Many companies want a bigger, stronger, and more productive online audience. So, it makes sense to look toward the Internet when they need help, right? It seems a common answer is “no”.
It may seem strange that so many companies need and want help to market themselves better online, but yet, turn to an offline connection to help them do it. A lot of companies who are in the market to hire a consultant for their online marketing are seeking a warm handshake, meetings in-person, and looks in the eye. They are understandably cautious about this sort of service. It makes sense, but yet it doesn’t.
The topic came up in a conversation with a friend earlier today. He is excited about partnering with a company that provides social media consulting services. He gave me the web address, and said he had spoken to them about how I am able to help them with their online presence. It sounds crazy, right? The social media consulting company needs social media help.
What shook me was that he said they have more business than they can presently handle, but their online presence is miserable. How miserable? They have sent under 100 tweets on Twitter, their latest video on YouTube had under 50 views and was uploaded over a year ago, and more than I can express, it was simply atrocious! Even the big rage online marketers have been touting lately … Klout (the online influence measurement company) did not have a profile for them.
Oh, but they’re selling like mad, so it really made me question the logic. How can somebody be successful at something without a demonstrated ability to do it? Even if they can do it, how can they be taken seriously if they don’t practice what they preach? This may sound just a bit jealous, but for many years, I thought I actually had to prove that I know my business. I have been wrong, and I see similar instances all the time. I think they must just smell really good, but I’ll explain that.
This is one side of the hypocrisy, but I’m not to the good part yet … the buyer’s hypocrisy.
Smelling is Not Due Diligence … Research Is!
I certainly recognize and respect the human aspects of doing business. It feels good to look somebody in the eye, and a lot of people believe they can tell a person’s integrity from their body language. Of course, it helps if you have training in the field of psychology, or spent some time as an F.B.I. agent. Let me tell you, though, there are plenty of people who will fake anything for money … I’ve met some of them.
I’d like to point out some things I’ve learned from over a decade and a half in a line of work where I have met less than one tenth of one percent of my customers in person. It really doesn’t hold the benefit to the client that most people imagine and hope for. It actually turns out that it is a whole lot more beneficial to the seller than the buyer.
Here’s where the buyer’s perception gets screwy. Think about this for a moment: Doesn’t this seem hypocritical to imagine a company that wants to sell more online, but cannot make their own fact-based judgments online? Companies often seek the faith of their customers online, but they, themselves, do not have the faith they ask from others. They have the tools at their disposal for making rational and logical decisions, but prefer to use a less effective and less objective tool set, in their meeting room. What’s worse, it often hurts the buyer, by opening them up to whatever brand of fairy dust is being pumped into the room.
Meeting in person will not tell you if somebody knows the Internet as accurately as their demonstrated abilities online will show. In fact, it will show a whole lot less than spending some time with our old friend Google. The only thing shaking hands and talking in a meeting room will reliably prove is whether they know more about the Internet than you do. It will not prove whether they know more than your competitor, and it will not prove whether they know how to produce an appropriately targeted audience, or even a fraction of what they say. Spending time researching them online is what proves those things.
Sitting across a table will not tell you if they are a crook. Ironically, you have to look online for that! The only thing it will really tell you beyond what you can learn online, over a telephone communication, or a Skype video conference is how they smell.
I’ll just tell you right now … I smell like cigarette smoke and coffee, but I can bend a crooked online marketer over my knee and whip them like the crybaby sissy bed-wetter they are.
Rational Thinking Eludes Confused People
It may just be a little too rational for companies to seek social media services where they can actually shop and compare, and can see who has demonstrated abilities or does not. Companies are made up of people, and people are not rational and logical about things they don’t fully understand, such as social media marketing, search engine optimization, and other areas of online marketing.
I’m too deep in the online side of this equation to be objective, but I categorize this as an absurdity. It seems as hypocritical as it gets for a company to ask customers for faith in something they fear too much to embrace. My best guess is that they are just waiting for a good smelling pitch man.
What do you think? Please share your comments on the topic.
Oh, but wait … here is some bonus material.
Where Can You Find Good Marketing People, and How Will You Know?
