Fractional marketing is not a new concept to high-growth companies. The concept emerged out of necessity, from a world that rapidly transitioned to more flexible work arrangements and brought with it a changing financial landscape. . 

The fractional marketing approach gives your company a group of channel specific professionals offering their specialized skills on a part-time, as-needed basis. Instead of maintaining a full-time, in-house team, you can utilize these professionals in a cost-efficient, variable cost-model, making the arrangement 'fractional.' 

Such a structure integrates various talents into your organization, each offering their unique abilities when and where they're most needed. In essence, it's a shift from the traditional, monolithic team structure to a more dynamic, agile assembly of skills.

Why Fractional Marketing Teams are Gaining Popularity

The rise of fractional marketing teams can be attributed to numerous factors, including modern businesses' needs for flexibility, cost-effectiveness, and specialized talent. With the changing business landscape, organizations are seeking ways to remain agile and adaptable, making fractional teams an appealing option.

Instead of incurring the cost of full-time specialized employees, businesses can now access high-level expertise on a part-time basis. This trend, coupled with the ever-increasing need for diverse marketing skills in the age of digital marketing, has propelled the popularity of fractional marketing teams. They're seen as a smart, scalable solution for businesses navigating the modern marketing landscape.

"The future of marketing is fragmented because it's the only way to reach today's fragmented audiences. With so many different channels and touchpoints, brands need to be able to deliver personalized messages across the entire customer journey."

Brian Halligan, co-founder and CEO of HubSpot

As more organizations adopt this model, understanding its intricacies becomes important for growth-seeking companies. 

This article takes a deep-dive into fractional marketing. We'll explore the rise of these teams, the benefits they offer over traditional models, and when they could be most beneficial. We'll also look at how to build a successful fractional team and some challenges that might surface. 

The goal is to prove our case that the future of marketing is fractionalized.

What are fractional marketing teams?

Fractional marketing teams consist of professionals providing specific services on a part-time or project-basis. This structure contrasts with traditional in-house teams, where employees are recruited full-time, regardless of the strategy, workload, or level of their required expertise. 

Understanding that high-growth companies need much more than a "head of marketing," fractional teams offer their services when needed, adapting to the organization's fluctuating requirements.

This setup can include an assortment of professionals, from digital marketing experts to content creators, SEO specialists, and social media strategists, all the way up a fractional CMO. 

Depending on the business's needs, they may work just a few hours each week or for a concentrated period during a particular project, embodying a truly flexible approach.

Several key benefits make fractional marketing teams more attractive than traditional ones.

• First, they offer flexibility, allowing businesses to scale up or down based on their needs.

• Second, cost-effectiveness is inherent, as businesses pay for services only when needed, reducing the overhead costs associated with full-time employees.

• Third, access to specialized talent is easier, with professionals available across various fields, bringing diverse and high-level expertise.

• Lastly, these teams provide scalability. As the company grows, additional skills can be added without the usual hassle or cost of hiring.

The above points will undoubtedly resonate with founders and revenue leaders at growth-seeking companies. 

Examples of fractional marketing teams

Examples of fractional marketing teams are becoming increasingly common with B2B and B2C  across a range of industries and company sizes. 

For instance, a tech startup might enlist a fractional team consisting of a product marketing manager, SEO specialist, content strategist, and performance marketer to launch a new product. 

To evolve their brand positioning they may hire a fractional team including a brand strategist, UI/UX experts, and a graphic designer. 

The use cases for fractional marketing teams are endless and they’re not limited to early and mid-stage growth companies. Larger corporations, not wanting to expand their full-time staff, might bring in a fractional team of marketing experts with a high-growth startup background to lead innovation, implement new acquisition channels and lead the change management within their existing teams. 

These examples prove how fractional marketing teams, with their broad range of operational flexibility, are reshaping the way businesses approach their go to market strategies.

Why are the key benefits of Fractional Marketing Teams?

Flexibility 

Flexibility is a key advantage of fractional marketing teams.The ability to adapt quickly to market dynamics including, financial climates of uncertainty, competitive pressure, customer needs, and new opportunities is valuable. Fractional teams offer the ability to respond to these changes swiftly.

Instead of being locked into a fixed set of skills with a full-time team, businesses can adapt their marketing approach as needed by engaging a range of fractional experts.

Scott Brinker, Chief Marketing Technologist at HubSpot:

"Fractionalized marketing is the future of marketing because it allows brands to reach their target audiences more effectively and efficiently. By targeting specific audiences with personalized messages, brands can increase brand awareness, drive sales, and improve customer loyalty."

Cost-Effectiveness 

Fractional marketing teams provide significant cost advantages. Businesses can access high-level expertise without bearing the full cost of a permanent employee's salary, benefits, and training. The variable, pay-as-you-use, cost model means that companies only pay for the specific services they require and only when they need them.

This allows for more controlled budgeting, particularly for smaller businesses or startups where resources might be limited. By only incurring costs proportional to their needs, businesses can make the most of their budget, ensuring that every dollar spent on marketing has a direct impact, making fractional teams a cost-effective choice in today's competitive landscape.

In addition, the time factor is an enormous benefit. Allowing companies to get to market faster without worrying about the administrative burdens of recruiting, hiring, and onboarding is a major win.

Access to Specialized Talent

Another driving factor behind the popularity of fractional marketing teams is access to specialized talent. The marketing field has become incredibly diverse, with a wide array of specialized areas from content and SEO to data analysis, marketing ops and more. By adopting the fractional model, businesses can tap into this pool of talent on an as-needed basis, getting the right expertise at the right time.

