Fractional CMO services offer flexibility while providing highly impactful results, making them a cost-efficient alternative to hiring a full-time chief marketing officer. For startups and small businesses who need to compete with limited resources, what could be better? In this blog, we cover ways for your business to access C-suite-level marketing leadership at a fraction of the cost of previous methods.
Why Hire a Fractional CMO?
The primary goal of a fractional CMO, or any CMO for that matter, is to grow your organization’s revenue through enhancing the company’s marketing efforts. Fractional CMOs are seasoned experts and experienced marketing professionals available at a fraction of the cost of full-time CMOs because they focus on a specific marketing need rather than all of them all the time. To this end, fractional CMO responsibilities include:
- Leading the development of a unified marketing strategy
- Coordinating marketing goals with the organization’s wider vision
- Setting KPIs
- Analyzing campaign performance
- Developing the marketing team
- Negotiating with third-party service providers
Engaging a fractional CMO provides high-level marketing expertise, allowing businesses to access specialized marketing knowledge without the costs associated with hiring a full-time executive. Fractional CMOs also offer strategic marketing guidance to align marketing efforts with overall business objectives.
To get a better idea of exactly how fractional CMOs fit into your organization, consider the roles that other executive positions fill:
- Chief Executive Officer (CEO): Managing high-level business decisions and working with the rest of the C-suite to ensure all departments are working towards the same goals
- Chief Financial Officer (CFO): Managing budgets, earnings forecasts, and engaging with investors.
- Chief Operating Officer (COO): Managing the process of delivering products to market
- Chief Technology Officer (CTO): Managing the implementation and secure use of information technology systems
- Chief Human Resources Officer (CHRO): Managing company culture, employee engagement, hiring and onboarding processes, and other efforts that enable team members to succeed
Similar to the above roles, fractional CMOs act as the highest level of leadership when it comes to all things marketing within your organization. Whether that’s strategy, execution, or analysis, having access to a C-suite level executive can give your organization a clearer vision. Contact us to learn more about fractional CMO services.
What Is the Average Wage of a Fractional Chief Marketing Officer?
Glassdoor reports the average annual fractional CMO salary as $114,547. For a traditional, full-time CMO, your annual bill would likely fall in the range of $313,265 to $425,914 with an average of $358,743 (according to Salary.com). Comparing both options, organizations can save an average of $244,196 per year by working with a fractional chief marketing officer instead of a full-time CMO.
Lower cost is one of the top advantages of fractional CMO services. So what’s the tradeoff? Fractional CMOs cover a portion of the overall scope of the CMO role at any given time. For example, you can hire a fractional CMO to analyze past campaign performances and look for necessary improvements moving forward. This flexibility is valuable for businesses that don’t need every possible CMO function all of the time.
How Much Does It Cost To Hire a Fractional CMO?
The typical cost for hiring a fractional CMO ranges between $200 and $300 per hour. How much you’ll actually spend on a fractional CMO for hire depends on the executive’s exact rate, the operating model you agree on, and the scope of the executive’s responsibility.
Fractional CMOs often operate within one of the following models:
- Hourly: The fractional CMO works a certain number of hours per week and is flexible on what the specific tasks are. Typically, businesses can get the best value when working with a fractional CMO for 10 to 20 hours per week.
- Monthly Retainer: The fractional CMO charges a flat monthly rate to remain accessible for certain projects. This can be a great option for high-level guidance on marketing initiatives.
- Project-Based: The fractional CMO charges a flat rate for work on a specific project. Once the project is completed, so is the contract, and you can choose to renew for a new project or end the agreement.
To explore options for how your organization can work with a fractional CMO, reach out to our experts.
Is a Fractional CMO Worth It?
The main benefits of a fractional CMO are:
- Access to executive-level marketing leadership
- Significant cost savings
- Flexibility to prioritize needs
Fractional CMOs bring extensive expertise in digital marketing, helping businesses benefit from tailored strategies and the integration of various marketing functions.
A fractional CMO for startups or small businesses is how your organization can customize the CMO role for your specific needs. If you need hands-on help to revitalize your next marketing campaign, you can work with a fractional CMO to develop and execute effective campaigns tailored to your business needs. Or, if you want ongoing leadership for your overall strategy, you can also hire a fractional CMO.
Additionally, fractional CMOs can support businesses experiencing rapid growth by implementing aggressive digital marketing tactics and leveraging analytics to drive expansion.
Should I Hire a Fractional CMO?
There are three ways to tell if it’s time to hire a fractional CMO:
- Your organization wants to grow, and your current marketing efforts aren’t getting the results you need. A fractional CMO can oversee your marketing department, ensuring that all marketing responsibilities are effectively managed and executed.
- Your marketing team is going through changes, and you want effective leadership to ensure a smooth transition. A fractional CMO, acting as a marketing executive, provides the strategic guidance and leadership necessary to navigate these changes.
- You don’t have the need or ability to hire a full-time CMO. A fractional CMO can develop and implement tailored marketing strategies, offering flexibility and cost savings while aligning marketing efforts with your overall business objectives.
Do any of the above scenarios match the situation your business is in? It’s time to consider fractional CMO services. Contact us today to learn more.
Contact Us To Learn More About Which Fractional CMO Services Could Transform Your Business
Effective marketing is the key to connecting with customers and growing your business. At Bohu Digital, we match you with fractional executives who transform your marketing efforts without breaking your budget. Reach out today to get started.