Just when I thought I was done writing about this topic, I realized that it leaves a question open about a better way to seek an online marketing professional. I do not have all the perfect answers, because that question has a lot of possible conclusions. I’ll give you a couple thoughts that may help you.
First and foremost, consider how you arrived here. If somebody sent you here, ask them what else they know. Sure, there may be a few dummies reading my blog, but I would suggest that many of them I have encountered are pretty bright, and have a strong interest in the areas of social media marketing and/or SEO. Look at the comments here on this article and check those people out. If they have been reading for a while, they probably have some pretty good ideas about marketing online.
Of course, if you arrived because I brought you here … call me … ask questions. I am for hire! Even if I cannot help you, I’ll try to suggest a good match and avoid a costly catastrophe. I am not a good fit for everybody, and I only take on one to three clients at any given time, but I sure know a lot of quality people in my line of work.
Your best fit will depend on your needs and expectations. If you want marketing excellence, it may require more digging, and the investment will be much higher.
If you are trying to keep within a small budget, or you have a tight time frame, be sure to understand how and why it will affect you return on investment. Discuss this with any potential marketing professional you are considering. Be sure they have an acceptable answer for you.
I must suggest, just as I have previously explained about search engine optimization, many of the best marketing people are not looking for you. It is also true, in my case, and I believe many other do not enjoy the sales process of their work as well as they enjoy the work they do. So, it may be best to not expect them to do a lot of schmoozing.
In any instance, the most important factors regarding their experience and knowledge will be found online. If they are good in their line of work, they will be very easy to discover with a search for their name on Google. Look at what they are doing online. Check them out. See what others are saying about them. Read their blog … a lot! It will give you a much clearer view of their ideas and their methods.
Finding the right fit will be worth your effort. Due diligence takes patience, but it will save you a lot of money and hassles! On the other hand, a horrible mistake I see companies endure is believing that because a friend, acquaintance, or somebody in their area knows just a little about Twitter or Facebook, they are safer with that, than to risk the effort and do a little research. Maybe they really are the right one, or maybe they are not. If the way they smell is used as a primary measurement, the company gets what they deserve. It is often how companies end up with fakes like these “marketing experts”.
Many people have a very confused view of social media, and I can understand why. If you just look at all the ways social media is used, there should be little wonder how people confuse the issues. Some of the most bewildering concerns I notice surrounding social media are the return on investment (ROI) and the cost of social media marketing.
Millions of the world’s businesses understand by now that an investment in social media is vital to their success. Tragically, many of the same businesses are generally clueless about how and why they spend money with social media, and how to optimize their spending for the best results.
These same confused companies are further complicated by misguided notions that social media is limited to, or primarily intended only for personal socializing. They are the companies who question why a business would use Twitter, because that is where people announce what they had for lunch, LinkedIn is just for job-hunters, and Facebook is where old high school friends swap stories. That is social networking, and networking is important, but it is only one facet of social media. If you confuse this, and think that social networking is the basis for social media marketing, you will waste a huge amount of energy trying to sell to your friends, and others who already know you.
Believing that social media is just for personal socializing is a costly absurdity. It is the kind of absurdity that some companies will only discover after competitors have stolen away enough market share to demand attention.
Because of a lot of confusion, some people will say that the return on investment (ROI) of social media marketing is difficult or impossible to accurately calculate. I don’t think that is the case at all. If you have the right variables, calculating the ROI of social media becomes just another mathematical equation. The trouble is that so many people neglect or overlook the measurable data that really counts.
Social Media ROI Causes for Confusion
A first step to calculating the ROI of a social media campaign is to have a clearly defined campaign. That means having a strategy in place, and not just a list of tactics. It means producing a plan with a set of measurable outcomes. It requires creating and collecting customer modeling data, and using that data to reach your target audience.
Read the Social Media Signals
I have read and participated in a lot of conflicting discussions and possible answers about social media ROI, and most of it is very inaccurate or misleading. Many people will intentionally leave it open for a lot of confusion. After all, if people are confused, it is a lot easier to charge them money for things that are of little or no benefit. Calculating the ROI of social media is actually very basic, but that’s not what the failed real estate agent turned instant marketer wants you to believe. If they can convince you to just wait a little longer to see measurable results, they get paid more. Because of ignorance and greed, the debate of return on investment may never end.
