CMO as a Service has been gaining ground within organizations by providing access to experienced professionals, cost savings and the ability to allow the owners or partners of a company to focus on business management.
The CMO as a Service offers the company the flexibility to expand or reduce its marketing efforts, especially in marketing intelligence, as needed, without the financial commitment of hiring a professional with full dedication.
The solution of a CMO as a Service can be very comprehensive. This type of professional has an integrated and broad view of the marketing puzzle and its main tools. Typically, the CMO acts at a more strategic level, offering a full suite of marketing services, from strategy, planning and analysis, sometimes even execution.
Hiring this type of service makes life easier for the entrepreneur. With a few dedicated hours of a Chief Marketing Officer (CMO) it is possible to develop strategy and planning; in addition to obtaining important directions for the tactical development of marketing research, brand development, digital marketing, communication, endomarketing, public relations and events.
Outsourcing this marketing function can be crucial to leverage your business with the contributions of an experienced professional. The growth and revenue of your business depends on a good marketing strategy.
The Role and Responsibilities of a Chief Marketing Officer (CMO)
A Chief Marketing Officer (CMO), Head of Marketing or Marketing Director is responsible for marketing, brand reputation, revenue and the overall customer experience within the company.
The CMO is responsible for developing, managing and executing integrated 360 marketing campaigns to drive business objectives by creating a differentiated brand, driving growth and maximizing revenue.
He/she integrates aspects of product development, channel management, partners and affiliates. It may be involved directly or indirectly in sales and business development. Usually, everything that touches the revenue theme, in the medium and long term, is within their scope.
Their role is also to lead the marketing team that ends up being responsible for executing the strategic guidelines for digital marketing, branding, communication, public relations and even customer experience.
Currently, the CMO is a position that reports directly to the CEO and has been greatly impacted by the digital revolution.
What is the cost of hiring a CMO?
The cost of hiring a CMO can vary depending on the size and turnover of the company, the market, the annual budget and the experience of the professional and even the region.
An average annual salary of a CMO according to Salary.com is 348.000 dollars. In addition to the salary, it is necessary to consider the remuneration package, which may include bonuses, commission and shares and may exceed the range of 500.000 dollars per year. If we consider tax, it can reach up to 1 million USD.
What are the challenges of hiring a Chief Marketing Officer, CMO?
Hiring an experienced professional can be challenging, but it is undoubtedly a great way to boost the growth of any company.
The biggest difficulty in hiring a CMO is finding an individual with the right combination of cultural fit, skills and experience. It is essential that the CMO is very connected to the business and has extensive knowledge of marketing, as well as the ability to lead a team and make impactful decisions in the organization.
Among the main challenges for hiring a CMO we can consider:
- Finding a professional who has a fit to the company culture to ensure the longevity of their role and fulfillment of long-term goals and outcomes.
- Determine the role that the CMO will play in the company.
- Define the contract model and remuneration package.
- Manage the CMO’s expectations for autonomy to lead the marketing function.
If you don’t have the budget for a CMO, what are the other alternatives?
As the business world becomes increasingly complex, the need for a Chief Marketing Officer as a service becomes more and more evident. As business growth and budget constraints continue to tighten, the reality is that the traditional Chief Marketing Officer (CMO) is no longer a luxury many companies can afford.
CMO as a Service is an innovative solution that allows companies to have access to a world-class marketing executive without the high price tag. In addition, CMO as a service offers a level of flexibility and customization that is unmatched by traditional Chief Marketing Officers.
A CMO can provide a company with the marketing knowledge and experience needed to help navigate the ever-changing business landscape. In addition, a CMO can provide a company with the ability to focus their efforts on running the company, leveraging their core competencies and leaving marketing to the experts.
What is a CMO as a Service?
The role of the Chief Marketing Officer (CMO) is constantly evolving. With the evolution of Digital and how customers discover brands and buy online, new responsibilities are added to the CMO’s knowledge, such as: growth hacking and customer acquisition.
CMO as a Service means the provision of a professional with a 360 vision to lead marketing as a whole within the company. It is done through a flexible contract between two legal companies or two LLC.
