The rising trend of outsourcing a dedicated Chief Marketing Officer (CMO)

In today's fiercely competitive financial landscape, the need for strategic marketing solutions for wealth management firms has never been more critical, especially when targeting family offices and ultra high net worth families. The rising trend of outsourcing a dedicated Chief Marketing Officer (CMO) – often on a fractional basis – has become a strategic imperative for leading financial firms, RIAs, and investment professionals. Below are the top reasons why embracing an outsourced CMO specializing in financial services can propel your firm to new heights:

1. Cost-Effective Expertise: By engaging a fractional CMO, financial firms can access specialized expertise at a fraction of the cost of an in-house CMO. This enables high proficiency levels without the hefty overheads typically associated with full-time executives.

   The salary for a wealth management and financial services CMO can range from around $80K to $500,000 for a highly experienced chief marketing officer. Beyond that, the CMO must engage outside vendors, such as designers, coders, ad agencies and more.

   With an Outsourced CMO service like Select Advisors, you are able to engage a highly talented and specialized team, all at a fraction of the cost.

2. Enhanced Productivity: Outsourcing the CMO role frees up internal resources to refocus on sales outreach and business development, leading to improved productivity and a heightened focus on client outcomes.

3. Time and Resource Allocation: Firms can redirect internal resources towards strategic business development initiatives such as enhancing client experience and optimizing advisor productivity.

4. Advanced Expertise: An outsourced CMO specializing in finance understands the intricacies of the industry, emphasizing trust and long-term relationships over traditional sales tactics. Their strategic messaging resonates with the high net worth audience, positioning the firm as a trusted advisor.

   And by expertise we mean more than just around marketing. We mean understanding investor psychology, niche marketing, prospecting and lead generation, social media marketing and a lot more, all directed towards HNW and UHNW individuals and families

5. Advanced Experience: These fractional CMOs bring a wealth of industry-specific knowledge and access to specialized marketing experts, ensuring campaigns resonate with the target audience.

6. Ability to Scale: A dedicated CMO provides flexibility to adapt marketing efforts in response to market dynamics, ensuring resources are allocated efficiently.

7. Driving Growth: With a focus on actionable campaigns and lead generation, the CMO plays a pivotal role in optimizing client acquisition funnels and continuously evaluating strategies for enhanced results.

8. Brand Visibility: Partnering with an outsourced CMO enhances brand reputation and credibility through consistent branding and professional content, elevating the digital experience for clients.

   Learn about our branding agency for financial, investment and accounting firms here

   Branding for Financial Firms

9. Innovative Perspective: A seasoned CMO aligns marketing spending with business objectives, providing performance reporting crucial for navigating the ever-evolving marketing landscape.

10. Focus on Innovation: Outsourced CMOs stay updated on the latest marketing trends, allowing advisors to focus on their core competencies.

You may be asking: How much does a fractional CMO cost? Well, let’s just put it this way: If you’re hiring someone in-house, even if they have just 5 years of experience, you should be prepared to give them a salary of around $100,000, which includes their benefits and more.

But that’s not all! You’re also going to be spending their vendor expenses, including designers, website coders, videographers and more.

And let’s hope we stop at just ONE person in-house, but typically, the CMO will require you to hire more people on his or her staff.

A good outsourced CMO on a fractional basis is a FRACTION of that expense, and they include all their ancillary costs inside their retainer.

There certainly are a lot of pros to having an in-house CMO, including having this person to your firm and sell rather than working with multiple firms. But there definitely are a LOT of pros to working with a fractional CMO.

We’ve included the pros and cons in this article:

By leveraging the expertise of a fractional CMO specializing in financial services, firms can navigate modern marketing complexities, drive superior results, and establish a formidable presence in the wealth management sector. Reach out to Select Advisors Institute to explore how fractional CMOs can transform your financial firm's marketing strategy today.