In order to try and bring a little more clarity, let’s address two huge variables.
Social Media Branding vs. Increased Sales
Two very popular considerations for growing a business using social media are branding and increased sales. The two should work well together, but let’s face it, a brand can be really popular and still have a bigger drain hole than spigot. Even the most brilliant branding does not always make the sales hose filling your bucket as fast and powerful as the money drain leaving your bucket. There has to be a balance in order for the efforts to be sustainable and valuable to the company.
I find it very common for companies to lean too far in one direction or the other in their goals and attempts for successfully reaching their market. Confusing the value and cost of branding with the value and cost of increased sales is often when measuring social media ROI becomes completely muddled. Producing a balanced strategy is simply not as intuitive as most companies expect.
Building your brand name is extremely important. It builds recognition, trust, and sets your tone among the many other competing brands. It does not always have a proportionate result in sales. If you doubt it, look at it like this: You have probably encountered many great brands via social media, while it still didn’t bring you closer to buying from them.
In many instances, building your brand recognition will seem like it takes on a life of its own. When it gets to a certain point, it will grow and change, even without your input. People will talk about you more, and they will pass along your virtues by way of social media. They share your brand on Facebook, tweet about your brand, and they will become an influence to your brand (if you are paying attention).
Now, what about building those social-media-induced sales? All of the touchy-feely great branding and kind words about you can still lack a good reason to buy from you. There are a lot of companies I really like, but I am simply not their target audience. When I know somebody who can benefit from those brands, I pass them along. The brand reaches their target through me, and others like me, who become their connectors to their ideal target audience.
This is a fantastic outcome, but let’s face it, it is not always as efficient or as easy to come by as you may wish. It takes a lot of effort, and a lot of brilliance to produce a sustainable and self-propagating level of branding. It is a highly effective strategy for long-term growth, but it is also a very ambitious and frightening marketing endeavor in the beginning. Thus, a need for a balance between short-term and long-term marketing strategy.
Social Media Marketing is Branding, Advertising, and Much More!
I believe that some of the worst points of confusion in social media marketing come back to what marketing is, or is not. Both branding (long-term) and advertising (short-term and long-term) are extremely valuable when they are done well, but they require very different measurements to accurately calculate their respective ROI.
Which Way is the Right Way?
Companies often skip steps in their marketing, and then wonder why it is not measurable. This is especially common in smaller companies, because it is nobody’s full-time job to understand, monitor, and measure the company’s successes in this area. Instead, a lot of companies will try and “wing it” by assigning marketing tasks as an add-on to other job descriptions.
This is most profound as it applies to social media, but often because the people actually writing the checks have never had somebody explain the value and potential of social media from a marketing perspective. So they often just pin a badge of “Marketing Expert” on an unsuspecting employee who seems to have some aptitude (has a Facebook account).
When you decide how to set your prices for something, it is marketing. When you perform a market feasibility study, it is marketing. When you accumulate customer modeling data and use that information to better understand what people want and need from your company, it is marketing. When you set up a new Facebook or Twitter account and cross your fingers and hope for amazing business results, that is not marketing. That is dreaming. Dreaming is not measurable, and only seldom is it profitable.
Aside From Being Social, Why Should People Buy From You?
Without an expressed reason for people to become your customer, efforts will generally fall into the category of branding. This includes when they are right there on your blog, where you want them to be. As an example, I use my blogs and social networks for reaching out to be helpful, and that emphasizes my branding. When I say “I take coffee and cigarettes and turn them into better SEO and social media marketing.” … that is my brand. All of that helpfulness and broad recognition in my industry is great. It leads to many opportunities, but it is not what actually makes the sale.
On the other hand, when I say “Call me to find out how I can help you to grow your business with a measurable return on investment” … that is advertising, and that is also marketing, but it is not branding. It is how I earn a living, and it is what improves my social media ROI. The branding is just what makes more people comfortable to call, and confident when they write me the check.
As you can imagine, when it comes to spreading a word far and wide, branding statements and being useful to others will often reach further and faster. This is because they are generally non-threatening to anybody. While, although this information is good food for thought and useful to many, I have already diminished much of its social media reach by making an advertorial statement (above).
