Top Reasons SaaS Companies Hire Fractional CMOs
In today’s highly competitive business world, companies require an edge to stand out from the crowd. One way to accomplish this is through the use of a comprehensive marketing strategy and the best way to implement one is with a Chief Marketing Officer (CMO).
The issue facing many small businesses is that they cannot afford the cost of a full-time CMO and that often leaves them out of the running when competing against bigger corporations for the same audience. But there is a way around this. It is through the use of a fractional CMO.
And…What Exactly Is A Fractional CMO?
In simple terms, a fractional CMO is a CMO that spends only a fraction of their time with any particular company. If you can remember the concept behind “temps” and pulling one for a half day or more from the available “secretarial pool” then you will completely understand the way a fractional CMO works.
Don’t let the term fool you, either. The fractional part only references time spent working with companies. It has nothing to do with skill or knowledge as a fractional CMO will bring all the strategic marketing tools to the table as a regular, full-time CMO would.
Reasons Why Your Company Should Consider Hiring A Fractional CMO
You already know the importance of having a competitive edge against your competition with a solid marketing plan. You also know what a fractional CMO is. Now let’s look at the top reasons why you should have one working on your team.
Reason #1 - They Will Save You Money
Full-time CMOs get paid well. Normally, big corporations have them on staff as they can afford to but smaller businesses can’t. However, a fractional CMO will cost roughly between $200 and $250 per hour making them an affordable choice. Even if your small or mid-size business hired one for 5 hours per week, the saving is huge with a great return on your marketing efforts.
Reason #2 - They Can Work Flexible Hours
A full-time CMO is going to work at least 40 hours per week with a relatively set schedule. A fractional CMO with work on specific projects depending on the monthly hours allocated to each. You can change the contract at any time to address the needs of your company. Plus, this flexibility means you will only be paying for the services you need and nothing more.
Reason #3 - They Work Efficiently
Because fractional CMOs are usually hired for short-term contracts, they are aware of timelines and work diligently to hit specific goals and meet strict deadlines. With extensive knowledge and skills, they can deliver results quickly by streamlining work and focusing on priorities. With ample resources and vast knowledge, a fractional CMO is an asset to any company.
Reason #4 - They Produce Scalable Plans
Using their knowledge and expertise to develop marketing strategies, fractional CMOs create plans that encourage growth. As your company increases in size, so should your marketing strategy. A fractional CMO will ensure the tools they have employed will continue to produce results as your business expands long after their contract has ended and they have moved on.
Reason #5 - They Know What They Are Doing
It is not easy to develop a marketing plan on your own. In addition to trying to keep your business afloat, which reduces the amount of time you can devote to marketing, you may end up relying on third-party providers. With a fractional CMO, they can work with these providers and use their experience to create a plan that is specific to your needs and not a clone.
Reason #6 - They Can Plan For The Future
Working as part of the team, a fractional CMO can integrate a marketing strategy that can live on and keep working for your company well into the future. This is made possible with members of the team executing tactics and implementing tools to keep the ball rolling after the fractional CMO contract has reached an end. This ensures long-term results from the short–term contract.
When Should You Hire A Fractional CMO?
It should be obvious to you by now that a fractional CMO is a smart solution for small and medium-sized businesses that cannot afford a full-time CMO on their payroll. However, there are specific times in the lifespan of a business when contracting a fractional CMO makes the most sense.
Startups can benefit greatly by hiring a fractional CMO to help develop and implement an effective marketing strategy to give the new business exposure. Businesses facing a major transition such as expansion or new products or a change in direction can find a fractional CMO useful in helping develop marketing plans to assist as the change happens.
The Qualities To Look For In A Fractional CMO
There are several factors to consider when you are looking at adding a fractional CMO to your team. Let’s look at a few of the main qualities you should be looking for.
A fractional CMO should have excellent communication skills where they can effectively communicate. They should be able to share information with your team and stakeholders keeping everyone up-to-date on progress.
A fractional CMO has to be creative. It is from their creativity and innovation that they will develop unique marketing strategies for your company and use a mix of different media platforms to get your message out.
A fractional CMO should understand target audiences and different demographics and how to identify them. This means being proficient in various research tools and methods to gather this data.
Project Management Skills
A fractional CMO should have project management skills to keep marketing projects on track and to see they are completed on time, on budget, and meet high standards.
Strategic Thinking Skills
A fractional CMO should think strategically with long-term goals in mind as part of the digital marketing strategy development phase. They should see key opportunities and find ways to include them in marketing plans.
A fractional CMO should have the technical know-how to function effectively in today’s technology and have the skills to adapt to changes in that technology.
A fractional CMO brings all the skills and expertise of a full-time CMO to your company at a fraction of the cost. They save you money, but bring you a greater return than trying to develop and execute marketing strategies on your own.
Marina Turea works as a content manager at Digital Authority Partners, a SaaS Fractional CMO agency with offices in Chicago, San Diego, and Las Vegas.