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Blog » Business Tips » 10 Questions Small Business Owners Should Ask Before Hiring A Digital Marketing Agency

10 Questions Small Business Owners Should Ask Before Hiring A Digital Marketing Agency

Hiring Digital Marketing Agency

Is your small business starting to gain more attention online? Have you noticed a steep decline in your daily interactions with your social media followers? Maybe you’re beginning to feel that using a professional marketing service will benefit your startup’s long-term success.

These are all important questions to ask, and for small business owners, outsourcing their digital marketing services can become an invaluable resource to their organization. Using an agency or digital marketing consultant can mean that professionals use their expertise to create meaningful marketing strategies and provide your business with the right services.

However, outsourcing digital marketing services, or seeking help from a consultant can bring some challenges should you choose the wrong company to work with. The range of agencies to choose from can feel overwhelming, and knowing which company or team will provide your business with the best set of services, and understand your brand and customers the way you do can be crucial for your company’s near and long-term success.

Fortunately, there is a method to the madness, and finding the proper digital marketing agency doesn’t have to become complicated. Knowing what to ask, what to consider discussing during your initial consultation, and what type of services you’re looking to pay for will help make the journey less daunting and ensure you access the proper resources, digital tools, and engagement your business deserves.

What are my business needs?

Before anything else, properly consider the type of services you require. You might feel that you need assistance with social media, branding or even building a website with various web pages and content. These are all important considerations to think about, seeing as not every agency will have the same set of niche services.

Determining your business’s digital marketing needs will help you determine whether you require specific or more detail-oriented services or perhaps a range of full-scale services.

Be mindful of your current strategies and how those have helped you so far. You might feel that one part of your marketing has done well over the years, while other parts may be lagging. Investigating these things will bring you one step closer to knowing which agency you should be working with, but more importantly, which parts of your digital marketing need more nurturing, and how this will help you in the long run.

What am I looking to achieve?

Are you results-driven? Are you looking to gain more followers on social media? Do you have a new product launching soon and don’t know how to market it? Will your clients accept new marketing campaigns, and will the strategy work? How long will it take before I can see noticeable results?

Many things may be flooding your mind at the moment. Fortunately, that’s normal, and as a business owner, you may already have hundreds of follow-up questions you’d like to ask. When choosing to outsource your digital marketing, you need to consider your end goal. Where are you looking to go from this point onward, and how will your activities make a meaningful difference to your business, products, services, and, most importantly, revenue?

Being mindful of what you are looking to achieve will not only help clarify your situation, but over time, as you begin to achieve your inherent goals, you can shift your focus towards newer or even more challenging milestones.

Knowing what you are looking to achieve is important for you, your business, and your employees, as well as for the team that will be working on your digital strategies. Communicating this with them and indicating what you want can help put them on the right track toward building a strategy or campaign that aligns with your business and your forward-looking goals.

Is the agency experienced in your industry?

As with anything, having experience in the right industry will make the work a lot easier and provide you with peace of mind, knowing that your team is working towards a shared goal and understands how to communicate your brand effectively to your customers.

Not all industries are the same, and not all marketing will be the same. If your business sells roasted coffee beans, the marketing agency needs to understand how the coffee industry works, the various value points across the supply chain, and the type of clients you’re targeting.

Choosing an agency with experience in your industry is not only a slice of the bigger pie, but the winning ingredient will help set you apart from your competition. Any marketing agency can take on a new client. However, it takes a unique and selected group of individuals to understand the various intricacies of your business and industry precisely.

Throughout the process of researching which agency to work with, make sure to review their previous work. In most instances, agencies with different clients may already have a portfolio of work, and you can use this as a thumbnail to understand their marketing approach and what you can expect should you hire them. These things are important to remember when searching for the right team of experts.

What type of digital tools and resources do they use?

Technology is constantly changing, and for marketing agencies, keeping up with the latest trends and being one step ahead is crucial to being successful and outperforming competitors. You need to consider these things as well, even if you’re not necessarily going to interact with or use these types of digital tools.

Across the field of digital marketing, more and more professionals are starting to leverage opportunities in artificial intelligence (AI). Some estimates show that over a fifth of American content creators use AI-powered tools to edit and generate new content.

Why? AI is a crucial part of the process, and millions of people find digitally doctored content appealing. One study found that around 15 percent of Americans aged 18 to 44 found generative AI images and other content on social media created by big-name advertisers, influencers, and brands appealing.

