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The Pros and Cons of Inhouse or Outsourced Marketing efforts

Discussion in 'Off Topic & Everything Else' started by Jeff Kershner, Sep 17, 2019.

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  1. Jeff Kershner

    Jeff Kershner
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    To outsource or bring in-house your dealerships marketing efforts - that's always the question...

    What do you think?
    What has been your experience?
     
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  3. John.H

    John.H
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    Well there's definitely benefits to either one. I'll try and say this as unbiased as possible, transparently - I work on the Vendor side of the business.

    Here's a short Pros & Cons list I've made, just to put things into perspective:

    Pros of Hiring Marketer(s) In-House:

    * You can control the sources in which you advertise on.

    * You'll deploy advertisement campaigns in a more timely manner.

    * Your chances of being in non-compliance lawfully are certainly lower. (things are most likely pre-approved before ran)

    * The methods of advertising may be more lucrative. Fresh eyes bring innovation to the table.

    * Quick resolution in the event a campaign were to go south. (less bottlenecks & moving parts on the dealer side)


    Cons of Hiring Marketer(s) In-House:

    * Most new hires are inexperienced.

    * Benefits, paperwork, and standard procedure of a new hire.

    * Might cost more than a Vendor.

    * Likeliness to fail is much greater.

    * Will need time to fail and learn from mistakes.


    Pros of Hiring a Digital Vendor for Automotive Sales Marketing:

    * Likeliness of running a successful campaign is much greater.

    * Usually very hands-off and requires little intervention.

    * Problems are usually resolved much faster. (comes from experience)

    * Usually more cost effective than hiring somebody in-house.

    * Understands the complexities of advertising in the automotive business.

    Cons of Hiring a Digital Vendor for Automotive Sales Marketing:

    * Non-innovative. Tends to stick to one thing that works, and is reluctant to try anything different.

    * Campaign customization only exists in small Digital Vendors. Big Box Vendors don't typically customize things specific to tastes and objectives.

    * Usually slow in support, and slow to correct problems.

    * Can be clunky integrating the way they work into your operations.

    * Pretty hard to attribute their services to Sales Metrics without taking a deep dive into things.
     
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  4. Ryan Thompson

    Ryan Thompson
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    We should do this exercise for other areas.. BDC, and Warranty are a couple that come to mind.

    I'm outsourcing our warranty admin to a small super niche company that handles GM dealers. What a beautiful thing!!

    For a lot of smaller dealers it's so hard to justify a full time wage for warranty admin and the service manager is typically slammed with a million other things.

    A few of my thoughts on what I'm outsourcing vs doing in house

    In-House

    - inventory photos
    - Videos (90% of them)
    - Social Media
    - Email Marketing

    Outsource:

    - Warranty Admin
    - BDC (sales and service)
    - 80% of Graphic Design
    - PPC and Facebook/Insta Ads (I still have a lot of input in the campaigns just not messing around with creating copy, loading photos, building audiences)
    - Used Car Detailing for recon (don't have the space)

    Would love to hear what other dealers are doing. @Jeff Kershner@Jeff Kershner - Maybe this should be it's own thread.
     
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  5. Jeff Kershner

    Jeff Kershner
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    First Name:
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    DealerRefresh & Mercedes-Benz of Hagerstown
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    That's exactly what i did! Thanks for the suggestion @Ryan Thompson@Ryan Thompson
     
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