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Amol Ghemud Published: August 14, 2018
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You have a great and innovative product which is doing well in the market, and its loyal users have spread goodwill about it through word of mouth and their online network without you ever using SEO or social media management. But just as Paul Graham accurately predicts this period in the life of every start-up as the “Trough of Sorrow,” you will need to put together some marketing efforts to save your business through the use of social media management and SEO. The Internet has grown huge in last few decades, and it has created vast opportunities to reach out to your specific target audience. You as a VP Marketing, have to make sure that you do not miss this opportunity.
Digital Marketing Boom
There is a phenomenal rise in e-commerce business and cloud-based services around the world which is encouraging young adults to choose digital marketing as a career option. It has spurred the demand for professionals in the field of Search Engine Optimization (SEO), Social Media management, Software development, Data Analytics and Application development. In the year 2011, the stats for digital marketing revealed that the net worth of advertisements via mobile devices and tablets was $2 billion while in 2012 it rose 200% to reach $6 billion. The International Journal of Advanced Research Foundation stated that India is witnessing the golden period of the growth of the Internet sector between the years 2013-2018 with stunning growth opportunities in E-Commerce, Social media. Internet Advertising, Search, Online Content and Digital marketing.
Here are some interesting stats which indicate the size of Digital Marketing industry in India:
34% of companies in India had an integrated digital marketing strategy in the year 2016
72% digital marketers believe the traditional model of marketing is not sufficient and through digital marketing, the company revenues will be increased by 30% by the end of 2017
80% businesses in 2017, will increase substantially their digital marketing budget which would surpass their IT budget.
92% of social media users are from mobile phones and tablets.
According to the Internet and Mobile Association of India (IAMAI, 2008), there were about 286 million social media accounts in 2008 in India. IAMAI rightly projected it would be 500 million by 2010 and according to TRAI the total mobile subscribers in India grew to 980.81 million users in the year 2015. It is a plethora of opportunities to explore regarding marketing. You just need to be careful while making these critical decisions. One of the most critical decisions that you need to take is to whether go for an in-house digital marketing team or outsource the digital marketing services.
Let’s evaluate in-house vs. outsourcing digital marketing company pros and cons:-
Pros and Cons
To get about on your Startup marketing strategy, you must hire an in-house team to handle all your email marketing, ad placement, web designing, social media management, SEO and blog management. For an in-house marketing team, you must hire a Marketing Manager, Content writer, SEO and Analytics expert and Social Media Manager to assist you on your Startup Marketing Strategy. They should be experienced professionals who would help you to gather customer information, run test campaigns and give you pointers on buyer personas.
In-House Marketing
Pros
Cons
Access to routine daily discussions on the performance of the company
Increases the overall marketing cost
They know the business in and out.
Hiring wrong people is always an issue.
You can communicate and share marketing strategies at any time you want
If the results aren’t satisfactory, you cannot just fire the entire staff.
Relatively lesser co-ordination problem
You need to invest in the tools and equipment, which again adds to the cost
Outsourced Digital Marketing Agency
Pros
Cons
They have the accessibility of wide range of marketing tools to perform specific tasks
They don’t have access to all your business details. That’s why they don’t understand your business as much as you do
They understand the market trends, changes and the requirements accordingly
Co-ordination problem. Sometimes they can take a longer time to respond
You can get the right people with right skill set according to your requirement
You always have a choice to replace, if you aren’t satisfied with the result
An in-house marketing team will benefit you as all the team members are around you in the office. Choosing an agency takes a lot of effort from you, as you will have to have put in a lot of coordinating efforts to make sure the ad agency, content writing agency and all other places you outsourced to are all aligned together.
Why to Outsource Marketing
If you’re thinking to outsource marketing to an external agency to cut costs, you need to outsource it to a digital outsource service which is good at outbound marketing.
They should be able to do marketing, lead generation, maximize ROI and be able to get conversions.
Outsourcing all your content requirements to a Content marketing agency who specializes in inbound marketing would make your content marketing strategy strong.
Digital marketers are also constantly adapting their ways to target audience to meet up with the current evolution in Digital Marketing industry in India.
Digital marketing agencies are well versed in Marketing Automation. Marketing Automation is about software and tools hacks, which allows the companies to grow prospect customers through personalized and useful content. That ultimately converts prospective customers into customers, and in-turn converts customers into delighted customers who return again and again to a better range of services.
