Virtual or fractional CMO services give startups and small businesses access to highly impactful marketing leadership at a fraction of the cost of a full-time chief marketing officer. In this guide, we cover:
- What roles a fractional CMO can fill in your organization
- What makes virtual CMOs unique
- How much fractional and virtual CMOs can cost your business
Let’s get started!
What Does a Fractional CMO Do?
Just like a traditional, full-time CMO, the primary goal of a fractional CMO is to increase your business’s revenue by optimizing marketing efforts. To achieve this goal, fractional CMO services include some or many of the following responsibilities:
- Marketing Director: The CMO is the head of the marketing department and manages the department’s budget, sets priorities, and fine-tunes the ideal customer profile.
- Brand Manager: The CMO is responsible for developing the business’s connection with customers, including how people see the business’s image. The CMO must also coordinate branding with broader organizational goals.
- Head of Innovation: Innovations in marketing technology seem to be never ending, and the CMO plays a critical role in determining which tech is worth the investment.
- Multimedia Storyteller: Customers interact with brands through a variety of mediums, so CMOs need to be well-versed in video, social media, print, television, and radio communications.
- Growth Leader: CMOs need to be growth-oriented, which involves setting effective KPIs, researching potential in new markets, and strategy development.
One of the key advantages of sourcing fractional CMO services jobs is that you get to pick and choose which CMO roles you need to fill. This gives flexibility to both your team and budget, which can cause positive ripple effects throughout your organization. Ready to see which fractional CMO services your business could benefit from? Contact us today!
What Is the Difference Between a CMO and a Fractional CMO?
While full-time and fractional CMOs both share the goal of increasing your organization’s revenue, the two roles differ in both scope and cost. In fact, it’s these differences that make fractional CMO services so beneficial for startups and small businesses. Let’s take a closer look:
- Scope of Responsibilities: When you hire a full-time CMO, they’re responsible for the entire scope of the role. From branding strategy and campaign KPIs to department growth and budget management, CMOs do it all. For major corporations, this is often a great fit. However, startups and small businesses aren’t necessarily pursuing all of these initiatives at the same time. Fractional CMO services give you the flexibility to choose which aspects of the role matter most to your business.
- Costs: Full-time CMOs also come with full-time salaries and total compensation packages; for businesses that can’t tie up that many resources in one role, fractional CMO services offer an à la carte alternative. With these services, you can choose which CMO functions to fill. That way, you can dedicate the resources you do have to high-impact initiatives, such as growing your marketing department. How will you invest the savings? That’s up to you!
Reach out to our experts today to see if fractional CMO services are right for your business.
What Is a Virtual Chief Marketing Officer?
A virtual CMO is a type of fractional CMO service that connects businesses with a chief marketing officer who works remotely. Hiring a virtual chief marketing officer comes with all the benefits of a fractional CMO, such as:
- Executive-level marketing leadership at a fraction of the cost
- Flexibility to pursue the initiatives that are of the highest priority for your organization
- Improved organization of your marketing department
- Increased ROI from marketing campaigns
- Improved coordination between marketing, advertising, and sales efforts
Working with a virtual CMO can also yield all the benefits that remote work has to offer, including:
- Access to top talent, no matter where your business is located
- Ability to attract high performers in a competitive market
- Lower requirements for office space and other overhead costs
- Higher employee satisfaction translates into better results (according to data published by Business News Daily)
Simply put, a virtual chief marketing officer can give your business a unique competitive edge to stand out in a crowded marketplace. Contact us today to learn more.
What Are Virtual Chief Marketing Officer Responsibilities?