This is a relatively new approach that has contributed to small and medium-sized businesses in their current and future marketing needs. It is a model that easily adapts to the growth of companies, enabling agility and flexibility.
In many cases, these services are included within agency contracts. However, with the increase in specialization within these agencies, professionals who have a vision of the whole and are able to integrate several subjects into a single strategy, involving branding, digital marketing, communication and events, become scarce. Most CMOs stop at the strategic level and the companies that hire them still have to figure out the execution part to make the strategy work.
The CMO as a Service will work closely with company leadership to develop and direct the execution of a marketing plan that meets specific business needs and objectives. This is a new model for companies to get the most out of their marketing efforts with a senior and accessible professional.
What are the types of outsourced Chief Marketing Officer (CMO) as a Service?
There are a few formats of hiring a CMO as a Service to lead marketing initiatives within companies.
In all models of hiring a CMO he will provide the same level of expertise. What changes is the type of presence and the amount of involvement with the company and its initiatives.
Each type of CMO as a Service contract has its own advantages and disadvantages. The right type for a company depends on the company’s current moment and its specific needs. Among the main formats are:
1) Part-time CMO
This is a format where the part-time CMO works in a face-to-face or hybrid model and in direct contact with the marketing leadership and team, providing strategic guidance for periods of transition, growth or improvements in marketing efforts.
2) Temporary CMO
A temporary CMO acts for a specific term. This temporary format is beneficial if there is an ongoing process that needs more involvement, but with a deadline. It can be beneficial for times of transitions or high demand.
3) Remote or virtual CMO
This CMO contract model allows the professional to work remotely or virtually. It is widely used in small and medium-sized companies that do not have the budget to hire a full-time professional or are interested in professionals who do not live close to the company’s headquarters.
4) CMO by project
It is a model in which the CMO has a limited and well-defined scope of action. It may or may not be tied to a project development time period. This type of CMO is often hired by companies that do not have a full-time marketing team or that need assistance with specific marketing projects.
The CMO hired by a project is usually responsible for defining the scope of the project, developing the plan and managing the project team. As well as ensuring that it is completed on time and within budget and meets the company’s objectives.
Why hire a Chief Marketing Officer as a Service?
A Chief Marketing Officer as a Service will enable marketing growth by providing honest feedback, guidance and training. It’s a more effective way for small and medium-sized businesses that don’t have the internal resources to handle marketing themselves. This frees up their time to focus on other aspects of running the business.
Every business needs to sell to make a profit. And it only achieves this by anticipating trends and aligning with the market. You also need to have relevant products or services and provide a complete customer experience. A chief marketing officer will have a 360 view of marketing, being able to connect all the dots of the puzzle and translate business needs into impactful initiatives. They will be responsible for providing direction, facilitating marketing management and assessing the right timing of each investment.
Hiring a CMO as a Service should even be the first option before hiring a specialized agency. With his vision of the whole, he knows how to extract the best from each specialized agency for the company to obtain maximum results. Likewise, he can proceed with the management of marketing teams, ensuring the team’s performance and being a bridge between the operation and the leadership.
But each business situation is unique and must be analyzed on a case-by-case basis so that expectations are aligned with the company’s objectives.
What are the benefits of having a CMO as a Service?
There are several benefits to hiring a CMO as a Service. Especially for small and medium-sized companies that need flexibility, high value delivery and achieve results faster.
- Strategic
- More focus on company management.
- Honest feedback, as he is not embedded in internal politics.
- Insights and data with a generalist and multi-market perspective.
- Operational
- Optimization of marketing strategies.
- Better use of specialized agencies.
- Flexibility to increase or decrease marketing efforts as needed.
- Resources
- Leveraging efforts based on business priorities and timing.
- Efficiency and effectiveness in marketing operations and teams.
- Saving time, money and energy.
In addition, a CMO as a Service brings valuable insights and knowledge, helping companies better understand their customers and create more strategic and focused marketing initiatives.
How to know if you are ready to outsource a CMO as a Service?
Hiring a CMO as a Service is an excellent opportunity to quickly access important expertise to leverage marketing and generate business without adding staff. Consider all or some of the following points to know if you are ready to hire a CMO as a Service.