Regardless how useful what I wrote here is, many people will be far less likely to share it with others. Part of that is due to cynicism, and part of it is due to competition. It takes a lot of branding to make up for and repair cynicism and people’s disinterest and distrust toward advertorials, even within a useful context. This is why I say that a balance is very important.
If you do not understand and differentiate the value measurements of branding and the value measurements of other areas of your marketing, calculating your return on investment will always be a bit cloudy and confusing.
Am I wrong? Go ahead and tell me why and we will hash it out until one of us agrees. 😉
I know this may seem impossible in 2011, but I discover many companies that do not yet fully appreciate the value of social media and the long-term equity it can build for their business.
A lot of companies understand the value of their brand being visible in many places online, and some will understand the value of those people who help to grow its visibility. Only a relatively few actually look forward beyond the horizon to understand the greater value that social media represents over an extended time.
When I hear people say things like “we just don’t have time for all of that” or worse, “we don’t have the staff for that”, it always leaves me shaking my head. It reminds me why only a small percentage of businesses account for the lion’s share of their market. It is explained well by Joseph Juran’s well documented “Pareto Principle” named for Vilfredo Pareto. Many people know the Pareto Principle as the 80/20 Rule.
Consider the Interruption of Marketing
Think as a consumer for a moment, and consider the way you shut down to marketing. Think about how your brain just goes in another direction when companies interrupt you with their marketing and try to sell you stuff. We are each inundated by a constant barrage of commercial information about everything from A to Z in our daily lives. This is why we fast-forward through commercials on television, we screen our telephone calls, and we are seasoned to ignore advertisements on websites. Interruption Marketing Train Coming Through
Unless you are really tired and vulnerable, you probably don’t stay tuned to that late night infomercial about something you really never knew you needed. Although, I can almost bet that you can remember a time when you thought “why in the hell am I still watching this?” Perhaps you can even remember thinking “Holy crap … I was about three seconds from picking up the phone to buy one of those” or even “Damn, I bought this … why did I buy this?!” It happens, and we each have our weaknesses, but let’s face it, we are far better adapted to turning away from all the hype. Otherwise, if marketers had their way, you would own one of everything, and you would have worthless crap in every nook and cranny, and stacked to your ceiling.
For the most part, we consumers make efforts to avoid these awkward moments which compel us to buy things. Why? Maybe it is just because, deep down, we hate saying “no”. If we can avoid the pitch, we can avoid wanting something, and thus, avoid saying “no” to our own urges, and the urges of those squillion salespeople out there.
Maybe you are different, and you enjoy that marketing interruption, but in that case, you are not like most people. I am addressing most people.
Marketing Got Sneakier With Social Media
Since there was so much information out there interrupting our days and nights, as a collective group, consumers became more cautious. We decided to make companies earn our business. Of course, the economy of the past few years has helped this along faster than ever. The timing was perfect for social media marketing to explode like a shot from a gun.
Maybe you like it, or maybe you don’t, but let’s face it, marketing got a whole lot sneakier. It became more targeted, and marketers became better spies. Effective marketing today utilizes more information, better strategies, and just a bit of James Bond 007-style of thinking. Marketing Became Targeted and Marketers Became Better Spies
As consumers, we became more cautious and protective of ourselves. We got really smart and created clever ways to filter our television ad consumption, filter our email, and filter our social media.
In order to effectively reach us consumers, marketers have been forced to provide a greater value proposition. This is a hard concept for many companies to grasp. Today’s successful companies are giving before they take, and the ones giving the most are receiving the most.
Today, people are more likely than ever to make purchasing decisions based on trust, reputation, and a good old fashioned sense that the company gives a damn about us. We have come to expect it, and whether you feel this way yet or not, it is a sweeping trend. People want to do business with people, and with brands represented by people. The world is building relationships with brands, and those relationships are worth money … a lot of money. Missing this fact is a very costly mistake.
You can consider it sneaky, or you can consider it a welcomed gift, but brands are in our lives to stay. We will always need to buy things, and we buy from the companies and the people we feel good about. When the brand is there to help us with information, and with a legitimate desire to help us make good decisions, they win, and we buy.
