have not learned how to correctly evaluate their effectiveness, do not take into account previous results when preparing new ads;
- you are not in the mood to experiment, spend time and money on this, but would like to initially launch effective business processes that will ensure the fastest and most stable results;
- your in-house marketers do not have sufficient skills and knowledge, or their capabilities are no longer sufficient in the context of an actively developing business, and there is no time and resources to attract and train new employees.
If at least one of these reasons is relevant for you, then it is time to think about marketing outsourcing. Today, this is one of the simplest and most effective solutions that provide excellent results in a limited period of time.
Who can benefit from marketing outsourcing
Now we will dwell in more detail on which companies can get the maximum benefit in practice from outsourcing marketing. This is the solution that will allow them to redirect a number of tasks related to promoting the company and its services on the market, generating leads, building a reputation and solving a number of related tasks, getting the maximum result at the end. In particular, the use of this solution in practice will be useful for:
- Companies at an early stage of their development.
- Fast-growing businesses.
- Small businesses.
- Niche businesses.
- Companies with their own marketing department.
Now we will dwell on each of these areas in more detail.
Features of marketing outsourcing for businesses at early stages of development
Launching a new business is always a very complex and painstaking task. Here it is necessary to implement a huge number of diverse works, make a huge number of decisions in the process of introducing a brand to the market, developing new products or services. And in such a situation, business representatives should focus primarily on key tasks. At the same time, spending budget and time on finding new employees who will be engaged in marketing is not always advisable. These are the conditions when you will not have enough opportunities to train new staff, or even determine the professional suitability of a particular employee. As a result, the risk of wasting money and making obviously wrong decisions, launching failed strategies increases many times over.
In such conditions, engaging the services of professional outsourcing marketing agencies will be very effective. You can entrust such specialists with developing a general strategy for developing your business in the market, creating a logo, brand voice, developing a website, as well as solving a number of important related tasks, focusing their efforts on direct business tasks. In this case, all marketing activities from scratch will be carried out by people who are well versed in this issue, have sufficient knowledge and practical skills. They are able to create a brand from scratch and select the most effective sales channels for it. If you subsequently decide to hire your own marketer, he will already have a large-scale base for effective work. At the same time, the risks of failure will be minimized.
Outsourcing Marketing for Fast-Growing Companies
As the business develops, launches new products and services on the market, they are likely to periodically enter stages of rapid growth. And here one of the secrets of success will be an effective marketing strategy. Most of the specialists that the business has at its disposal will not be able to effectively cope with the increased volume of work. But at the same time, it is important to respond to all changes as quickly as possible, otherwise the moment will be missed and the invested funds will not meet your expectations.
Using the services of outsourcing marketing agencies in such conditions is an ideal solution for most businesses. In this case, you receive all the necessary resources in the shortest possible time. At the same time, we are talking about professionals in their field, which in itself will be a guarantee of high results. In addition, you will not have to spend time and money on attracting new employees and training them. Moreover, in the future you will not need them at all, since we are talking directly about growth spurts that will occur periodically. The rest of the time, your permanent employees will cope with marketing tasks.
Marketing outsourcing in the field of small business
One of the characteristic features of any small business is a small number of personnel. In most cases, the entire work process is carried out under the control of literally a few people combining the duties of different specialists. In such conditions, no one will obviously hire a separate marketer. And this means that the solution of all tasks related to business promotion is taken on by a person who is not particularly versed in all these issues. Alternatively, the manager of the online store will also have to select advertising formats, prepare appropriate ads, launch them, and monitor their effectiveness.
Will there be a result from such work in practice? The answer is quite doubtful. Perhaps, over time, the manager will have enough skills to perform such work, but initially, at the stage of starting a business, it will not be possible to implement all this effectively. Despite the fact that we are talking about the work of a small business, one simple rule should not be forgotten: each specialist must solve their own specialized problems.
That is why in such a situation it would be a reasonable decision to use the services of outsourcing marketing agencies. In practice, the costs will not be as high as it may seem at first glance, but the efficiency will fully justify your expectations. In addition, it will not be necessary to use such services on a permanent basis, but to resort to professional help only when it is necessary to launch a new advertising campaign, bring a new product to the market, etc.
Outsourcing of marketing services for niche businesses
If your business is focused on specialized markets, if you work in a fairly narrow niche, then in practice it will be quite difficult to find a specialist who will have the appropriate education and expertise in this area. Finding a new employee and training them will take too much time and not every business can afford such expenses. This will be especially relevant if your company is focused on a specific location, that is, you need to look for a marketer who should be well versed in local features. As an option, this could include an agency that sells real estate on exotic islands, as well as any other areas related to premium tourism and much more.