In-house Team Drawbacks
An in-house marketing team will find it harder to execute Marketing automation more efficiently as they do not have the expertise and knowledge required to implement it.
Outsource your digital marketing to an agency which is highly experienced and has worked with clients from many different verticals. The level of marketing expertise they will bring to the table will be very high in comparison to an in-house team, and they would also be able to suggest experiments which an in-house team may not be even aware of.
Growth hacking is a relatively new term in digital marketing and has been used increasingly in the tech world. Startups want fast growth and are using Growth Hackers to get millions of users and make more money in revenue.
Growth hacking has to be done by an independent team and so outsourcing it would seem like a wise decision to make.
Reasons to Outsource Marketing
The Benefits of outsourcing digital marketing to an external agency, which has worked on Growth Hacking techniques before, will be massive for you and ideal to achieve more significant collaboration.
They will have experienced marketers on their team who have worked with top-notch companies in your industry and your vertical.
If you are not aware of Growth Hacking and don’t have experience training and growing your in-house digital marketing team, then digital marketing outsourcing to an external agency will give you an excellent opportunity to learn about Growth Hacking techniques from a well-qualified outsourced marketing team.
A digital marketing agency can give you professional insights into Advertising Personalization which your in-house team would not be able to do.
Marketing agencies are cautious about their reputation and so keep themselves abreast on latest Growth Hacking techniques and conduct training sessions on Advertising Personalisation with their team member s so that they are always on top of their A game.
If you outsource online marketing to an external agency, it would give you access to a much better and more advanced Growth Hacking strategy.
You must be ready to experiment with latest and modern marketing platforms and targeting methods. To grow your business to newer heights, you must be happy to work with new marketing tools that may be a little rough to work with but may get you higher returns.
When Facebook had launched Facebook ads, it wasn’t difficult to get ten time the returns for a regularly paid search ad. But now this platform has become very competitive. However, there are newer forums and new targeting options like Gmail Sponsored Promotions which are new and can get you better returns here. Before you partner with an agency, it is important to know what you are stepping into. This checklist will help you evaluate the agency form every angle and give clarity in your marketing path.
Have the Best of Both Worlds
Hiring an In-House Digital Marketing team or outsourcing to an external agency is one of the most crucial decisions to make in your marketing strategy. Frankly, you should have the best of both worlds. With a combination of in-house knowledge and experienced industry expertise depending on your requirements.
For Curious Minds
An *integrated digital marketing strategy* is a unified approach where all digital channels, including SEO, social media, and email marketing, work together to achieve business goals. This is essential for moving beyond early traction because it creates a predictable system for attracting and converting customers, preventing the stagnation often referred to as the Paul Graham 'Trough of Sorrow'. The data shows that companies recognize this necessity, with 34% of Indian companies already having an integrated strategy in 2016. A cohesive plan ensures consistent messaging and allows you to:
Build Brand Authority: Use SEO and content to establish your company as a leader.
Engage Your Audience: Leverage social media to connect with users on platforms where they are most active.
Drive Conversions: Implement targeted ad campaigns and analytics to turn prospects into buyers.
This structured approach provides the marketing horsepower needed to overcome market plateaus. Exploring the different components of such a strategy is the first step toward building a sustainable growth engine.
The choice between an in-house team and an outsourced agency involves a critical trade-off between control and cost versus specialized expertise and resource access. An in-house team offers deep product knowledge and daily collaboration, but it comes with higher fixed costs, including salaries, equipment, and the risk of poor hires. Conversely, an agency provides access to a wide range of marketing tools and experienced professionals without the overhead, but may lack intimate knowledge of your business. Your decision should be based on weighing these factors:
Cost Structure: An in-house team is a significant fixed cost, whereas an agency is a variable operational expense.
Control vs. Expertise: You have direct oversight with an in-house team, but an agency brings broad industry experience from multiple clients.
Scalability: Agencies can often scale efforts up or down more quickly than you can hire or fire internal staff.
Ultimately, a startup must evaluate its current financial runway and the required speed of execution. Understanding the nuanced pros and cons detailed in the full analysis can help you make a more informed and strategic choice.