Shortsighted Brands Damage Their Social Media Future
A huge obstacle which gets in the way of social media marketing is time. Companies want everything, and they want it right now. It is understandable, but when companies forget the importance and value of longevity, and when they feel the breath of their competitors on the back of their neck, they can be quite irrational.
Smart Companies Have a Social Media Vision
Smart companies look far ahead into the future. Rather than take a reactive and panicked approach to a weak quarterly report, they work with an eye toward longer goals. Strong companies can look farther ahead, and that is why they succeed farther into the future. Applying this to social media marketing means doing business the right way, and not simply with the urgency of trying to force a brand down the consumer’s throat. This means doing business on the customer’s terms and timelines, and not only in a one-way company-centric method of the past. Consumers respect companies for this, and they return with even more consumers following closely behind them.
What About Social Media Marketing Equity?
I know that for some people, it is easy to look at social media as a bunch of time-wasting crazy people who believe that somehow the world’s consumers will come flocking to their front door just by using a nice, soft approach and patting everybody on the butt with nice words. Well, maybe yes, and maybe no, but there is a very significant value in a good reputation. Reputations do not just happen … they are built. It takes a lot of effort to build a good reputation, and it takes both words, and deeds.
Anybody in business today should understand the value of word of mouth. What people say about a company, whether good or bad, forms consumer’s perceptions of a brand. More than ever before, they are not just picking up the telephone and talking to a friend, or talking about companies at a lunch meeting. They are talking about them in large groups such as Facebook, Twitter, LinkedIn, YouTube, and etcetera.
Whether the perception is good or bad, they will be talking. Either outcome cannot be controlled by a company, but when a company is not involved in their own brand message, they are missing huge opportunities. Even a negative statement made in social media is an opportunity to make things better with customers, and other potential customers who are silently watching.
People really do notice what companies are doing online. I realize that for a lot of companies, this just seems impossible, and they do not have a good grasp on how to track their reputation. Just because a company does not really “get it” does not keep them out of trouble. This would be about as silly as trying to talk your way out of a speeding ticket just because you didn’t read the speed limit sign. It just doesn’t work that way.
If you feel a bit lost about the value of social media, it is time to read the signs.
If you feel like you still have more to learn, please subscribe to my blog, and as always, feel free to email me or ring me on the phone. I am always happy to hear from readers and to brainstorm.
I hope that you have found this useful, and I would really appreciate your comments.
Photo Credits:
Skyline photo by Hackfish via Wikipedia
Train Crossing photo by Paul Heaberlin via Flickr
Sell More Paper Clips!
Think about paper clips for a moment. They are about the most basic thing you will find in your desk drawer. When you consider your marketing, try to imagine selling paper clips. You probably do not think much about what brand you are buying when you need to replenish your paper clip supply. This is likely true of your product or service, too. Unless people have a good reason to remember you, it will be a lot harder to grow your paper clip market share and to become more prosperous.
If you challenged multiple companies with a truckload of paper clips to sell, somebody would sell out sooner than the rest. One would almost surely hit their stride and empty that truckload of paper clips before the others, and there must be a reason.
A basic essential of marketing is to get people to talk about you in a positive way. When other people talk about your brand, it is far more valuable than when you talk about your brand. This is proven every day, and in many markets. Just think about the ones you remember and why you remember them.
In order to emphasize the point, I have created this short video to show you how to sell more paper clips. I hope that you will enjoy it.
Addendum: After comments from Jim Rudnick at Canuck SEO (JVRudnick) both below and on social networks, I picked up the phone to call and thank him. We chatted and he told me of a remarkable story about a man who traded a paper clip for a house. If you doubt the value of good marketing and how to build value in something as simple as a paper clip, you should see the story of Tyler Wright.Thanks for sharing, Jim!
Many companies will face the question of whether to outsource SEO (search engine optimization) or to hire in-house SEO professionals to improve, manage, and monitor search engine optimization and other Internet marketing efforts. Of course, some companies will overlook the need for search engine optimization, branding, and online reputation management altogether, but don’t worry about them. They will not likely steal away any of your market share, so whichever of these options works best for your company, it is better than overlooking the question.
