We’re not the first to tell you that 2020 has been full of twists, to say the least.
Like most of these curveballs, our topic today is a cyclical trend that’s simply been kicked into overdrive by the changes in workplace dynamics and, unfortunately, by the economic realities of our time.
In recent years, the marketing world has been making slow, but steady movement toward in-house agencies and marketing teams.
Companies have subscribed to the idea that bringing marketing under the brand umbrella, while almost always more expensive, pays dividends in the resources saved by having a team dedicated solely to one “client” rather than needing to manage multiple shops and bringing newcomers up to speed on projects.
In the wake of COVID-19, however, we’re starting to see the pendulum swinging back in the other direction.
In a survey of marketers earlier this year, our report showed that while brands continue to employ in-house teams, we’re seeing consistent data that these teams are shrinking because of the economic implications of the pandemic.
Unfortunately, brand marketing teams once again find themselves at the forefront of cost-saving cuts.
As these teams shrink, we’re seeing marketers like you, seeking a less expensive, less permanent, more flexible method of executing their marketing initiatives – initiatives that, for 68% of marketers according to data later in the same report (taken in May), will include either steady or increased spending moving toward the end of the year.
Enter outside agencies.
Beyond the data we’ve gathered in our work with both marketers and agencies, this is a trend we’ve also seen anecdotally in the marketing world at-large: just last month AARP completed an agency review, moving to BBDO NY.
As a brand that had once been known to own all marketing processes in house, this is a canary in the coal mine for a growing return to external shops.
As in-house marketing teams continue to shrink, a small- to medium-size agency is your best bet for maintaining your marketing output at a lower cost that can be scaled up or down as needed.
We specialize in finding those agencies for you, the marketer, and even better than a low-cost option, we do it at no cost to you.