The advantage of outsourcing in this case is that in the modern market you can easily find a company that specializes in your niche. And this means that it is here that you can get the most valuable resources and practical experience working with quite unique and specific markets. This is what will significantly increase the efficiency of work and help to avoid mistakes associated with the peculiarities of the market itself. As a result, costs will be significantly reduced, since each decision taken will be obviously correct and will justify itself.
Marketing outsourcing by companies with their own marketing department
It would seem, why resort to the help of third-party specialists if you have a fairly large and professional marketing team at your disposal, numbering dozens, or even hundreds of people who thoroughly understand the direction itself, as well as the specifics of the business. In this case, brand development, sales initiatives will be completely under the control of your staff. But if you decide to launch a new project or product on the market, or if you are going to promote a certain event, it would be quite reasonable to seek help from outside specialists.
That is, we are talking about using the services of relevant agencies to implement short-term initiatives. In this case, outsourcing resources will very often be more profitable in material terms than all the costs that you will face if you decide to increase the workload of your full-time staff. And the results will be higher, since your employees will be focused as much as possible on all those business processes that they work with on an ongoing basis, which will ensure high efficiency. That is, in this case, marketing outsourcing is an option for individual, so to speak, unscheduled one-time work.
Which solution will be more profitable in practice: outsourcing or in-house marketers
Recruiting new employees for a company is a process that always takes a lot of time. But, despite this, the result does not always meet expectations. You can spend a lot of time and effort to select a good specialist, and already during the probationary period it may turn out that this person does not meet your expectations at all. In any case, you will have to wait until the person adapts, until he or she understands the specifics of the business, and can offer you the most effective strategies. And all this time, advertising, and the promotion of your business as a whole, will be paused. In some cases, you will be forced to launch a new recruitment process. And all these processes can turn into a vicious cycle that does not bring the desired result to your business, but only wastes money.
From this point of view, attracting the services of third-party specialists, those who thoroughly understand all these nuances, is an excellent option. It will be enough to monitor the reviews that are available on the Internet for a particular outsourcing marketing agency, talk to other business representatives who have already used similar services, or simply consult with a representative of such an organization to make sure that such a solution is right for you.
But what about the cost of services? Initially, it may seem that marketing outsourcing is a rather expensive option that not every business can afford. But this is a superficial opinion. If you delve deeper into all these nuances, it turns out that engaging the services of third-party specialists, on the contrary, will be a more profitable offer for most businesses. Judge for yourself:
- Quite high competition in the marketing outsourcing market has led to the fact that competing companies are forced to reduce the cost of their services in order to interest new clients.
- You get rid of the need to pay wages to your subordinates. Also eliminated are the costs of registering a new workplace, renting premises, utilities, paying for advanced training courses, etc.
- Unforeseen expenses associated with incorrect strategies are eliminated. In most cases, it is not the services themselves that are paid for, but the result. In addition, such specialists are more thoroughly familiar with the specifics of the work and can perform them much better and faster than hired personnel.
As a result, with a high degree of probability, your business will receive tangible material benefits from marketing outsourcing, and in addition - time savings on solving the task.
Directions that marketing outsourcing may include
At the beginning of our review, we mentioned that marketing outsourcing is an extremely popular direction today in the global market. Many business representatives have already realized the fact that it is more profitable and convenient for them to delegate some of the responsibilities associated with promoting a business on the market and maintaining occupied positions to third-party specialists. If we talk directly about the domestic market, the situation here is somewhat different. The fact is that the level of education of people applying for such positions leaves much to be desired.
The requirements that the modern market places on creative and talented personnel are quite high and it is not yet possible to fully satisfy them. In addition, a number of marketers with the relevant diplomas are not ready to immediately proceed to the direct implementation of work tasks. Initially, they get acquainted with the specifics of the niche, spend time analyzing all the solutions that the business uses in practice, and undergo additional training within a specific company. And this delays the solution of key business tasks too much and can lead to the fact that opportunities will simply be missed.