The data from Indian organizations paints a clear picture of a massive and rapidly expanding digital audience, making it a prime market for strategic outreach. The Internet and Mobile Association of India (IAMAI) noted 286 million social media accounts back in 2008 and projected a rise to 500 million by 2010. More recently, TRAI reported that total mobile subscribers in India grew to 980.81 million by 2015. This incredible mobile penetration is key, as 92% of social media users access these platforms via mobile devices. This evidence confirms that a *mobile-first marketing strategy* is not just an option but a requirement for success in this market. The sheer volume of users represents a vast opportunity for e-commerce, content, and advertising, which you can harness with the right approach. A deeper look at these statistics reveals sector-specific trends that can further refine your market entry plan.
To build a successful in-house digital marketing team from scratch, you must hire for a set of core, complementary roles that cover the entire marketing funnel. A functional team moves beyond ad-hoc efforts to create a structured growth engine. You should prioritize filling these key positions to handle distinct but interconnected responsibilities, ensuring no critical function is overlooked. The essential hires include:
Marketing Manager: To oversee strategy, coordinate campaigns, and ensure alignment with business goals.
Content Writer: To create compelling blog posts, website copy, and marketing materials that resonate with buyer personas.
SEO and Analytics Expert: To optimize for search visibility, track performance metrics, and provide data-driven insights.
Social Media Manager: To manage online communities, engage with customers, and run social campaigns.
Securing experienced professionals in these areas is the first step toward gathering customer information, running test campaigns, and achieving sustainable growth. Each role contributes a unique skill set, and understanding how they interact is crucial for success.
The fact that 80% of businesses intended to boost their digital marketing budgets signifies a major market shift toward online channels, intensifying competition for audience attention. To stay ahead, you must move from simply participating in digital marketing to achieving mastery through an *efficiency-focused and data-driven strategy*. This means allocating your increased budget not just to more ads, but to smarter, more sophisticated initiatives. Key adjustments include:
Investing in Analytics and Martech: Use advanced tools to gain deeper insights into customer behavior and campaign performance.
Focusing on Niche Targeting: Avoid broad campaigns and instead identify and dominate specific, high-value audience segments.
Prioritizing Customer Retention: Allocate budget toward email marketing and community management to increase lifetime value.
As digital advertising costs rise with demand, your competitive edge will come from optimizing every dollar spent. The full article explores how to build a budget that prioritizes ROI over sheer volume.
A well-executed digital marketing strategy directly solves the 'Trough of Sorrow' by replacing inconsistent, word-of-mouth growth with a predictable and scalable customer acquisition engine. Startups in this phase often stall because their initial buzz fades and they lack a system to reach new audiences. Digital marketing, specifically through SEO and social media, creates sustainable momentum by systematically building long-term assets. This approach works by:
Creating Lasting Visibility with SEO: Unlike paid ads, strong SEO rankings generate consistent, organic traffic over time without continuous spending.
Building a Community with Social Media: It allows you to engage directly with users, gather feedback, and cultivate brand loyalty that fuels repeat business.
Gathering Customer Data: Analytics from these channels help you refine buyer personas and improve your product and messaging.
By implementing these tactics, you create a marketing foundation that consistently delivers new leads and customers. This transition from reactive to proactive marketing is explored further, offering a roadmap out of stagnation.
These roles are critical because they represent the three core pillars of a modern, results-oriented marketing operation: attracting, engaging, and optimizing. Relying solely on traditional marketing is no longer sufficient, a belief held by 72% of digital marketers. A truly effective team needs specialists who can manage the entire digital customer journey, and these roles are designed to do just that. Their individual contributions are:
SEO Professionals: They ensure your business is discoverable by potential customers actively searching for solutions, forming the foundation of lead generation.
Social Media Managers: They build and nurture relationships with your audience, turning passive followers into loyal advocates.
Data Analysts: They interpret performance data to provide actionable insights, ensuring your marketing budget is spent effectively and strategy is constantly improving.
Without these specialists, your marketing efforts will lack direction, engagement, and accountability. Understanding their distinct functions is key to building a team capable of driving real revenue growth.
This data provides unequivocal proof that a *mobile-first advertising strategy* is non-negotiable for achieving campaign success and maximizing ROI. The explosive 200% growth in mobile ad value, reaching $6 billion, was an early indicator of a fundamental shift in user behavior. Coupled with the fact that 92% of social media users are on mobile, it is clear that the primary touchpoint for your audience is a mobile device. Therefore, you must prioritize mobile in every aspect of your budget allocation and creative development. This includes:
Dedicating a Majority of Ad Spend: A significant portion of your advertising budget should be explicitly allocated to mobile-optimized platforms like Instagram, Facebook, and mobile search.
