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How Much Does It Cost to Outsource Marketing?


Outsourcing concept image with business icons

When businesses aim to better their marketing efforts, one of the biggest decisions they face is whether to build an in-house team or team up with a fractional marketing agency. Each option has its own set of benefits and challenges, but one question often drives the decision: how much does it cost to outsource marketing?


The cost of marketing is a critical factor, influencing not just your budget but the overall effectiveness of your strategy. With in-house teams, you're looking at salaries, benefits, and ongoing training. On the other hand, outsourcing can provide access to specialized expertise and greater flexibility—often at a lower overall cost.


In this blog, we'll dive into the specifics of outsourcing marketing costs to help you understand whether this approach is the right fit for your business.


Key Takeaways


  • Outsourced marketing offers cost-effective solutions compared to maintaining an in-house team, with flexibility in scaling efforts based on business needs.

  • Specialized expertise and external perspectives from marketing agencies can enhance your campaigns, providing access to a diverse set of skills.

  • Businesses can avoid additional costs like employee benefits and training by outsourcing, leading to more predictable and manageable marketing expenses.


What You Get When You Outsource Marketing


When deciding whether to handle marketing in-house or outsource it, knowing exactly what you gain from outsourcing is necessary. Outsourcing your marketing needs can bring significant advantages that are often difficult to achieve with an in-house team.


Here’s a look at what you can expect when you choose to outsource your marketing:


Specialized expertise at your fingertips


One of the most significant advantages of outsourcing marketing efforts is access to a team of professionals with specialized skills. SEO, content marketing, social media marketing services, or digital marketing—whatever you need, a marketing agency can offer expertise that’s hard to match. It's like having your own in-house marketing team but cheaper.


This broad range of skills allows your business to execute diverse and complex marketing strategies without the need to recruit and train individual experts.


Scale up or down easily


Outsourced marketing services provide the ability to scale your marketing efforts based on your current needs. For example, during a product launch or seasonal campaign, you can ramp up your marketing strategy by utilizing the full capabilities of an outsourced marketing team.


Conversely, if you need to scale back, outsourcing lets you adjust your marketing budget and resources without the complications of downsizing an in-house team.


Cost-effective options to choose from


Outsourcing marketing can be a more budget-friendly option, particularly for small to mid-sized businesses. When you compare the costs of an in-house marketing team—including salaries, benefits, office space, and other overheads—outsourcing emerges as a cost-effective solution.


A marketing agency lets you access high-level marketing services and expertise without the long-term financial commitment required to maintain an in-house marketing team. You can choose which marketing services you need and add to them as your budget allows.


How Much Does Outsourced Marketing Cost?

Blocks spelling cost and a magnifying glass against a  blue background

Let's break down the key elements of how these marketing services are priced and the financial advantages they offer:


Hourly or project-based fees


Outsourced marketing services often operate on an hourly or project-based fee structure, giving businesses the flexibility to pay for only what they need. The cost of marketing projects can vary significantly depending on their scope and complexity.


For example, an SEO campaign might range from $2,500 to $10,000, while content creation services like blog posts or social media management could cost anywhere from $500 to $5,000 per month. This flexibility allows businesses to tailor their marketing strategy to fit their specific budget and goals.


Potential for long-term contracts and discounts


Many marketing agencies offer financial incentives for businesses that commit to long-term contracts. When you engage in a sustained partnership, you can sometimes negotiate bulk discounts on services. This approach not only reduces overall costs but also provides the consistency and continuity needed to maintain a strong marketing presence.


Long-term agreements can be particularly beneficial for ongoing initiatives like social media marketing or continuous content creation, where regular updates and engagement are crucial.


There are no hidden costs


One of the most significant advantages of outsourcing marketing is the elimination of hidden costs associated with maintaining an in-house team. When working with an outsourced marketing team, businesses avoid expenses related to employee benefits, training, office space, and equipment.


The streamlined approach results in more predictable and manageable expenses, allowing companies to allocate their marketing budget more effectively. With outsourcing, businesses can focus their financial resources on strategic initiatives rather than overhead.


Comparing In-House Marketing Costs


When weighing the costs of maintaining an in-house marketing team against outsourcing, it’s important to consider several factors. Let's explore how these costs compare:


Salaries and benefits


Building an in-house marketing team involves significant expenses beyond just salaries.


For instance, a mid-level digital marketer might earn between $60,000 and $80,000 annually, while specialized roles like graphic designers or SEO experts could push that figure higher. Additionally, businesses must account for benefits such as insurance, retirement plans, and paid time off, which can add 30% or more to the base salary.


