It’s a common scenario. The small business starts out with a tiny, lean marketing machine full of execution-focused worker bees to help it get off the ground. This lean team fits with the startup model during the space and time of ground zero.
Over time, that small business outgrows its lean marketing unit and begins to crave a higher level of leadership - a vision to catapult the organization toward its goals. Why hire a fractional CMO vs. full-time CMO?
It’s a normal progression of events. The time comes to enlist the services of a CMO in some capacity, and the situation begs the question: to hire full-time or fractional. The benefits of having a CMO are extensive, and the decision to go with a full-time Chief Marketing Officer or outsource to a fractional CMO is an essential part of your strategy.
Building a marketing team from the ground up is a task that does not come without a heavy investment in time and money. More and more savvy businesses (of all sizes) are opting to go the fractional CMO route. Before we get into an in-depth, side-by-side comparison, let’s review the costs of building a marketing department from the ground up.
The costs of building a marketing department from the ground up include:
Inhouse Marketing Team Costs | Value Add Of Fractional Model |
1 CMO | $300,000* | Retainer ranges |
$250/hour - $150/hour |
Marketing Manager | $71,000 | Small to midsize company budget |
$120,000 - $96,000/year |
Graphic Artist | $43,000 | Ramp up time |
2-3 weeks not 90-180 days for a full-time employee |
Content Copywriter | $48,000 | ||
Paid Social/Search Manager | $65,000 | ||
Total Salary Cost | $527,000 | ||
Insurance/benefits | $79,000 | ||
*Cost | $606,000 | *Cost | $120,000 |
*CMO salary estimate which includes salary plus cash bonus, commission, and profit sharing.
*Estimates based on national average salaries from Glassdoor.com.
Why the fractional CMO makes good business sense - Beyond the cost savings as outlined above, in many cases, it makes sense to go with a fractional CMO. A mindset shift may be required for the business not to have their marketing team in-house, but the hiring of a fractional marketing CMO can make good business sense. Here are three ways for making the case for a fractional CMO and why many executive leaders are turning their attention and strategy to this option:
Rutkin Marketing is standing by to partner with your business and take it to the next level. Our fractional CMO model has helped countless small and midsize businesses find the impact and results they were seeking in a shorter and more cost-effective time frame. It all starts with a free discovery session to discuss your needs and the pathway to getting results. Let’s get started today.