I have witnessed many arguments on each side of this topic, but most do not give fair and unbiased consideration to each viewpoint. I intend for this to be useful to companies seeking to hire SEO services, freelance and agency search engine optimizers, and in-house SEO who may not be getting what they are worth. My goal is to remain as objective as possible and to discuss something of a potential trend in the online marketing industry.
First Consideration: Who Needs SEO, and How Much?
I want to address one very important consideration right upfront, and that is the question of “who needs search engine optimization?” I do not want to carry on with this part too long, because it should be obvious, and otherwise you would probably not be reading this. There is scarcely a company in existence that will not benefit from proper search engine optimization and Internet marketing. The benefits are measurable, and the factual data proves the importance. A challenging part of the question is in how the SEO efforts you put forth will most greatly increase the bottom line of your company. You would probably not pay a sales representative more money than they return for the company, and SEO is not so different in this respect. You should expect more profit.
In an unbiased fashion, I want to make it really clear that success mostly depends on the skill level implemented and dedication to the campaign. Even very small companies can benefit from either a full-time in-house SEO (search engine optimizer) or outsourced SEO if it is a skilled effort with the company’s interests at task. Believe me or don’t, but the real numbers bear it out that a well executed long-term online marketing campaign has the potential to make nearly any size or type of company very successful. The list of case studies and stories of success is longer than you will ever be able to read, because the list grows each day. I have witnessed it in my own corporation, and we turned a tiny company into a phenomenal multi-million dollar industry success. Proper online marketing should not be viewed as wasted cost, but rather as an investment. It is a very important investment which should not be taken lightly, because the list of failures grows even faster than the list of successes.
Why This SEO View is Unbiased
I have a sincere cause to pose questions about outsourcing SEO vs. hiring in-house SEO and base it on minimal bias. First, I will explain why my comparison is unbiased, and I hope you can see that it is provided for maximum value and not serving the agenda of one side over the other.
I have been a company president and/or CEO for a long time (over 20 years), and not just a CEO. For over a decade, I have been the CEO of a successful Internet company which offers SEO services. I look at this from the perspective of a corporate executive who seeks SEO talent, and also as somebody who has regularly been approached by “headhunters” seeking to bring me into their in-house staff. I was approached recently, and it was enticing enough to really make me consider the two sides of this topic and try to weigh them carefully.
I want to address the topic of hiring internal SEO versus outsourcing freelance or agency SEO consultants in a way that is as cost-aware and benefit-aware as I can determine from my viewpoint. I would also appreciate any input you may provide on the topic, because although I may wish to know everything, I still need people to help me prove it.
I will focus on eight segments plus a summary, and address the company needs and the employee or outsourced search engine optimizer (SEO) independently because I want to make a purposeful case for each. This format should help me to make these high-level pros and cons of each option as unbiased as possible. I will not touch on every point, because this could get very long, but I will address some of the top advantages and disadvantages. My arguments for and against outsourced SEO or in-house SEO will be categorized as follows:
Outsource SEO: Advantage to Company
Outsource SEO: Disadvantage to Company
In-House SEO: Advantage to Company
In-House SEO: Disadvantage to Company
Outsource SEO: Advantage to SEO
Outsource SEO: Disadvantage to SEO
In-House SEO: Advantage to SEO
In-House SEO: Disadvantage to SEO
Summary
So let’s begin to look at this from the standpoint of a company who wants to be more visible in the Internet marketplace, with a more effective message, increased profits … and to do this with the highest effectiveness and the least amount of failure.
Outsource SEO: Advantage to Company
The most advantageous aspect of outsourcing SEO is not what most people may think. It is not a way to save money, because let’s face it, the outsourced SEO has to eat just as much as an in-house SEO. The good ones eat much better. In fact, the expense to outsource comparable results is generally significantly higher than in-house SEO. I see what in-house SEO people are paid by many companies and I wonder how they can do it for more than a couple months without seeking a different field. Then I remember that the lower pay scale usually equates to experience, regardless of the level of talent. Fair or not, that is often the way it is. The underpaid SEO with significant talent should always be seeking more opportunity, because they deserve it. You cannot expect them to earn success for a company without enjoying some success of their own. It just doesn’t work that way.
