A fractional CMO agency is a type of marketing agency that provides chief marketing officer (CMO) services on a part-time or project basis. Essentially, fractional CMOs act as outsourced CMOs, working with companies on flexible schedules to help them achieve their marketing goals.
It is worth noting that fractional CMO agencies offer a wide range of marketing services, including:
By working with a fractional CMO agency, companies can tap into the expertise of a seasoned marketing professional without the cost and commitment of hiring a full-time CMO.
As companies look to stay competitive in an ever-changing business landscape, fractional CMO agencies are becoming an increasingly popular option for businesses of all sizes. However, one thing that must not be overlooked is the fractional CMO cost to a business.
When compared to a full-time CMO, one of the biggest advantages of working with a fractional CMO agency is the cost savings. The cost of a fractional CMO is typically a fraction of the cost of a full-time CMO, making it a more cost-effective option for many companies.
The first is the hourly rate, which ranges from $150 to $375 per hour. While it may seem like a lot, they only work on a part-time basis according to your business needs. This can be a good option for businesses that are just starting out and don’t need a full-time CMO.
On the other hand, as of December 2022, the yearly salary of a full-time CMO would range from $294,719 to $415,038. Note that this does not include any additional benefits expected, such as healthcare and travel benefits. Even a small or medium-sized company may not have the budget for a full-time CMO.
It’s also important to note that a fractional CMO agency will only work with a company for a set number of hours or on a specific project, while a full-time CMO would be on the payroll all year round. For companies with fluctuating workloads or seasonal businesses, a fractional CMO can be a more cost-effective option, enabling them to scale up or down their marketing efforts as needed.
Other than the cost, there are also additional benefits to hiring a fractional CMO agency, such as:
For companies looking for a cost-effective and flexible option for their marketing needs, a fractional CMO agency can be an excellent choice. While the costs of a fractional CMO are lower than those of a full-time CMO, they still provide access to the skills and expertise needed to drive a company’s marketing efforts forward.
Contact us here if you would like to find the best fractional CMO for your business.
When small to medium businesses are looking to hire fractional CMO agencies, they are often faced with the challenge of picking which fractional CMO agency would best suit their unique needs. Note that this goes beyond just fractional CMO rates, as an organization needs to ensure they choose an agency that will meet their expectations.
Below are five considerations for businesses when choosing a fractional CMO agency:
When working with a fractional CMO agency, you will need to work with them to develop a comprehensive marketing strategy that aligns with your overall business goals. Business goals can vary significantly depending on the industry and the company’s growth stage.
For example, a startup may focus more on building brand awareness, while a more established company may be looking to increase sales and expand its market share. Thus, you want to look for a fractional CMO agency that understands your company’s position and can tailor its services to best meet those needs.
As you do so, don’t forget to analyze the fractional CMO cost and whether or not your company can afford the fees.
If you are looking for a fractional CMO for hire and stumble upon an agency that interests you, always try and analyze their processes and get to know its team.
A fractional CMO agency’s process refers to the methods and techniques it uses to develop and implement marketing strategies. The agency’s process should be thorough and well-defined, taking into account a company’s business goals and target audience. It should also be flexible, allowing for adjustments and changes as needed. A good agency should be able to explain its process and how it aligns with your company’s objectives.
As for the team, the marketing agency should have a team of experienced and qualified professionals who are able to provide a wide range of marketing services. The marketing team should be diverse and include experts in areas such as branding, lead generation, and marketing automation.
Reviews and testimonials can provide valuable information about an agency’s performance, such as the effectiveness of their marketing strategies, the quality of their customer service, and their ability to meet deadlines. They also can provide insight into the agency’s area of expertise and the size of companies they have worked with in the past. All of this information can help you make a more informed decision when choosing a fractional CMO agency.
Look for the agency’s reviews on review sites, or you can read the reviews on their own website. A number of agencies tend to post testimonials on their own websites as a way of proving their credibility.
Also, be sure to look for patterns in customer feedback. If multiple clients have had positive experiences with an agency, that generally indicates that the agency is able to deliver results. On the other hand, if an agency has consistent negative feedback or low ratings, that could be an indication that the agency may not be the right fit.
As was previously mentioned, cost is one of the reasons for companies to choose a fractional CMO over a full-time CMO. However, each fractional CMO agency has its own pricing structure/pricing model.
Costs can vary greatly depending on the agency and the specific services being provided. For example, some agencies may offer a lower hourly rate but charge additional fees for certain services (SEO, social media marketing, etc.), while others may have a higher hourly rate but include more services in their base package.
Thoroughly research the costs associated with each agency and how they align with your marketing budget. However, don’t just let the cost of service be the main deciding factor. You should also consider the value that an agency can bring with its marketing efforts.
An agency that delivers excellent results and generates a positive ROI can be well worth the investment, even if it comes with a higher price tag.
Every company will have key players/stakeholders who will be affected by a fractional CMO agency’s marketing efforts. They include individuals from departments such as sales, product development, and IT, who will help ensure that the agency understands the unique challenges and opportunities that each department faces.
This can lead to more effective and targeted marketing strategies that align with the company’s overall goals and objectives. Also, involving key players also helps to gain buy-in and commitment from stakeholders. When key players have been involved in the selection process, they are more likely to be invested in the success of the marketing strategy and to actively support the initiatives that come out of it.
By evaluating the above mentioned factors, businesses can make an informed decision and choose a fractional CMO agency that aligns with their budget, marketing needs, and overall business objectives.
We have discussed the five key factors that you should consider when looking for a fractional CMO agency. If you are undecided, you may want to consider Strategic Pete.
At Strategic Pete, we understand that as a business owner, you wear many hats and have limited resources. That’s why we offer fractional CMO services that give you access to the expertise and skills of a full-time chief marketing officer, without the high cost of hiring one in-house.
Our team of experienced marketing professionals will work closely with you to understand your business, goals, and target audience. We’ll then create a tailored marketing strategy that is designed to drive growth and increase revenue. And, unlike traditional agencies, we won’t just execute the plan and disappear.
We’ll educate and empower you so that you can continue to run successful campaigns long after our engagement ends. By choosing Strategic Pete, you’ll not only get results, but also the knowledge and tools you need to achieve long-term success.For more on recent trends in digital marketing, read our blog and talk to us if you are considering a fractional CMO agency.