This could mean engaging an SEO expert and web developer for a website revamp, a social media specialist for a specific campaign, or a data analyst for market research. 

This access to diverse skills is invaluable in crafting a robust marketing strategy. And it’s a mistake to believe that one head of marketing or a two to three person team can effectively handle the potential acquisition channels.  

Scalability 

Scalability is another main benefit of fractional marketing teams. As a business grows, its marketing needs change, and the ability to scale marketing efforts is vital. With a fractional team, a company can easily adapt their go to market strategy and engage additional experts with experience in scaling companies with a similar trajectory. 

Likewise, during quieter periods, the team can be scaled back. This flexibility to grow or shrink the team depending on current needs and resources is a huge advantage, especially for growing businesses. With the fractional model, scalability is built into the system, making it a smart choice for companies of all sizes.

What should you consider before engaging a fractional marketing team?

The Size and Scope of Your Marketing Needs

Fractional marketing teams are an excellent choice when your marketing needs vary in size and scope. If your business has a mix of large projects, like product launches, and smaller ongoing tasks, such as social media management, a fractional team can adapt to these varying needs.

Instead of hiring full-time employees for each requirement, you can engage experts on a part-time basis, ensuring you have the right skills for each task. Similarly, if your marketing needs fluctuate seasonally, a fractional team can scale up or down accordingly, making them a flexible solution for businesses with diverse and changing marketing needs.

The Availability of In-House Marketing Resources

If your company has reached the stage where you’re considering hiring a head of marketing or if your in-house marketing team is limited or lacks certain skills, a fractional marketing team is worth considering. 

The in-house team might have done a great job getting you to your current phase but lack the first hand experience in scaling to the next growth phase. Instead of investing heavily in training or hiring full-time experts, engaging a fractional team can bridge this gap.

The fractional team can work alongside your existing team, enhancing the overall marketing effort with their specialized skills. This arrangement not only fills the skill void but also offers an opportunity for knowledge transfer, enhancing the capabilities of your in-house team in the long run.

A big part of our work at SystemTwo is the knowledge transfer we conduct during our handover phase. 

Budget and Financial Considerations

Budget is a key factor when considering fractional marketing teams. For startups and small businesses with tight budgets, hiring a full-time, specialized marketing team might be a stretch. In such cases, a fractional team offers a cost-effective alternative. Pay for what you need, when you need it, and control your marketing spend effectively.

Even for larger businesses, fractional teams can provide real value, allowing access to high-level expertise without the full-time cost. 

In all cases regardless of company size, the current economic landscape is forcing companies to become leaner. Fractional teams are a way to ensure that your marketing strategy continues to maintain your brand presence and bring in net new revenue. 

So, if your budget is a constraint or you're looking for a more efficient way to spend your marketing dollars, a fractional team is the answer.

Company Growth Stage

The growth stage of your company can influence whether fractional marketing teams are a good choice. Startups and rapidly growing companies can particularly benefit from these teams. In the early stages, startups may not have a defined marketing strategy and may require different skills at different times. 

Fractional teams can come in, conduct in-depth research, implement your go to market strategies, and start to gain traction by launching a few campaigns in less time than it would take for you to hire a full time employee. 

Rapidly growing companies may have increasing marketing demands but are not ready to commit to a full-time team. In both scenarios, the ability to quickly engage and disengage various marketing skills as required is extremely beneficial. Fractional teams offer this flexibility, making them a strategic option during these crucial business growth stages.

How to Build a Successful Fractional Marketing Team?

Identify Your Marketing Goals

Building a successful fractional marketing team starts with identifying your marketing goals. What are you trying to achieve? Do you want to increase brand awareness, drive revenue, or enhance customer engagement? Your goals will dictate the type of skills and expertise you'll need on your team.

For instance, if your goal is to improve your online presence, you might need an SEO expert and a social media strategist. Conversely, if you're launching a new product, you might need a product marketing specialist and a PR expert. Clear goals serve as the foundation for building a team that aligns with your business needs.

Identify the skills and expertise needed.

Once your goals are set, identify the skills needed to achieve them. This involves mapping out the specific areas of expertise that your marketing efforts will require. You might need skills in performance marketing, demand generation, or account-based marketing.

The beauty of a fractional marketing team is the ability to mix and match skills based on your needs. And remember these needs will change over time. The team you start with might not be the one you need a year from now. A regular reassessment of your skill requirements is therefore an important step in this process.

Establish clear communication channels and expectations.

Lastly, establish clear communication channels and set expectations. Open and frequent communication is vital to coordinating efforts, especially when team members might be working remotely or on different schedules. Utilize digital tools for project management, video conferencing, and instant messaging to foster effective communication. Also, clearly articulate your expectations.

Ensure everyone understands their role, the goals they're working towards, and how success will be measured. Regular check-ins and updates can help keep everyone on the same page and ensure the team is working cohesively. Clear communication and defined expectations are the cornerstones of a successful fractional marketing team.

Final Thoughts on the Future of Fractional Marketing Teams

The future of marketing is looking increasingly fragmented. As businesses adapt to a dynamic environment, the ability to be nimble and efficient becomes more important. Fractional marketing teams offer a promising solution, providing high-level expertise on a variable and cost-effective basis. They represent a significant shift in how we think about team composition and the execution of marketing strategies.

SystemTwo

SystemTwo starts with a discovery phase that gives you a clearer picture on the best fractional approach for your stage of growth. It may be enough to architect your strategy and support your current team or you may need us to come in with a team of experts to speed up your go to market and start gaining traction. 

It all starts with a discovery call with our marketing director.