The greater advantage of outsourcing is that companies can pull from a greater talent base of people who are more highly specialized in the field of marketing and SEO. They are often people who were previously in-house SEO and developed enough talent to fire their boss and go freelance or with an agency. With greater specialization, experience, and overall industry skill, it should be no surprise that the cost is higher (although it actually is a surprise to some). More skill equals more cost … just like it should be. When hunting success, it is best to seek success where it lives. If the SEO has a success record, they are not likely to put themselves in the pool of eligible employees to work for small earnings and punch a time clock. The real benefit here is in the selection, and being able to purchase talent that a company cannot otherwise afford. They may even be able to afford it, but they lack the means to justify SEO to other decision makers.
Another advantage to companies by outsourcing is the typically obvious concerns surrounding human resources issues (payroll, benefits, liability, and etcetera). However, it is quite clear from everything I have read and witnessed that those considerations, especially where they relate to a scale of cost for talent still leave the company with a higher expenditure for outsourcing SEO … but also a higher return on their investment.
Outsource SEO: Disadvantage to Company
Aside from the common disadvantage of budgetary concerns and how very hard it is to free up necessary marketing capital, the company has less perceived control. Much is perception rather than reality, but there is some basis to this. For a marketing director or business owner with a need for immediate action and accountability, an in-house SEO is an easier neck to strangle when something is urgent or if goals are falling short. Most outsourced SEO, if vetted properly and found to be reputable, will care very much to serve their clients. However, they also have their own company interests to address. In instances where resources are pooled and the top-level resources are shifted to another project or otherwise short-handed, a client may not have the level of immediate recourse they like, as they may have with an employee. This often comes down to the level of client you have placed yourself as, and if another client is more profitable and needs urgent attention, it should be no surprise how business decisions are made.
In-House SEO: Advantage to Company
I have not been an employee in decades. I have always been the employer, so I can see the advantages of outsourcing SEO from the company standpoint. A commonly perceived advantage to the company focuses on greater control over the SEO and their marketing message.
This is generally more a myth than reality, but many companies will see an employment contract as more enforceable than an independent contractor agreement. The greater control is not in the enforceability but rather the requirements. If somebody is your employee, you can require them to be in a specific place at a specific time. This can make it easier for some companies to feel relatively secure that their SEO is working a specific amount of hours per day, and help to assure that they are working hard on the company’s projects. To my notion, the most valued benefit of in-house SEO to the company is far more human in nature, and it includes pride in a job done well.
The greatest benefit of in-house SEO to a company will really rely on a much more human aspect of business. If employees are happy with their job and they have a passion for making the company successful, many other obstacles are averted. When they can share in a feeling of pride, their effectiveness is likely to reflect that pride. I saw this most profoundly when I was recently contacted to meet with a company in Chicago. I felt a real connection with the company objectives and I can say for certain that I would accept a much smaller contract with that company than I would accept from other companies which have reached out to me. This is not to say that I would work for any company without dramatically stretching out their SEO budget. What I can say is that the right company could offer me $100,000 lower salary than the wrong one and still capture much more of my interest. I know, some people will think it is crazy that I would take $100,000 less to do something I love and work with people I enjoy. This is far less than the huge number of prospective clients I turn away each year because I would rather choke them than make them successful. Oh yes, SEO with a heart and soul … that must seem silly, right? Having a passion for something always makes a difference in success. Overlooking or doubting this fact is a huge mistake! If you doubt it, read this article: “Where Does Marketing Talent Come From and What is the Cost?”
In-House SEO: Disadvantage to Company
The biggest disadvantage that I can see to a company with in-house SEO is if the well eventually runs dry. Creativity can diminish over time if the in-house SEO does not discover new challenges to meet. This can be assisted with maintaining good relationships and keeping open communication with others in the SEO field, but it is often well-augmented by an outside consultant. For companies unwilling or unprepared to provide their SEO staff with the necessary resources, they can often find a dead-end of sorts. It is mitigated by finding the best SEO for the job, but on limited budgets, companies are frequently required to settle for what they can afford. That can mean having an in-house SEO that is a shallower well, and that well may require a refill from time to time. The tragic disadvantage to many companies is that rather than to bring in additional inspiration, they will assume that their in-house SEO has just run out of value. This is often not the case, but rather that they have just not been granted enough resource. Hiring replacement talent is a tragic end to this scenario, which can set a company back a lot of time and money. I guess the disadvantage here is how to properly discover and provide the degree of trust and artistic freedom which will benefit their SEO staff and the company at the optimal level.