While it’s important to remain authentic and ensure your branding, digital marketing strategy, and communication techniques are unique, leveraging the proper tools will help your business stand out in the crowd and present content and messaging that’s both applicable and personalized.

Make sure that your agency has started using the appropriate tools, not only generative AI tools but other data-based software, digital resources, and online platforms that make the entire process more efficient and provide the results you are looking for.

How much experience does the agency have?

As a small business, you might find yourself constantly learning the ropes and understanding the tricks of trade. Nothing happens overnight, and while it’s important to consider how far you’ve already come since your founding, keeping yourself well-educated and informed about market or industry trends can ensure you are constantly staying ahead of the curve.

A similar approach is needed when considering outsourcing your digital marketing. Not every agency may have countless years of experience; however, this shouldn’t discourage you from potentially considering them as a valuable asset. With time comes the right amount of experience, and everything in your industry requires a steep learning curve.

As someone still starting, consider working with a more experienced team of professionals, as they will provide you with the proper guidance your business needs. One drawback might be the price point, as more experienced professionals tend to charge more. This is normal; however, if you want the right thing done and the right group of people for the project, you will most likely spend a decent amount of money on acquiring their expertise.

Try to find a middle ground that works best for your situation. You don’t want to spend thousands of dollars on something that doesn’t cultivate the desired results, nor do you want a half-done job, even if it means you are paid less. Make sure your team of marketers is experienced and has the right skills, knowledge, and industry know-how to bring your business from the ground up.

Do they provide effective data and reporting?

In the fast-paced world of digital marketing, data is everything and perhaps one of the most valuable tools any business needs. Working with the correct data and tools can provide a more analytical approach to your marketing needs, ensuring the right channels are utilized, and appropriate messaging is tailored to all your customers.

Most marketers today use data to help better understand their customer’s needs, pain points, and where their clients might be. One report by McKinsey & Company found that roughly 64 percent of marketing professionals and executives agree that data-driven marketing is becoming an increasingly important factor within the current digital landscape.

Having your customers spread across various parts of the country or even the world means you need the proper insights. By tapping these insights, you will understand their needs, how you can provide more appropriate messaging that directly answers their questions, and what you can do to improve your approach as your business begins to scale.

Remember this when working with an outsourced team of digital marketers. Always ask to be presented with real-world data and insights to help you better understand how their efforts contribute to your business.

Will they meet your customers where they are?

Meeting your customers where they are can be challenging. Running a one-person show means that you need to know where your customers are at all times and how you can effectively communicate with them, either presenting them with solutions to their needs or answering their most important questions.

The customer journey has become so large that one study conducted by Google found that, depending on the transaction, online consumers can have anywhere from 200 to 500 different touchpoints at any given moment.

That would mean that every touchpoint your customers use, whether it’s connecting with your brand on social media, reading an email newsletter, signing up for a free coupon, buying something online, or even searching for your phone number online, can be used to enhance their online experience and put your business directly in front of them.

Now that you know how vital customer touchpoints can be, it’s time to ask your digital marketing team if they can cover all the grounds and their approach to providing your business with the most possible exposure. If your digital team is not focussing on meeting your clients where they are, you might be better off working with someone else.

What is their approach to rectifying mistakes?

Nothing in business is always perfect, and you’ve probably made hundreds of mistakes that you’ve later regretted. Making mistakes is part of the process. However, it’s essential to learn from these mistakes and look for ways to improve.

Similar to marketing agencies, many of their strategies fail or are ineffective. According to one HubSpot report, about 61 percent of marketing professionals believe that their strategies are effective despite most of them doubting them.

When we begin to talk about return on investment (ROI), nearly half of marketers, about 40 percent, say that proving the ROI of their activities is often one of the most challenging aspects of the process. Although teams are spending tons of resources on improving their efforts, many will most likely be ineffective or simply unable to gauge their results fully.

Knowing that everyone makes mistakes is part of how you overcome challenges when they present themselves. This becomes even more important as you search for your dream marketing agency. Knowing they’ve made mistakes and being aware of them will help present you with important questions you can ask during your strategy building.

Ask them to be open about their mistakes and their approach to rectifying them. You can ask them how they’ve improved since then and what they are doing now to ensure these mistakes don’t occur regularly. All of these questions should closely relate to your needs and provide you with more clarity.

How much are they charging in comparison to market rates?

As a business owner, you, of all people, should understand the importance of value for money. Many agencies tend to lose sight of their approach, often charging small, exuberant rates far beyond the industry standard.