When comparing these costs to the fees charged by marketing agencies, which might range from $5,000 to $20,000 per month, depending on the services required, it becomes clear that outsourcing can be a more cost-effective solution, especially for small to mid-sized companies.


Training and development


An in-house marketing team requires ongoing training and professional development to stay current with trends and technologies in the industry. This can include attending conferences, enrolling in online courses, or obtaining certifications, all of which add to the overall cost of maintaining a skilled team.


In contrast, marketing agencies typically absorb these costs, ensuring that their teams remain up-to-date without passing the expense onto clients. This saves money and provides businesses with immediate access to the latest marketing strategies and tools without the need for additional investment.


Overhead expenses


Beyond salaries and benefits, there are several overhead expenses to consider when managing an in-house marketing team. These include the cost of office space, utilities, equipment like computers and software licenses, and other operational expenses.


For example, purchasing and maintaining licenses for software such as Adobe Creative Suite, marketing automation tools, and data analytics platforms can be quite expensive.


By contrast, outsourced marketing teams operate with streamlined efficiency, allowing businesses to avoid these overhead costs entirely. This leaner approach frees up resources that can be better allocated to other business goals.


Factors to Consider in Outsourcing (or Not)


When deciding between outsourcing marketing and maintaining an in-house team, several factors should guide your choice. Let’s explore these considerations.


Scope and complexity of marketing efforts


The size and complexity of your marketing needs are significant factors in this decision. For companies running large-scale campaigns or those requiring specialized strategies, outsourcing can provide access to a broad range of expertise that might be difficult to assemble internally.


For example, if your business needs to launch an all-in digital marketing campaign that encompasses SEO, social media management, and content marketing, an outsourced marketing agency can bring together specialists in each of these areas for a cohesive and effective strategy.


Level of expertise required


Certain marketing activities demand a high degree of specialization that might be challenging to find within an in-house team. For example, advanced data analysis, detailed analytics, or managing complex social media platforms are tasks that often require niche skills.


Outsourcing offers a practical solution by providing access to professionals with the specific expertise needed for your business. Let's say your company needs to optimize paid ads across multiple search engines. Your best move is to outsource this task to a marketing agency with a proven track record in this area to achieve the best possible results.


Budget and financial constraints


For many small businesses or startups, budget limitations are a primary concern. In-house teams can be costly due to salaries, benefits, and ongoing costs such as training and equipment.


Outsourcing, on the other hand, allows for more flexible spending. You can adjust your marketing budget easily based on immediate needs, allocating resources to the areas that will have the most impact.


Flexibility makes outsourcing a more viable option for companies looking to maximize their marketing efforts without overextending financially.


Making the Right Choice for Your Business


Outsourcing your marketing efforts is a very efficient solution compared to building and maintaining your in-house marketing team. By eliminating the need for full-time salaries, benefits, and overhead expenses, you can focus your budget on achieving targeted results through expert-driven strategies.


But before you make a decision, evaluate your company’s unique marketing requirements, scope, and budget because outsourcing may be the best option to meet your business objectives efficiently and effectively.


Start Building Your Ideal Marketing Plan Today


If you’re looking to optimize your marketing spend while gaining access to top-tier talent, consider partnering with LeaseMyMarketing.


Our team offers personalized and skilled marketing strategies led by senior marketing executives who have been successfully growing businesses from various industries for years. Contact us today for a tailored quote and discover how our outsourced marketing solutions can drive your business forward.


Frequently Asked Questions


What is the average cost of outsourcing?


The average cost of outsourcing marketing services varies widely depending on the scope of work, the agency’s expertise, and the specific services required.


Typically, you can expect to spend anywhere from $2,500 to $10,000 per month for outsourced marketing services, though this can increase for larger campaigns or specialized tasks.


How much should I pay for marketing services?


The amount you should pay for marketing services depends on your business size, marketing goals, and the complexity of the projects. For small businesses, marketing services might range from $1,000 to $5,000 per month. Mid-sized companies may spend $10,000 to $30,000 monthly, while larger businesses or those with extensive needs could exceed $50,000 per month.


Is it a good idea to outsource marketing?


Outsourcing marketing can be a great idea for many businesses, especially those that lack in-house expertise or want to save on costs associated with hiring full-time employees.


Outsourced marketing agencies offer specialized skills, flexibility, and scaling ability based on your business’s changing needs. It’s particularly beneficial for small to mid-sized businesses looking to maximize their marketing ROI.


How much does a marketing project cost?


The cost of a marketing project depends on the type of project and its complexity. For example, a social media campaign could cost between $1,000 and $5,000, while a comprehensive digital marketing strategy could range from $10,000 to $50,000 or more. 


The final cost is influenced by factors such as project scope, the platforms used, content creation needs, and the level of expertise required.


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