In-house marketing vs agency - which is right for your business?

Many businesses inevitably find themselves facing the all-important question of whether to outsource marketing efforts or build a dedicated team within the company. In the age-old debate of in-house marketing vs agency, we consider why the decision can be a complicated one and should take several factors on board.

The importance of marketing for any business shouldn’t be disputed. It’s vital for brand awareness and recognition, promoting services, and ultimately (and most importantly) growth. In fact, so crucial is a well-implemented marketing strategy that if you’re without, your business is unlikely to make progress.

If you’re at a crossroads deliberating whether to create a marketing team in-house or outsource the work to an agency, there’s simply no right or wrong answer. It’ll depend not only on your business’ size, needs, budget, near-future plans, and long-term objectives, but also on your brand identity.

Whether you’re a startup considering marketing resources and questioning which direction to take, or you’ve previously gone one way and are wondering whether a change could add more value to your business, we’ve outlined some key considerations to keep at the forefront of your mind when making a decision.

Skillset and expertise

When it comes to online marketing, a vast range of skills is required for its broad spectrum of activity. If you hire an agency, you can draw on the know-how and expertise of a team of specialists. Branding, design, paid search, content marketing, PR, social media, and web development, for example, can all be taken care of by experts who’ll work alongside each other for the best results. Agency marketing is successful in this sense – marketing skills shouldn’t be used in silo, and access to high-level specialists and tools in various specialties can benefit your business greatly.

If you’re a small business with funds predominantly spent elsewhere, hiring an agency to take marketing responsibility off your hands could be a great move. For larger companies with greater manoeuvrability on budget and overheads, it might be worth investing in a specialist or even a dedicated team to diversify your marketing offering. Bear in mind all aspects of the marketing sphere work closely together and are integral to one another – should one activity not be turning out great results, analysis is required before putting the spotlight on another area. For that reason, access to a wide range of skills is important.

Cost and convenience

Your budget will naturally play a large part in your decision-making as you debate in-house vs agency marketing. When assembling an in-house team, you’ll likely have covered all bases by hiring four crucial roles: a marketing manager, content writer, SEO and analytics expert, and social media expert. However, the list does go on. The best marketing teams also include a paid search specialist, web designer, developer, and PR executive to name a few. You’ll need to consider salaries and costs of regularly up-training staff to keep them sharp in their skills, so inevitably, your marketing will be restricted to your budget. In-house hiring costs also include desks, computer, and digital equipment, and online tool subscriptions. On the plus side, though, your staff will be invested in your company from the outset with an understanding of important business context that an agency wouldn’t necessarily have from the get-go.

Hiring an agency will cost a lot less in the long term because you’ll pay hourly or pay a retainer fee, for which you’ll agree on a number of monthly or quarterly deliverables. Here, you’ll benefit from specialist experience at a fraction of the price. Plus, associated costs you’d have to take on when hiring in-house are now the responsibility of the agency. So you wouldn’t have to worry about training, for example – marketing agencies are at the top of their game and always up to date with industry trends, leaving you to focus on your own business and industry.

In-house vs agency: An overview of each option

The answer to which option is best for your business should take several factors into consideration, including business size. Think about exactly where your marketing efforts would be best placed.

Option one: Hire an internal marketing manager and ‘plug-in’ agency services

Can you manage certain aspects in-house with existing staff, but still require an agency for a specific resource? If so, you might consider outsourcing and drawing on the help of an integrated agency where required. Fully integrated agencies employ specialists in every area of marketing you might need, so you can simply select the service you need external help with, and let the agency handle that aspect.

For large businesses, it often makes sense to hire a marketing manager. However, as marketing managers usually don’t have in-depth knowledge of every service, they tend to serve more as a coordinator than a ‘do-er’, working with key people in the business to create a strategy before managing its delivery. It may be possible to find a marketing manager proficient in one or two areas of marketing, but it’s unlikely they’d be specialists, or fully understand how different services interact with and impact each other.

In this scenario, you could be paying for the cost to employ someone (including holiday pay, training fees, and covering for illness, PAYE, pension, etc), and for the delivery of specialist marketing services by an agency on top. This option is generally the more expensive of the two, and hiring marketing managers can garner mixed results, offering less of a guaranteed return on investment (ROI) than outsourcing all marketing efforts. 

Option two: Let a fully integrated marketing agency take care of the whole process

Alternatively, you could use a fully integrated agency for the whole package. Here, the agency handles all strategy, delivery, and management, while providing clear reporting. They’ll also give unbiased recommendations on the best services to use based on your specific business objectives and priorities. 

Small to midsize businesses more greatly rely on getting guaranteed ROI – this is where employing the services of an integrated marketing agency can be especially beneficial. This option generally offers a more appropriate spend for a company of this size, providing comprehensive services and allowing the business owner to focus on core operations. As the business grows, an internal marketing executive may need to be employed to help coordinate things, but that would come at a later date.

Finding the best fit for your business

A good starting point for deciding whether to keep your marketing in-house or outsource is to break down and define your business goals and needs. Take time to weigh up the pros and cons of both options as well as consider your budget before pinpointing required resources and making a decision.

Considering heading down the agency route or wondering how an agency can complement your own marketing efforts? Get in touch, and we’ll walk you through it.