Designing for Vertical Formats: All creative assets, from videos to images, must be designed for vertical viewing on phone screens.
Optimizing for Mobile Conversions: Landing pages and checkout processes must be streamlined for mobile to reduce friction.
Ignoring this dominant trend means missing out on the vast majority of your target audience. Discover how to structure a budget that reflects this mobile reality.
Hiring mistakes for creative and strategic roles like Content Writer or Social Media Manager often stem from focusing too much on technical skills and not enough on cultural fit and strategic thinking. These errors are costly, wasting both time and resources. Stronger companies avoid these pitfalls by implementing a more rigorous and holistic evaluation process to ensure new hires can truly drive results. Common mistakes to avoid include:
Overvaluing follower counts: A Social Media Manager with a large personal following may not understand how to build a brand's community.
Ignoring writing versatility: A Content Writer who excels at one format, like short-form social posts, may struggle with long-form SEO articles or technical whitepapers.
Failing to test strategic abilities: Giving candidates practical, real-world assignments during the interview process reveals their actual problem-solving skills.
To mitigate these risks, you should prioritize candidates who demonstrate a deep understanding of your business and buyer personas. A deeper guide can show you how to structure interviews to identify true strategic thinkers.
Achieving a 30% revenue increase through digital marketing requires a structured transition from disjointed traditional efforts to a fully integrated online strategy. This involves more than just launching a social media page; it requires a systematic overhaul of how you approach customer acquisition. A practical plan for this transition focuses on building a strong foundation and then scaling your efforts methodically. The key steps include:
Conduct a Digital Audit: Analyze your current online presence, competitor activities, and identify your target audience's digital habits.
Define Clear KPIs: Set specific, measurable goals for website traffic, lead generation, and conversion rates that align with the 30% revenue target.
Build Foundational Channels: Start with an optimized website and a core content strategy (blogging/SEO) before expanding into paid ads or complex social campaigns.
Test and Iterate: Launch small pilot campaigns, measure results with analytics, and reinvest in what works.
This phased approach minimizes risk and ensures your digital marketing budget is deployed effectively. For more detail on each step, the full text provides a deeper look into a successful transition.
The 'golden period' of internet growth in India created a massive, digitally-native consumer base that is now mature and highly receptive to online services. The lasting implication for today's companies is that you are entering a sophisticated market, not an emerging one. The foundational growth driven by organizations like IAMAI and TRAI means that user expectations for digital experiences are high. Strategies that might work in less developed markets, such as basic e-commerce sites or limited digital advertising, will not suffice. To succeed now, you must:
Prioritize Mobile-First Design: With 980.81 million mobile subscribers by 2015, the market is overwhelmingly mobile.
Localize Your Content and Services: The audience is diverse; a one-size-fits-all approach will fail.
Compete on Customer Experience: With a crowded field of competitors, superior service and a seamless user journey are key differentiators.
The opportunity remains immense, but the bar for entry is higher. Learn more about the strategic adjustments needed to capture this valuable market.
An integrated digital strategy overcomes the primary limitations of traditional marketing, which are poor targeting, a lack of measurable ROI, and one-way communication. Traditional channels cast a wide, untargeted net, making it difficult to know who you are reaching or if your message is effective. Digital marketing provides precise solutions to these exact problems, which is why a majority of marketers see it as essential. Key advantages include:
Precision Targeting: Digital platforms allow you to target specific demographics, interests, and behaviors, ensuring your message reaches the most relevant audience.
Measurable Results: Unlike a billboard, every click, view, and conversion online can be tracked, allowing for precise ROI calculation and campaign optimization.
Two-Way Engagement: Social media and content marketing create a dialogue with customers, fostering loyalty and providing invaluable feedback.
By addressing these core weaknesses, digital marketing enables you to spend your budget more efficiently and build stronger customer relationships. Understanding these differences is the first step in justifying a strategic shift.
Amol has helped catalyse business growth with his strategic & data-driven methodologies. With a decade of experience in the field of marketing, he has donned multiple hats, from channel optimization, data analytics and creative brand positioning to growth engineering and sales.