Outsourcing vs. In-House

HUA OUTSO URCING VS. IN-HOUSE MARKETING Marketing is a daunting task for any business, regardless of size. The easiest way to manage is, simply, outsourcing it to a highly trained Specialist - someone who will work with you and your company's unique needs instead of handing you a one-size-fits-all marketing philosophy. Increase Tactical marketing plans for 2011 Decrease Companies plan to increase Internet, Social Media, PR and to a lesser extent, Promotions. INTERNET 97% - 3% SOCIAL MEDIA 96.9% 3.1% OTHER 87.5% 12.5% PUBLICITY 83.9% 16.1% PROMOTIONS 72% 28% TRADE SHOWS 34.6% 65.4% ADVERTISING 30% 70% Source: http://icollagebiz.blogspot.com/2011_02_01_archive.html 2011 B2B Marketing Budget Trends Comparing Service Delivery Paradigms 66% Increase Marketing Activities & Budgets Stay The Same As In-House The Fiscal Year 28.5% Decrease Marketing Activities & Budgets Outsourcing 5.5% Breadth of Solutions Source: http://icollagebiz.blogspot.com/2011_02_01_archive.html Oursourcing In-House Vs. Cost-cutting may not be the only reason to outsource a i not my businesses thoroughly understand the long-term benefits that wise outsourcing can proide Capital Costs You have to establish a separate in-house setup for the purpose of marketing. Outsourcing converts fixed costs into variable costs, releases capital for investment elsewhere in your business, and allows you to avoid large expenditures in the early stages of your business. Efficiency Increase efficiency. An outside provider's cost structure and economy of scale can give your firm an important competitive advantage. Companies that do everything themselves have much higher research, development, marketing, and distribution expenses, all of which must be passed on to customers. Labor Costs Reduce labor costs. Outsourcing lets you focus your human resources where you need them most. Hiring and training staff for short-term or peripheral projects can be very expensive, and temporary employees don't always live up to your expectations. Quick Start Start new projects quickly. A good outsourcing firm has the resources to start a project right away. Handling the same project in-house might involve taking weeks or months to hire the right people, train them, and provide the support they need. Focus Focus on your core business. Outsourcing can help your business to shift its focus from peripheral activities toward work that serves the customer, and it can help managers set their priorities more clearly. Every business has limited resources, and every manager has limited time and attention. Scale Level the playing field. Outsourcing can help small firms act "big" by giving them access to the same economies of scale, efficiency, and expertise that large companies enjoy. Most small firms simply can't afford to match the in-house support services that larger companies maintain. Risks Reduce risk. Outsourcing providers assume and manage this risk for you, and they generally are much better at deciding how to avoid risk in their areas of expertise. Markets, competition, and technologies all change very quickly and every business investment carries a certain amount of risk that in-house handling must take. Quality of Service Marketing outsourcing improves the quality of service. The right outsource team will have had experience with a variety of different marketing and communication strategies, techniques, and tools. An in-house team may not have developed the expertise you need and you have to spend time, effort, money, and energy to manage or train the entire team. Stress External firms can help reduce performances' stress because the outside partner is responsible for the Inexpert internal personnel are more likely to get stressed when they have to respond for the results. results achieved. Source: http://www.allbusiness.com/human-resources/workforce-management-hiring/1084-1.html Decreasing Time to Value Increasing Cost