Just like other types of fractional CMOs, virtual CMOs have the vital responsibility of optimizing your business’s marketing initiatives to increase revenue. Because virtual CMO services are a type of fractional CMO service, they’ll cover a portion of overall full-time CMO functions, such as:
- Guiding your overarching marketing strategy
- Developing and unifying your marketing department
- Optimizing marketing campaigns to increase ROI
- Coordinating marketing, sales, and advertising initiatives
- Managing your marketing budget
- Negotiating contracts with third-party service providers
Virtual CMOs also have a few additional responsibilities to ensure a productive remote work environment. These responsibilities include:
- Fostering an inclusive and innovative culture
- Setting expectations for work schedules, availability, and virtual meeting etiquette
- Discovering what team members need to succeed in a remote or hybrid environment and providing those needs
Reach out to learn more about virtual CMO roles and how they can benefit your organization.
What Is a Virtual Chief Marketing Officer Job Description?
Virtual CMO jobs are very similar to other fractional CMO jobs, except these services are always performed remotely. Examples of responsibilities you’ll find in a virtual CMO job description include:
- Execute comprehensive business development, branding, and marketing strategy
- Retain, oversee, and lead marketing team
- Drive revenue growth through customer acquisition, development, and engagement
- Built and nurtured relationships with third-party partners and industry stakeholders
- Improve company brand recognition and reputation
- Work with other C-suite executives to allocate resources and coordinate goals
A virtual chief marketing officer job description can also include the type of schedule you’d like a fractional CMO to operate on. The basic structures are:
- Hourly: These virtual CMOs work a set number of hours per week at a set rate. Typically, fractional CMOs that work on an hourly basis will have specific initiatives that they’re focusing on.
- Monthly Retainer: These virtual CMOs charge a flat monthly rate in exchange for as-needed access to their expertise. The monthly retainer model can be beneficial for organizations that want flexibility in the roles the CMO covers.
- Project-Based: These virtual CMOs charge a rate for an entire project. This model is great for businesses who know the exact deliverables they’re expecting.
There’s a lot that goes into finding the best virtual CMO for your team. Our experts can help you along the way. Contact us today to get started.
How Much Should You Pay a Fractional CMO?
How much does a fractional CMO cost per month? Fractional CMO services are flexible as a feature, so exact costs vary widely from business to business. In this section, we’ll cover some figures to give you a starting point for your budget.
Glassdoor reports that the average fractional CMO salary (or virtual CMO salary) is $139,248 per year. This compares to an average salary of $358,743 for full-time CMOs (according to Salary.com). That’s an average savings of $219,495 that can go to filling other roles, investing in product development, or creating more exciting marketing campaigns!
For hourly arrangements, the typical rate for a fractional CMO ranges between $200 and $300 per hour. At 10 hours per week, your costs will be between $104,000 and $182,000 per year. At 15 hours per week, your yearly costs will be between $156,000 and $273,000.
Since costs vary so much depending on your specific needs, it’s best to get a quote for fractional or virtual CMO services. Reach out today for more information.
Who Hires Fractional CMOs?
Startups and small businesses typically have the highest need for fractional CMO services. This is because businesses of this size don’t usually have the need or resources for a full-time CMO, but they can still benefit immensely from executive-level marketing leadership.
Fractional CMOs can be beneficial for so many businesses because marketing is the key to growing revenue. Through customer acquisition, retention, and development, your marketing department is what connects your amazing product or service with paying users. Fractional CMOs help make your marketing team even more potent.
Contact us to find out if fractional CMO services are right for your organization.
Should I Hire a Fractional CMO?
There are several key signs that you should start exploring fractional CMO companies, such as:
You’re growth-oriented and need to reach new customers or deepen connections with existing customers.
You want to expand into a new market.
Your marketing department is going through major changes, and you need unifying leadership.
You want stronger coordination between branding, marketing strategy, and the rest of your organization.
Did you check off one or more of the above boxes? It’s time to explore your options for fractional CMO services. Contact our team to get started.
Contact Us To Learn More About Fractional and Virtual CMO Services
Fractional or virtual CMO services can be game-changing for startups and small businesses. But with so much variability in options, it can be tough to know how to get started. At SMB, our experts are ready to guide you through the process, from determining your needs all the way through to connecting you with the right fractional executive. Give us a call to start today!
