Today digital marketing is considered as a meat and potatoes management tool for acquiring, engaging, and retaining customers. Unlike traditional marketing, digital marketing readily has access to consumer data; after all, the consumer is online providing rich and relevant information for marketers to mine, analyze, and strategize. Why then companies don’t view outsourcing low-value marketing activities such as, data mining, social listening, and market analytics as a strategic lever to keep marketing costs in check?
In a world where information technology has become the fulcrum of businesses with advent of web 2.0 technologies, marketing function has undergone a sea-change at the intersection of technology. Outsourcing can create a win-win situation, as it will enable outsourcer to reduce marketing costs and increase quality in non core areas of business, while the outsourced can prosper, mature, and build core competencies. At the organizational level, marketing outsourcing can represent a basic restructuring of businesses away from a model designed for the industrial-age, offline consumer.
Critics of digital marketing outsourcing can theorize the macroeconomic effects that may result in a ‘race to the bottom’ wage rates or the engendering job insecurity for marketers in outsourcing country, but business leaders better know that bits can easily reach people and places that atoms can’t. Companies should do what they do best, and outsource the rest.