Comparing In-House & Hired Marketing Services for Small Biz. By Stephanie Snyder

04/18/2023

By Stephanie Snyder,

Small business owners are no strangers to making important decisions for their growing organizations. One classic example of this is whether or not a business should take on marketing efforts in-house and hire an outside firm to do the job. This article will analyze and compare these two options to help you identify the benefits and drawbacks of each, enabling you to make the right choice for your business.

In-House Marketing Services

Businesses with the right resources at hand may opt for building an experienced and professional marketing team within the organization itself.

Pros

1. Cost-effective: Because you are not obligated to charge for external services, in-house marketing is often more cost-effective in the long term.
2. More Control: You will have more influence over the direction and implementation of marketing initiatives because the marketing team operates from within the organization.
3. Better Corporate Understanding: In-house marketing people will have a greater knowledge of the organization's purpose, goals, and principles, which can lead to more successful marketing efforts.

Cons

1. Restricted expertise: An internal marketing team might lack knowledge of all marketing facets, making campaigns less diverse.
2. Resources are scarce: As a small firm, you may not have the funds to assemble a comprehensive marketing team, which can result in understaffing and overwork.
3. Restricted creativity: Since the company's values and culture may constrain them, an internal team may not be as creative as an external agency.

When to Consider Internal Marketing Services

1. If you cannot afford outside services, but have the funds for tools such as marketing automation software for small businesses.
2. If you already have a committed group of marketing professionals with a wide range of expertise.
3. If you desire additional control over your marketing initiatives.

 

Hired Marketing Services

Hired marketing services will involve outsourcing your marketing efforts to an external firm or consultant.

Pros

1. Access to a wide talent set: A diverse skill set will be available when working with an external agency, allowing them to conduct a more thorough marketing effort.
2. Decreased workload: Outsourcing marketing efforts relieves your internal team's workload, allowing them to focus on other company operations.
3. Fresh perspective: An outside agency will add new ideas and views to your marketing initiatives, resulting in more imaginative campaigns.

Cons

1. Cost: Hired marketing services might be more costly than those that operate in-house.
2. Loss of control: When marketing efforts are managed externally, you will have less influence over their direction and implementation.
3. Poor comprehension of the business: An external agency might not be as familiar with the company's vision, objectives, and values as an internal team is.

When to Consider Hiring Marketing Services

1. If you can afford external services.
2. If you need access to a variety of skills that your team lacks.
3. If you seek innovative approaches and viewpoints for your advertising initiatives.

Hybrid Approach

A hybrid strategy combines the implementation of both internal and external marketing efforts.

Pros

1. Flexibility: A hybrid strategy allows you to choose the exact type and quantity of marketing services you need.
2. Access to a broad talent set: A hybrid strategy helps businesses to control the planning and execution of marketing initiatives while allowing access to a broader skill range.
3. Cost-effectiveness: A hybrid strategy can save on costs since you can outsource some marketing-related tasks while keeping others internal.

Cons

1. More management is required: A hybrid strategy necessitates additional oversight because you will supervise internal and external teams.
2. Communication challenges: Communication issues might emerge when managing internal and external teams, resulting in misunderstanding and miscommunication.
3. Possible conflicts: Since in-house and outside marketing teams may have different aims, attitudes, and viewpoints, conflicts can emerge.

When Should a Hybrid Approach Be Considered?

1. If you want to keep ownership of the course and implementation of marketing initiatives while still having access to a wide talent set.
2. If you have adequate marketing knowledge but want outside assistance in specific areas.
3. If you want a low-cost marketing strategy that can be tailored to your exact requirements.

Final Thoughts

Choosing between in-house and outsourced marketing services requires close consideration for small business owners. Both strategies have unique advantages and disadvantages, but the best selection will be determined by your budget, objectives, and resources. Hopefully, this article has provided you with useful information to assist you in making an informed decision regarding your business’s marketing needs.