Marketing ROI: The Least Advised (but Most Obvious) Factor
McKinsey & Company, in their report What Happens Next?, predict that the next decade will see emerging economies growing at five times the rate of established ones. In order to realize 30-40% savings in operations, “C” executives need to figure out the global economy. Today, you can get a wide array of marketing, media, SEM, creative and production services abroad.
Admittedly, this is easier said than done. These solutions come with a bewildering mix of cultural, process and knowledge profiles. The marketplace is cluttered with dozens of companies, many of whom seem to regularly misunderstand the levels of quality needed. The vast majority are boutique companies without the ability to truly create a solid operation shielded from global economic forces needed to ensure business continuity. The marketplace of offshore providers is today what the offshore information technology market was in its infancy.
However, large, established, enterprise solutions will emerge. As much as we accept Accenture, IBM, Satyam, Unisys and HCL for their ability to bring technology services from offshore, similar companies will emerge in the marketing and advertising services realm. In five years, no one will question if marketing and advertising production services can reliably come from India, the Philippines and other parts of the world.
Today, the best ones provide a white label solution, multiple shifts (to overcome time zone challenges), a highly stable workflow, technology and infrastructure solution, and a concerted focus toward quality. They require no cash upfront and advise you on how to properly offshore and manage resources. They often provide teams that have worked in the west for decades and come with all the insurance, contract terms and policies that are expected of reputable companies in developed countries.
Offshoring an entire production process is not easy, and it does require a strategic commitment. Ideally your “C” level executives need to commit to the practice and be involved. But it can work well. You can reduce your marketing costs by 30% or more.