SMBs (small and medium-sized businesses) face numerous problems while competing with larger corporations. Small businesses frequently have fewer resources and finances, making it appear practically impossible for them to compete with big-name brands. Hiring a marketing firm to plan, implement, and monitor promotional campaigns is the greatest method for SMBs to get a leg up on their competitors.
Fortunately, we live in an age when new approaches can outperform a large budget – and marketing agencies are here to help.
When small business owners hear this, the first thing that comes to mind is how to afford and how the business itself can hire a marketing firm under the situation that the business is still small and growing. Hiring a marketing firm appears to be a significant financial risk, especially for small business owners on a tight budget.
But the truth is that many small businesses waste a lot of time and money by attempting to market themselves. For a variety of reasons, investing through an agency is a superior option. Now, before we get into the specifics of why it's a good idea to employ a marketing firm, let's take a look at the most common marketing difficulties that small businesses encounter.
Marketing Challenges for SMBs
First and foremost, small business owners must comprehend and embrace the reasons behind the failure of their marketing strategy. Small business owners have a lot on their plates and are unable to devote much of their time to designing and managing marketing strategies.
Here are some of the most significant issues that SMBs confront in general:
1. Scarcity of leads
2. Lack of online/offline visibility
3. Insufficient marketing knowledge
4. Insufficient time to invest in the marketing activity
5. Limited budget to optimise the marketing strategy and hire a strong internal marketing team
It is a fact that many small businesses find it difficult to implement effective marketing tactics. Take a look at some of the findings from Fundera's most recent survey:
Nearly 90% of marketers claim that their social marketing initiatives have boosted their company's exposure
Despite the fact that 75% of small business owners believe internet marketing is highly successful or effective for generating new clients, 36% of SMBs do not have a website
61 percent of marketers believe the most difficult part of their job is generating traffic and leads
1 in 5 small businesses don’t utilize digital marketing
1 in 10 small businesses don’t invest in any kind of marketing at all
In today's world, digital marketing is critical for reaching customers, especially because the vast majority of first contacts will take place online. According to the same study, 81% of customers will research a product or company online before making a purchase. If your SMB's information isn't available online or customers can't discover you, you're likely to lose that customer to a competitor.
SMBs who actively used digital marketing methods, such as social media and email marketing, were considerably more effective, according to the same Fundera poll. Customers spend up to 40% more on average with each purchase when firms engage with them through social media marketing.
The ideal solution to the problems that so many small businesses encounter is to employ a marketing firm that can handle all of these responsibilities for them. This frees up time for business owners to focus on other critical areas of their operations.
Let's shift gears now and look at the major reasons why working with a marketing firm is a good idea.
1. Dedicated sources to generate leads and stronger visibility
As previously said, one of the most significant marketing issues for many SMBs is a lack of leads and low visibility.
When you don't know the right tactics for finding leads, it can feel like looking for a needle in a haystack. Furthermore, the majority of buyers will be unfamiliar with lesser-known brands. SMBs face an uphill struggle in terms of creating visibility, familiarity, and trust with prospects as a result of this. Every marketing agency's main goal is to increase visibility and develop techniques for bringing in new prospects. The foundation for a good marketing strategy is laid by these two approaches.
Diversifying the marketing mix to target multiple consumer bases is the key to increasing awareness and lead creation. However, depending on the consumer category or aim, each channel must be optimized.
This is a difficult task for SMBs to complete because it typically entails a lot of content development, planning, and monitoring. On the surface, this is why it's advisable to hire a marketing firm to carry out the strategy.
2. You're working closely with the experts
Marketing firms take pleasure in hiring only the best workers, who often have a diverse spectrum of experience in a variety of industries. Marketers who specialize in specific areas, such as your company's industry or a specific approach, can be found through marketing companies.
SMBs can, of course, engage an in-house marketer or even a small marketing team. While these marketers are educated and accomplished, you can usually find more experienced marketers at a lower cost through an agency. You may not be able to hire (or afford) such senior marketers in-house as an SMB, but you can engage them through an agency.
