Five reasons why digital marketing agencies should consider outsourcing

Outsourcing digital marketing to a partner agency doesn’t mean your agency can’t handle its workload or doesn’t have the skills needed to execute the strategies you’ve come up with for your clients. Far from it. As it happens, outsourcing work to a partner marketing agency – especially one that specialises in outsourced execution – can be a very smart (not to mention profitable) way to work.

Here are five reasons why digital marketing agencies should consider outsourcing:

1. Outsourcing allows you to spend your time doing more of the stuff you’re really good at.

Even though we live in a digital age of instant gratification and lighting-fast communication, executing a modern digital marketing strategy is still an incredibly time-consuming task. This is largely because creating, publishing and promoting the amount of original content necessary for pulling off a content-driven marketing strategy is no small task.

If you relish coming up with out-of-this-world digital strategies, chances are you often feel bogged down with actually executing those strategies. What you really want to be spending your time on is coming up with your next Big Idea. Outsourcing digital marketing execution to a specialist agency frees you up to do just that.

2. Outsourcing allows you to keep your permanent workforce down to a manageable size.

There are two main negative aspects of having a large team of permanent staff. The first is the hefty salary bill you have to pay every month, regardless of the current cash flow situation. The second is the fact that more people means more HR issues, like finding skilled people, negotiating salaries and contracts, dealing with under-performers, carrying out disciplinary action and keeping a close eye on local labour laws.

One of the best things about outsourcing to specialist marketing agencies is that dealing with ‘people problems’ becomes someone else’s problem. Agencies are also able to produce the same amount of work at a lower cost, because resources can be shared between multiple accounts.

3. The onus isn’t on you to find skilled employees.

Even if you did want to hire a large workforce, finding skilled employees is seldom easy. Strategists, marketing technologists and copywriters who are well-versed in inbound marketing methodology have pretty unique skill sets, and believe me, these people are hard to come by. When yououtsource digital marketing, however, the onus is on the agency to train and upskill staff.

4. Outsourcing to an English-speaking agency puts Western markets within reach.

Executing an inbound marketing strategy in an English-speaking country requires producing top quality English language content. If you’re a non-English speaking agency looking to break into a Western market, your best bet is to outsource execution to a first language English-speaking agency. Partnering with an English-speaking agency that’s based in a country with a weaker currency, like South Africa, can also work out much cheaper for agencies in the developed world.

5. Outsourcing allows you to scale your agency effectively.

I’ve saved what I believe to be the most important reason why marketing agencies should outsource digital marketing for last: it’s the smartest way to scale your own agency. To sustainably grow your own agency into a stable, profitable entity, you either have to charge your existing clients higher fees or constantly find new clients.

Financially speaking, it’s less risky to have more clients on equal retainers than just one or two big clients. But, signing new clients means hiring more staff, which in turn sends your salary bill through the roof. Even if you do manage to make a profit, a few cancellations can land you in hot water with no cash flow and salaries to pay. Outsourcing execution eliminates this risk. If business takes a sudden hit, it’s a simple matter of discontinuing or suspending your contract.

Our free guide, Effectively Scale your Agency or Marketing Department, delves deeper into the pros and cons of outsourcing digital marketing to marketing agencies. Download it here.

Author: Daryn Smith

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