Marketers who work in the relevant agencies already have all the experience needed to solve the tasks as quickly and effectively as possible. Along with basic theoretical knowledge, they have already encountered a practical solution, were able to test the effectiveness of certain strategies in practice, discarding options that were characterized by low efficiency. Moreover, you can trust such specialists to solve a fairly wide segment of professional tasks:
- internal SEO optimization of the site and its external promotion, which will allow you to get a platform that will be highly appreciated by both search bots and users;
- SMM promotion in social networks, ensuring effective coverage of the target audience located on these sites;
- launching contextual and targeted advertising, which will allow you to attract an interested audience to your business;
- development of a content marketing strategy and its implementation in practice, namely, saturating the online representations of your business with high-quality and useful material;
- preparation and conducting interviews, podcasts, direct broadcasts on video hosting sites, social networks, messengers, etc.
That is, you will be able to delegate fairly large-scale work to third-party employees, knowing full well that it will be implemented as efficiently as possible. And there is no doubt about it, since really cool specialists will be working on it. Those who have at their disposal advanced modern technologies, methods that have proven their reliability in practice. This is what will allow you to effectively stand out from the competition, minimize various errors, including those that entail financial costs.
But we would like to draw your attention to the fact that your sales department should be ready to expand your customer base and to a fairly sharp increase in the number of orders and sales. The fact that an audience will come to the site is good, but it is also important to ensure that truly competent people are engaged in its servicing. Mistakes made at this stage are fraught with the fact that even a person interested in your products can simply go to competitors if he does not like something in the interaction with the manager. By the way, today there are already many companies that also outsource sales department functions. Perhaps this is an indicator that this technology has a future.
It is worth using marketing outsourcing: advantages and disadvantages
Before launching marketing outsourcing, you should understand what benefit you will get from such an action. So, in this case, I would like to note a number of key advantages:
- Quite noticeable material savings. In this case, the fee will be charged exclusively for the amount of work that was performed in practice. The fact is that outsourcing agencies simultaneously operate with a large number of clients, also earning on the volume of work. In addition, in order to survive in the market and not give in to competitors, they often reduce the cost of services, launch more attractive conditions for cooperation with regular customers. But full-time marketers will receive a salary on a piecework system, which in itself increases the company's expenses. And regardless of the amount of work that will be in front of him, the payment will be fixed and monthly. Do not forget that you will also need to pay taxes, that is, working with third-party specialists is mostly much cheaper.
- High efficiency of work. We have already mentioned that most outsourcing marketing agencies work in fairly narrow thematic niches. In addition, they face large volumes of work, have proven strategies that are extremely effective, and constantly monitor what is happening on the market, which allows them to always be aware of current trends and advanced techniques. And even with a cursory acquaintance, they will notice problems in the strategies that your business uses in practice and will be able to eliminate them as quickly as possible by making appropriate adjustments. That is, in this case, trial and error work is excluded. You get an exclusively rational solution that ensures maximum results in a short time, since you really trust the work to specialists in their field.
- Higher degree of responsibility. The stability of the outsourcing company itself directly depends on how satisfied the client is with the result of the work performed. If it fails to cope with the task, it will lose the client, income, and damage its own reputation. This is all that can call into question the subsequent work of the organization on the market. That is, any agency will strive to minimize such negativity and perform the tasks assigned to it as efficiently as possible. Let us repeat that they have every opportunity to do this. But what happens if your full-time employee fails to cope with the job? Deprive him of his salary? Fire him? Most likely, nothing like this will happen, at least until such problems become systematic. That is, being in a fairly stable situation, employees for the most part behave more relaxed, comfortable, which at some point in time can play a cruel joke on them.
As you can see, the advantages here are quite significant, but, alas, outsourcing marketing is also not without its disadvantages. When contacting a third-party company, you, unfortunately, can also face certain risks. In particular, external specialists will need time to delve into the specifics of your company, the product being promoted. This will be especially true for unique products that they have not yet encountered in practice.
But still, the main problem is choosing a reliable contractor. We have already said that outsourcing agencies in the field of marketing are widely represented on the market. And to choose the best option, you will have to study reviews, compare prices and the range of services provided, talk to our managers. That is, you must be confident in advance in the people you want to entrust with the promotion of your business. The final result largely depends on the correctness of the choice.
