In this blog, we will compare the advantages and challenges of working with a Pay-per-click agency vs. managing PPC campaigns in-house. This will help you choose which option scales better for your business.
Difference Between PPC Agency and Doing It In-House
PPC campaigns include several interconnected factors including keyword research, ad copywriting, bid management, and constant optimization. Here is how these two approaches differ from each other:
- PPC Agency: A PPC agency typically has a team of experts with specialized skills. They have extensive experience in managing large budgets and executing complex campaigns. They leverage advanced tools to continuously optimize your ads.
- In-House: In-house teams are usually smaller and focus on your brand’s unique goals. They may be more familiar with your business. However, their level of expertise can not match with an agency, especially when handling advanced strategies or scaling.
Working with a PPC Agency
If you are partnered with an agency, for example if you are hiring a digital advertising agency then you can gain access to a team of specialists who can spend their time on crafting and executing successful campaigns. The agency will handle everything from initial strategy to daily optimizations. This will help your team to focus on other tasks that are on priorities.
One of the biggest advantages of working with an agency is having access to specialized tools and expertise. These agencies use advanced PPC software to track, optimize, and scale campaigns. An agency can easily scale your efforts by handling larger budgets, new campaigns, and more channels without overloading your team. This ensures maximum return on ad spend (ROAS)
Benefits of Having an Online Marketing Agency
- Expertise: Partnering with an agency gives you access to professionals who specialize in running successful campaigns. According to WordStream, businesses that work with agencies see a 73% higher ROI compared to in-house teams. Agencies have a lot of knowledge and experience across different industries. This helps them in adapting to trends quickly.
- Access to Advanced Tools: Agencies often use premium tools that may not be affordable for in-house marketing agencies. These tools help agencies in analyzing competitors, improving targeting, and optimizing bids efficiently. This can lead to better performance.
- Time-Saving: Managing your digital campaigns with a professional team can help you focus on growing your business. According to Clutch, 63% of businesses that hired external help for their advertising management say that they usually save about 10 hours a week compared to handling it themselves.
Challenges of Working with an External Agency
Agencies bring a lot of value to your table, but there are also some challenges you can face while working with an external team:
- Less Control: You can feel disconnected from the process as the agency handles all the strategies and executions on their own. It is hard to get immediate responses or adjustments sometimes when you need to make quick changes.
- Communication Gaps: If you are working with an external agency for your business then you get more issues. This can lead to miscommunications or delays in implementation. In-house teams might offer more aligned communication since they are part of the same organization.
- Agency Fees: The results are often worth it, but agencies do come with a cost. Usually, they charge a monthly fee or take a percentage of your ad spend. This can be a drawback for businesses with tight budgets.
Leveraging In-House PPC
Managing Company-owned marketing teams can give your team complete control over your campaigns. Your internal team can execute and optimize campaigns effectively with the right skills and resources. Your in-house team has a stronger understanding of your brand, audience, and goals. This makes it easier for them to create highly targeted ads that can speak to your customers. In-house marketing teams often work closely with sales and product teams, which allows them to align these campaigns more directly with the business’s overall objectives. Unlike working with an external agency, these teams have the flexibility to make immediate adjustments and strategies without waiting for feedback.
Benefits of In-House Marketing
- Cost Control: Running campaigns in-house can be more cost-effective for you in the long run. Glassdoor reports that the average salary of a PPC manager in the U.S. is around $55,000 per year. This can be more affordable compared to agency fees.
- Tighter Control and Flexibility: In-house teams can make quick decisions without waiting for approvals from an external partner. This can be a huge advantage for businesses that need quick changes or experiment with new ideas, unlike when you hire an advertising expert externally that may take a longer time to implement things.
- Stronger Integration: In-house teams are included within the business and have a more complete understanding of your strategy. This makes collaboration with other departments, such as sales and customer service much easier.
Disadvantages of In-House PPC
- Limited Expertise: Even if they have a skilled in-house team, they can still not have the advanced expertise that an agency can offer. Your campaigns also grow with growing business complexities. In this type of situation, your in-house team may struggle to keep up.
- Resource Strain: Managing these campaigns in-house means that your team will have less time to focus on other crucial areas of your business. This can lead to burnout, inefficiencies, and mistakes that could cost you in the long run. Hiring a PPC specialist from an agency helps distribute the workload more effectively.
- Higher Training Costs: You may need to invest in training and tools to make sure that your in-house team stays updated with industry trends and best practices. This is an ongoing expense that many businesses ignore.
Comparing Scalability
When it comes to scaling your Pay Per Click efforts then agencies are more likely to have a bigger role. An agency with experience in different industries can quickly draw up your campaigns to reach new audiences, expand into new markets, and handle larger budgets. They have the resources, tools, and expertise to scale efficiently.
Scaling in-house can be challenging, on the other hand. It requires more team members, training, and possibly new tools. The in-house advertising team might struggle to manage multiple campaigns when your business grows.
Cost Consideration
PPC Agency Costs:
- Agencies generally charge monthly fees that can range from $1,000 to $10,000. This depends on the scope and complexity of the campaigns. Some agencies also charge a percentage of ad spend.
In-House Costs:
- Management might seem cheaper at first, but it can become costly as your business expands. The cost of hiring an in-house team includes salaries, benefits, software tools, and training. While in-house
Final thoughts:
Whether you choose to hire a paid search agency or handle campaigns in-house, both options have their advantages. The key is to assess your business needs, resources, and long-term goals. If you are still unsure about which approach to take, then consider working with an expert to discuss your options.
If you’re still unsure which path is right for you, feel free to book a call with us at your convenience to discuss the best approach for your business.
At iClick Advertising, we specialize in tailored solutions that drive growth. Contact us today to see how we can help you scale your PPC campaigns!