The amount you’re set to pay will depend on your needs and how much work is needed. For instance, you might only need a bit of help getting your social media off the ground or even need a team of experts to reconstruct your entire website and generate new content for your online platforms.

All of these things will influence the amount you’re set to pay. However, paying more for what you get can leave a sour taste in anyone’s mouth. While you may already have a desired budget, it’s essential to consider how much various agencies will charge for their services and which option would work best for you.

Not sure about how much to budget? According to Deloitte, marketing now comprises around 13.6 percent of a company’s budget, an increase of 3.9 percent from the previous two years. Other research shows that 41 percent of marketers are most likely expecting to increase their marketing budgets in the coming year, while almost half (47 percent) will keep their budgets the same.

Keeping track of your budget and being aware of the basic industry standard and how prices may fluctuate over time will help put things into perspective and ensure that you receive the best possible value for your money.

Do they make use of AI for efficiency and reporting purposes?

There’s a good chance that you use artificial intelligence in some capacity in your business or at least in your day-to-day life. Artificial technology has become a key driver in many organizations, driving efficiency, helping reduce mundane tasks, and improving team operations.

In digital marketing, AI has become one of the most important assets any professional team uses. Nearly 41 percent of marketers use AI software or AI-driven tools to help with measurement and forecasting capabilities. Half of the markets plan to invest in AI or machine learning (ML) tools in 2024.

Across the board, AI is making an impact that’s becoming hard to ignore. It significantly improves forecasting and measurement for marketers, helping them increase their return rate and better use customers’ money.

These activities can be the difference between success and failure for your business. Not only is it important to have the right professionals working on your marketing strategies, but combining this with proper artificial intelligence tools can be the winning recipe your brand needs.

Although AI-powered tools are not perfect, it’s good to emphasize that they can help keep you and your team informed, empowering you to make more informed decisions and focus on the parts of your business that are seeing positive and negative growth.

When is the right time to start using a digital marketing agency?

You might be wondering when is the best time for your small business to start outsourcing its digital marketing activities to a team of professionals. Many things you might be considering – cost, efficiency, operations, communication, etc. – could impact your brand and the direction in which your business is growing.

Knowing when your business is ready, or even not yet ready to start outsourcing its digital marketing activities, is part of the process of growing a successful business. Although it can sometimes be confusing, here’s a review of things that would indicate when your business is ready to have a third-party service provider come on board.

You have limited knowledge and experience: There’s no harm in being a novice. However, some things in your business might be better left to a team of professionals who have experience and knowledge about these sorts of activities. Always weigh your experience against your needs, as this can be an indication of whether you can learn the ropes yourself or hire someone to do it for you.

Current strategies lack quality leads: You might already have a strategy in place or have been working with one for the last several months. However, things are starting to look worrisome, and you’re no longer seeing the number of leads you’re used to. You might have noticed engagement being inconsistent or not seeing the usual amount of online foot traffic.

You are not sure how to define your brand: As the owner, you should understand your brand and the type of qualities it provides customers. However, not being able to define your brand or where in the market it fits in can lead you to realize that you need someone to help you find your niche and bring you closer to your customers.

Your business isn’t prioritizing marketing: These days, any business of any size needs some sort of digital presence. Starting a new brand means that not a lot of people know about you or your services and products. Not prioritizing marketing can be detrimental to your near-term success, and you could be setting yourself up for failure.

Market competition has increased: Over the years, the number of new competitors has increased, which has led to slower foot traffic and brand visibility. This is a common theme among businesses that might need to partner with a digital marketing agency to revitalize their brand and online presence.

Finishing Off

Working tirelessly to grow your business and get it off the ground means investing your time and resources in the things that matter the most. Understanding the importance of digital marketing and how invaluable the activities can be for your business can help bring you closer to success and put you in front of your customers.

Knowing when your business is ready to start outsourcing its digital marketing efforts will mostly depend on your needs and whether you prioritize your marketing activities. Dedicating the right resources will ensure that your business acquires the appropriate services and that your brand can be nurtured for long-term scalability.

Featured Image Credit: Photo by Mikael Blomkvist; Pexels

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Pierre Raymond is a 25-year veteran of the Financial Services industry. Driven by his passion for financial technology he has transitioned from being a quantitative stock picker, to an award-winning hedge fund manager, credit risk manager to currently a RISK IT Business Consultant. Pierre is the cofounder of Global Equity Analytics & Research Services LLC (GEARS) and a current partner at OTOS Inc.

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