Outsource SEO: Advantage to SEO
This should be no surprise that the biggest gain to the outsourced SEO is financial. Although there are a lot of starving people calling themselves search engine optimizers, the big reward comes in the form of money. Most freelance SEO will have multiple business interests, and have multiple income streams. A good SEO knows how to be more visible with a better marketing message. They do not reserve this only for their clients. I like the way Rand Fishkin of SEOmoz described why good SEO is expensive as relating to the cost of the search engine optimizer’s lost opportunities elsewhere. I have said this before, and it is very true that if I spend more of my time working on clients’ projects, it means less time I am spending on my own.
Outsource SEO: Disadvantage to SEO
I described what I see as the greatest disadvantage of being an outsourced SEO in a recent article, and I think this sums it up pretty well. The article is titled “When I Go to Hell, They Will Have Me Selling SEO” and it discusses the challenges we face from people simply not understanding that there is a huge difference between good and bad SEO. When people see marketing as a commodity, it is hard to help them, even when you have factual data to make a good case.
I see a potential shift in corporate thinking about SEO as the market is flooded by bad SEO. The cream rises to the top, and the best SEO are in even higher demand. Before that happens, a lot of people are hurt by the fringe of the SEO industry bastardizing the market and causing confusion among companies in need of the service. This makes it more acceptable than ever for the higher level SEO to consider leaving the rat race and doing what they love on behalf of an employer. Battling for scraps in a market that people strongly want to believe is a commodity and can be bought cheap is not appealing to me in the least. As that trend continues, search engine optimizers who really do know their work and can achieve results have every reason to be frustrated. Good SEO can compete just fine, but there is a point when it is just not fun to explain something to people only to have them learn it the hard way by hiring a cheap SEO and then come back to repair the mess it caused them.
In-House SEO: Advantage to SEO
I think most good search engine optimizers love their work. That is what makes them good at it. An advantage to the in-house SEO which also benefits the company is that they get to do the job they love and develop a full-scale marketing effort rather than the bits and pieces that many clients will opt for. Instead of working on projects that are shaved down by clients trying to save money, the SEO can do more of the work they know works. It allows for a better focus on both long-term and short-term objectives. Any SEO should love that.
In-House SEO: Disadvantage to SEO
An obvious downside to working in-house is that companies often only budget for low-level SEO positions. Yes, the money is a big disadvantage, but there is one thing perhaps even worse. A battle for many in-house search engine optimizers is that they receive friction from multiple departments. This can happen to the outsourced SEO as well, but the in-house employee is often caught in the middle. SEO involves marketing, information technology, and other departments who often do not see eye-to-eye. Depending on the company’s receptiveness and understood importance of online marketing, it can require extreme patience.
If a company wants the best from their online marketing efforts, they must listen to the SEO and be open to good ideas. When this is not the case, the SEO may have to take on a role which is not just SEO, but also office politician. Such is the life of the underrepresented in-house SEO.
Summary of Outsourced or In-House SEO
In summary, I must say that the worst answer is to look away and ignore the importance of the role of SEO in any company. In many instances, it is most logical and effective to make use of both outsourced and in-house SEO as a united effort.
I believe that as online competition for business increases among hiring companies, the importance of the in-house SEO will cause companies to increase their budgets and bring in higher level SEO talent to achieve their goals. This will provide opportunities for independent SEO, agencies, and employment alike.
For the freelance SEO, I see a continued battle of smaller and “uninitiated” companies viewing SEO as a commodity. This is a common challenge. With more people offering ineffective services it is not likely to fade soon, but it will. Companies who want to remain competitive will see greater value for highly skilled professional SEO in both capacities.
The most pronounced trend I see coming is that high-quality SEO has an ever-increasing demand, including all areas of the field. Filtering out the good and the bad SEO has become more challenging for many companies, but when they find good marketing talent, I expect them to take it more seriously than ever.
