What’s A Fractional CMO & Why Do I Need One?
The Chief Marketing Officer or CMO plays a critical role in any business. They’re responsible for developing and executing marketing plans & strategies to grow the company’s revenue and market share. But what happens when a company doesn’t have the budget to hire a full-time CMO? That’s where fractional CMOs (fCMOs) come in. In this blog post, we’ll discuss fractional CMOs and whether they’re worth it for your business.
What Is A fCMO?
A fractional CMO is a professional with the skills and expertise of a traditional CMO but available part-time or per project basis. These professionals typically have years of experience in marketing and are skilled at managing teams, crafting effective marketing strategies, and driving results.
What Does A fCMO Do?
Like a symphony conductor, a fractional CMO combines all the different elements of a marketing team and orchestrates them into a cohesive, effective strategy. An fCMO has experience managing teams of various sizes and marketing disciplines, so they can quickly streamline people, processes, and technology to achieve effective results.
In addition to managing a team, a fractional CMO also excels at developing and executing marketing campaigns focused on conversion and revenue. Whether helping to increase brand awareness, drive sales and revenue, or improve customer retention, a fractional CMO can work with your team to create and execute effective marketing strategies that yield tangible results.
What Does a Fractional CMO Cost?
You might be curious about the price tag of a fractional CMO. According to Glassdoors, the average salary of a CMO in the U.S as of October 2022 is between $110K – $340K per year. That does not include benefits, paid time off, or bonuses.
A fractional CMO, on the other hand, typically costs around $150/hour – $500/hour, depending on the scope of work and level of expertise required. While this may seem like a hefty price tag, it’s actually quite affordable, especially if you’re looking to scale quickly.
Is a Part-Time Chief Marketing Officer Right for My Business?
Let’s talk about who’s NOT a good fit for a fractional CMO.
If you’re on the fence about whether a fractional CMO is right for your company, consider the following:
How much revenue are you currently generating annually? If you’re bringing in less than $1M per year, a full-time CMO may not be worth the investment. After all, other aspects of your business need attention and resources. Similarly, if you don’t have a team to implement the strategies, then a CMO is not the right fit.
Now, let’s look at which companies are right for an fCMO.
If your company is currently making $2-$50 million yearly, you’re most likely in a pivotal growth period. A fractional CMO is perfect for businesses experiencing a period of rapid growth. An fCMO will help you expand your marketing efforts to reach your goals.
You’ll also need in-house staff to help implement strategies and follow your fCMO’s guidance. You don’t need a full marketing team, however, because an fCMO will help you build an advertising team and set up procedures for achievement, so your business grows profitably.
How Do I Hire A Fractional CMO?
Before hiring an fCMO, check their credentials. Here are a few questions you can ask:
‣ What’s their background?
‣ Do they have client testimonials?
‣ What’s the average ROI they provide for their clients?
The benefit of hiring an fCMO is that if you’re displeased, they’re easier to fire than an in-house CMO. But you’ll trust them with your business, so vet any fCMO before signing a contract!
If you’re currently looking for an fCMO, I’d be happy to chat with you. Book a call when you’re ready.