How marketing outsourcing works: main stages
Most marketing outsourcing can be divided into 3 main stages. Their specifics and set of solutions will differ from each other depending on the characteristics of the business itself, its size, as well as the goals and objectives that need to be solved in the current situation. In particular, we are talking about the following:
- Analytics and planning. It is from this stage that cooperation with any outsourcing company begins. Here you get acquainted with the team, fill out a brief, indicating the basic information about your business, highlighting the tasks that need to be solved. Information is also collected for analytical services that are used in practice in order to get a clear picture of the brand's work. The current marketing state is necessarily assessed, competitors are analyzed. Based on the information received, a marketing plan is prepared and presented, which will indicate all the activities that will help achieve the desired results. The tools that will be used here are also described. In most cases, the implementation of this stage takes about a month, but it all depends on how much work needs to be implemented in practice. In any case, upon its completion, you will have a clear picture of all the future actions that will be taken by third-party specialists when working with your brand.
- Launch of work. All the points that were written down in the previous stage will be carried out here. End-to-end analytics are set up, all the formulas are written down, on the basis of which the remaining performance indicators of the launched company will be determined. Subsequently, all activities and results will be recorded in a mandatory report. It will include all the main stages that were implemented by specialists in practice, including contextual, targeted advertising, website promotion, accounts in social networks. If it is necessary to involve third-party specialists, then all these actions are performed at this stage. Budgets are also formed. In most cases, these works take about 3 weeks.
- Direct achievement of goals. At this stage, all the necessary settings have already been completed, work processes have been launched. That is, here the effectiveness of each individual direction is monitored. The customer is provided with reports, as necessary, additional consultations are held in order to inform, explain additional aspects. If problems are identified, optimal solutions are selected, failed strategies are excluded, and successful ones, on the contrary, are scaled.
That is, when contacting a third-party agency for marketing outsourcing, all that is required from you is a comprehensive statement of the task and the provision of the most comprehensive information, which will allow specialists to perform the upcoming tasks as efficiently as possible. Then all that remains is to simply analyze reports and monitor how your business attracts new clients, as well as ensure their high satisfaction with cooperation with you.
As you can see, everything here is quite simple, convenient, and efficient. But if you are not sure that a third-party company will effectively cope with the upcoming work, as an option, you can train your own marketer, entrusting him with subsequent interaction with outsourcing marketing agencies. He will act as a link between you and the contractor, ensuring flexible interaction and high-quality execution of the tasks.
What is the outsourcing scale?
The last question that we will consider in today's review is such a concept as the outsourcing scale. This is a tool that will help you determine the level of your brand's investment directly in third-party marketing. We would like to immediately draw your attention to the fact that the division into levels here is quite relative and it is impossible to say that level 3 is better than level 1, since everything here depends on the specifics of your business and the tasks that you want to solve at this stage.
So, the outsourcing scale presents 4 levels:
- Never, aka 0. In this case, all marketing strategies will be supported exclusively by your business, that is, the possibility of outsourcing is excluded altogether. That is, you should have your own specialists at your disposal: one or a full-fledged marketing team.
- Sometimes, it is already level 1. In this case, we are talking about the fact that the implementation of certain projects can be entrusted to third-party specialists. Most of these relate to one-time tasks, such as introducing a new product to the market, creating a website, forming a brand identity, etc. At this time, the remaining marketing tasks will be handled by your company's specialists.
- Partially, that is, level 2. In this case, all business tasks will be distributed between the company's own managers and employees of specialized agencies. Alternatively, certain tasks can be outsourced, such as promotion in social networks, launching advertising campaigns, etc. In this case, the third-party company will coordinate all its actions with your marketing department.
- Completely, that is, level 3. Here it is clear that a third-party agency takes on all of your company's marketing tasks, from developing a strategy to implementing it in practice, monitoring its effectiveness. You, as a brand manager in this case, will receive regular reports, making sure that the strategy used gives good results in practice.
You choose which option of interaction with specialized outsourcing companies will be most effective for you in practice.
Let's summarize
As you can see, marketing outsourcing is the direction that will help solve a fairly wide range of problems facing small and medium-sized businesses, and in some cases even large companies. You can transfer all work related to the promotion of your goods, services, and the brand as a whole to third-party organizations, or delegate individual tasks to third-party organizations. Yes, there are a number of nuances and restrictions that must be taken into account in order to get the maximum result in practice and minimize potential risks and restrictions. It is also very important to choose a truly reliable contractor.
If you are not yet ready to shift all responsibility for the implementation of marketing tasks to third-party specialists, choose an option on the outsourcing scale such as 1 or 2, which involves partial involvement of specialized agencies. In this case, your marketer will control all the work, ensuring its most effective implementation in practice. But here it will not be superfluous to worry about the convenience and functionality of your manager's work. In particular, we recommend connecting mobile proxies from the MobileProxy.Space service for him. You can find out more about this solution here.
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