In today’s digital-first world, more and more law firms rely on their marketing technology infrastructure to improve client satisfaction, increase internal collaboration, and most importantly, reduce the amount of time attorneys and professionals spend on tedious, manual processes that take away from their billable hours.
But as firms begin to implement new technology, they often select the technology first, and consider people and processes second. This has led to a staggering number of failed marketing technology implementations, costing firms valuable resources including time, people, and thousands, if not tens of thousands of dollars.
To fix this problem, firms need the right people to lead and implement the marketing technology or data quality project to achieve success. But hiring the right team in-house can run you hundreds of thousands of dollars in salaries — and that doesn’t account for benefit expenses or the costs associated with training, managing and supervising the team. Plus, marketing technology and data quality staffing is often seen as a “revolving door,” once you invest the time, money and effort into training staff, they often leave causing you to restart the expensive process over again.
So how can we solve these staffing issues related to marketing technology and data quality? Many forward-thinking firms are turning to outsourcing to remedy their problems. But some firms are hesitant to embrace the many benefits of outsourcing data quality and marketing technology positions due to outdated myths that paint a misleading picture. Let’s take a look at and debunk some of the most common myths.
Myth #1 – After outsourcing, it will be difficult to justify the marketing department headcount
Fact – Actually, one of the biggest benefits of outsourcing is to allow your seasoned staff to focus on more strategic, high-priority work allowing them to get more accomplished for the department and firm. It can also make the marketing department happier because they can spend less time supervising the data quality stewards or responding to menial questions regarding the technology, as these can now be directed to experienced outsourced CRM or data quality managers.
Myth #2 – Lack of daily supervision could reduce quality, control and visibility
Fact – Adequate supervision is critical to the success of your CRM or data quality project, and it will be performed by your outsourced service provider’s management team. Throughout the project, the outsourced team should establish and utilize communication channels that are easily accessible to firm leadership so they have a sense of control without hands-on involvement in the day-to-day tasks of the providers.
Additionally, at the start of the project the outsourcing team should sit down with firm management to define metrics for success and regularly distribute reports on productivity. Ultimately, the outsourced team becomes an extension of your in-house team, working together to enhance current campaigns, and to produce superior results.
Myth #3 – Outsourcing providers don’t perform as well as in-house staff
False – The reality of in-house CRM and Data Quality specialists is that it can be very difficult to retain these positions. These high turnover rates can have a serious effect on the quality of data coming in and the productivity of your end users as they are busy juggling other tasks and responsibilities.
Outsourced providers have dedicated teams who have industry-specific expertise allowing them to provide a singular focus on your CRM and data quality. Outsourced data quality and CRM professionals are highly skilled and experienced in serving multiple clients, often in the same market or industry.
Myth #4 – All outsourcing providers are the same, so choose the least expensive one
False – While discussing and planning for budgetary concerns, versus securing skilled staff, we once asked a client, “Would you hire the cheapest brain surgeon?” Experienced marketers know that the real cost savings come from hiring the most knowledgeable, experienced professionals and the numbers back it up. Research shows that for every dollar you spend on your CRM implementation, you can experience up to $8.71 in return on your sales revenue.
So, rather than focusing on the price tag, ask providers a few important questions:
- What types of training do you provide to your team?
- Where are your team members located?
- What are the typical productivity rates for the types of work we require?
- What levels of accuracy do you adhere to?
- What methods and metrics are in place for tracking and reporting?
- What security procedures are in place to protect our information?
- What levels of customer service will be provided?
Myth #5 – Outsourcing is more expensive than keeping CRM and data quality support functions in-house
False – This simply is not true. A majority of companies who outsource do so to reduce costs. You can realize cost savings of up to $40,000 from reduced investment in salaries, insurance and other benefits, and even the expense of offices that can be in prime real estate locations. And don’t forget the time you can save when you eliminate the hiring process and supervising and managing internal staff.
If you aren’t convinced, this infographic outlines the costs associated with hiring internal data stewards and marketing team supervisors based on regional average salaries versus outsourcing these positions to trusted outsourced providers. Outsourcing these positions can provide firms with cost savings of up to forty thousand depending on firm location and size.