Should you use a marketing agency for small business?
Most small businesses manage their own marketing. A marketing agency for small business seems like an unneeded expense. But hiring one is often worth it.
Let’s explore what it’s like to leave your marketing to the pros.
What is a marketing agency?
Marketing agencies offer key services to help customers reach their goals. They can run ads. They can hone branding. They can plan media campaigns. They can even organize events.
Agency employees often have specialties. These experts use their skills to help businesses’ unique marketing plans succeed.
How can a marketing agency help your business?
Marketing agencies offer a lot of services. You are not expected to use them all. Think of where you need help before you choose a service.
A marketing agency can help you:
- Boost brand awareness
- Engage your target audience
- Earn leads (i.e. gain consumer contact information)
- Convert leads (i.e. increase purchases)
You may hire a marketing agency to help with a few key challenges. For example, a new clothing boutique may want to identify a target audience. They may ask the agency to research and identify that audience. Then, they may ask the agency to create an audience engagement plan.
You may hire a marketing agency for a one-time project. For example, a local bakery might want to increase brand awareness. They might ask the marketing agency to create a local marketing plan for the holiday season. Then, they might ask for help executing the plan.
You might not even be sure where to begin. In these cases, many marketing agencies will help you figure out how to get started.
What are the benefits of a marketing agency for a small business?
A marketing agency for small businesses offers many benefits. These include:
Marketing agencies hire experts who specialize in various tasks. You can expect them to use cutting-edge tactics on your projects.
Managing a marketing project as a business owner is difficult. You have to spend a lot of time learning basic tactics. Marketing experts are familiar with all grades of marketing projects. It takes them less time to complete projects.
A high success rate
You can expect success when your marketing projects are run by industry experts.
What are the downsides to using a marketing agency for a small business?
On the flip side, there are downsides to using a marketing agency for small businesses. Marketing agencies come with:
You’re going to have to pay your marketing agency. You can lower costs by hiring a marketing agency for only a few tasks. Yet, you’ll still be making a small investment. It’s cheaper to research marketing tactics and execute them yourself.
Marketing agencies expect to lead marketing initiatives. Your agency will try its best to follow your vision but expect differences. Remember that the experts may have a better idea of successful strategies.
A marketing agency will probably help your business succeed. Yet, it might not boost your revenue as much as expected. It might not boost your revenue at all. Be prepared for losses.
How much can you expect to pay a marketing agency for a small business?
Marketing agency fees depend on your location and needs. Expect costs from $1,000 to $12,000 per month.
An industry expert surveyed digital marketing agencies. She found that:
- Agencies’ monthly retainers cost between $1,000 and $3,000.
- Freelancers’ hourly rates cost between $50 and $100.
- Agencies prefer monthly retainer contracts.
- Freelancers prefer project-based fees.
The costs of a marketing agency for a small business vary. Shop around and find a price point that fits your budget.
The Growth Center does not constitute professional tax or financial advice. You should contact your own tax or financial professional to discuss your situation.