These duties can be difficult for SMB owners who have minimal marketing experience. This is frequently the bread and butter for marketing firms.
Their marketers understand the value of branding for small businesses and have years of experience assisting other firms with this process. You have access to specialists who know which methods will perform best for your brand when you employ a marketing firm.
3. It is less expensive
Small business owners are well aware that hiring new staff is an expensive procedure – and not only because of the additional money on the books. Due to costs associated with recruiting, onboarding, and training, it costs an average of $4,129 for a company to acquire a new team member.
Working with a marketing agency is not always cheap, and you get what you pay for. Many companies provide a variety of pricing alternatives so that small businesses can obtain the services they require without exceeding their budget.
Marketing firms will typically provide one or more of the following price structures:
Dedicated Resource or Project Contracts -If you only want to buy specific services or have an agency help you with a specific project (like creating the digital web content or improving your ongoing SEO), they will usually provide you with predetermined monthly pricing for specific projects and then assign you an employee to work with you based on your needs. This is effectively the same as hiring an expert on staff, but at a far lower cost.
Ad-Hoc Pricing Model - The ad-hoc model is likely to be the best solution if you simply require help with modest projects like constructing a landing page. Setting an hourly wage and recruiting marketers through the agency for the work at hand are both part of this process.
Fixed Price - SMBs might choose to pay a predetermined fee (usually per month) for marketing support in order to get the most out of it. The agency will draft a contract specifying the sort of support that will be provided, such as a monthly amount of blog entries.
Marketing necessitates a full-time commitment. Hiring an agency might save you a lot of time compared to attempting to handle these chores on your own. Time is money, and delegating the heavy labor to an agency allows you to focus more time and resources on running your company.
4. Marketing firms have a track record of success and proven knowledge
Small business owners are accustomed to taking chances, but when it comes to marketing, you want to avoid them as much as possible. Fortunately, most marketing organizations can frequently demonstrate their worth through case studies from previous initiatives.
It's worth noting that marketing firms can't promise precise outcomes, such as a specified percentage increase in web traffic or income. If an agency makes these types of claims, you should generally avoid them since it's a hint that they'll lie about their outcomes to meet their objectives.
Marketing companies that are honest and trustworthy will have metrics from previous clients to demonstrate the value they offer to other organizations. This might include metric reports with graphs and data from previous campaigns, or case studies demonstrating the effectiveness of various techniques in other sectors.
When you employ a marketing firm, they may assist you with many aspects of running a small business, including (but not limited to):
Writing marketing content (product pages, website content, blogs, videos, social media posts, etc.)
Advertisement (paid targeted ads on digital marketing platforms)
Email marketing and retargeted advertisements are two methods for nurturing leads
All critical indicators, such as ROI, web traffic, bounce rates, conversion rates, and ad reach, are tracked and measured
Scaling tactics to help SMBs develop and achieve their objectives
USP (Unique Selling Point) business implementation
Look for a full-service marketing firm to make your life simpler. For small businesses, having a one-stop-shop that can handle all parts of marketing, such as web design, content development, SEO, public relations, email, SMS funnels, lead nurturing, sequences, and more, is ideal.
5. Marketing firms are allies in your quest for success
While each client's outcomes may differ, marketing methods have a very high average return on investment.
Marketing businesses, after all, want to see their clients thrive, and they'll go to tremendous measures to keep you as a satisfied customer. Engaging a marketing agency is an investment that pays off over time, not an expense.
Keep in mind that the majority of marketing companies are also small businesses. They understand the challenges, but they also understand how to improve growth tactics. They've figured you out. They aim to assist you so that both businesses prosper.
Digital marketing isn't always straightforward, especially when you're running a small business with a lot on your plate. The thing about marketing is that the more effort you put in, the more results you will see. Not many small businesses can afford the time or money to develop a complete strategy.
Hiring a marketing firm may help you take your company to the next level by increasing brand awareness, audience reach, and, of course, income. They'll work with you to help you build your brand and achieve goals you never believed possible.