- The company is not growing at the expected pace or its marketing efforts are not producing the desired results.
- Company administration is time-consuming and you need an experienced professional with the autonomy to move marketing forward.
- Your products or services are complex and the market is highly competitive.
- You know you need to invest in marketing, but you don’t know what or how to do it.
- You don’t have a marketing team or your team is already stretched to take on additional projects.
What does Chief Marketing Officer as a Service (CMOaaS or CMOS) include?
Many small and medium-sized companies are turning to CMO as a Service (CMOS or CMOaaS) agencies. These companies/agencies offer, in addition to the CMO service, a range of complementary services that can help organizations develop more effective marketing strategies and better understand their customers.
The main focus of CMO as a Service is to make a diagnosis of the company to design effective strategies that leverage the business, create a unique brand, drive growth and maximize revenues. When supported by specialized operational teams will act in the management and supervision of several marketing initiatives.
The work of a CMO as a Service can be very comprehensive. Therefore, it is important to define objectives and priorities to optimize efforts, avoiding diffuse initiatives without the necessary impact.
- Diagnosis and planning
- Marketing and go-to-market strategies
- Growth Hacking
- Demand generation and leads
- Customer success and churn management
- Branding and PR
- Digital marketing
- Endomarketing
- Website – SEO, user optimization, conversion
- Search marketing (Google Ads)
- Events in general – corporate events, fairs and conferences, product launch and stakeholder relationship
- Product management and product launches
- Marketing tools and budget management
- … among many other tasks that can be assigned.
CMO as a Service can be a valuable asset for any company, small, medium or large.
How to make the most of CMO as a Service?
Hiring a CMO as a Service can be an invaluable opportunity or a great challenge. But it will always be an important step to leverage a company’s business, if conducted correctly. Consider your company’s landscape and business objectives to find the right professional.
Below are some factors to consider and make the most of your CMO as a Service.
- Have clearly defined objectives
- Define the metrics for measuring these objectives
- Give autonomy. “It makes no sense to hire smart people and tell them what to do…” – Steve Jobs
- Invest time in immersion and diagnosis. An experienced CMO will spot improvements where you least expect them.
- Involve him/her in strategy meetings. Don’t be afraid to share the “nitty-gritty” details of your business.
- Be prepared for questioning and provocation. And “no’s” and “depends”.
- Maintain constant and open communication.
Research and consider your options. Find someone who fits the current or desired company culture. This will ensure the smooth flow of work and longevity of the partnership so that the time invested bears constant fruit. Experience and skills are important, but they can always be learned and developed; culture cannot.
TL;DR
- The CMO as a Service has been gaining ground due to the possibility of allowing the owners and partners of the company to focus on the management of the business.
- The CMO tends to act at a strategic level, offering a complete set of services, with the ability to develop marketing research, brand development, digital marketing, communication, endomarketing, public relations and events.
- The CMO is responsible for marketing, brand reputation, as well as revenue and customer experience.
- There are many duties of a CMO, from the development of a campaign to its management that must be aligned with the objective, usually revenue related.
- The CMO must have autonomy to lead the marketing team, reporting directly to the CEO.
- The average annual salary of a CMO is 348 thousand dollars and can exceed 1 million easily.
- The biggest difficulty in hiring a CMO is finding the combination of cultural fit, competence and experience.
- There are some hiring formats, among the main ones are: part-time, temporary, remote or virtual and by project.
- Among the benefits of hiring a CMO as a Service, we have strategic thinking with a generalist perspective and flexibility. In the operational field, it optimizes strategies and makes better use of agencies.
The last question: Who can help me outsource a CMO as a Service?
The key is to find a partner with whom you have empathy and cultural fit with the company and the set of skills and experiences needed to achieve your company’s goals. Having a marketing that brings results and is aligned with the needs of your demands is much more important than doing everything. If you are looking for someone with a 360 vision, ownership, curiosity and who can fit all the pieces of the puzzle together, consider Outliers 360’s to outsource your CMO as a Service.
We can help you activate your company’s marketing, develop a relevant strategy, track progress and measure results.
If you have any questions, chat with us!