First things first. Before making the decision
to move your SEM program from an agency to managing it in-house, you should run a cost-benefit analysis:
- What are you currently spending to outsource your SEM program?
- What are you saving by spending with your agency?
- What are you getting out of the agency relationship?
- What are you paying for that you could do without?
- Evaluate what resources your company currently has and what you might be lacking
- Is it easier and more cost-effective to fix these things and develop an internal model, or will it be more expensive in the end to re-design your internal structure?
- Evaluate your budget and revenue goals with projected spend and cost of labor
All of these numbers will help you decide of you should continue with external management or begin the task of shifting your efforts towards internal management.
Once you have answered these initial questions, you may determine that moving your SEM program in-house is a very good option. Before you make your final decision, however, you should be sure to have a clear understanding of your internal resources, the transition process and ongoing management and growth of your SEM program.
Internal Resources. Do you need to hire additional resources?
How big does your internal SEM team need to be? And, are they going to be able to do this alone, or will they need to use a bid management tool? Did your agency use a tool, or work with the engines directly?
If your agency used a tool, you may want to look at licensing that tool for your team.
If you want to grow your internal team, will you do it with internal personnel or look outside of the company?
A strong team structure should also have a consulting component - will you need to go outside your company for consultation?
This will have a cost associated with it as well.
If available, perhaps you want to utilize the consulting services from your agency.
Either way, try to get your agency to stick around post-transition.
They are familiar with your business and will be a great resource.
Transition. The transition itself will most likely be more difficult than designing the internal structure, but it doesn't have to be. First make sure you are set-up to seamlessly get all the information you need from your agency - it can be costly to go back and get it later.
Remember, the value of information and data you do not get from the agency during the switch will grow exponentially once you part ways with them.
Also, are you fully knowledgeable of all the reports the agency ran for you regularly?
Are you set-up with the tools to run these same reports?
Plan a timely integration - and assess how long the transition will ultimately take so that internal expectations are set appropriately.
Keeping your internal team and your agency in the loop on daily and weekly transition goals will help ensure things run smoothly and efficiently.
Depending on the scope of your SEM program and current agency relationship, transition times will vary.
Be sure to watch out for data transfer or tracking issues that could be caused by shifting tracking pixels or customized reporting.
Management and Growth. Phew! Fast forward to months after you make your initial decision to move in-house.
Everything is in place and the transition has run smoothly.
Now what?
Don't get caught up in the management side and forget about optimization and growth.
An agency is under constant pressure to surpass your goals or they will no doubt lose your business.
Are your goals as tough and demanding?
What incentives do you have in place for your team?
It is most likely the case that your agency was constantly on its toes due to constant feedback from your team - your team should work together to give each other the same push through feedback.
Perhaps weekly meetings covering action items and results (similar to what you had with your agency) will help ensure constant growth. Also continuous strategizing coupled with ongoing tests and trainings are crucial to keeping your SEM program in shape and growing.
If you decide to
move internally, keeping the above suggestions and questions in mind will help set you up for success. Another thing to note: many SEM technology providers (including eSV) offer trial options for their SEM management platforms. This is a good opportunity to get a feel for the tool and understanding of how it will contribute to your SEM goals.
Also, Audit reviews are a great way to learn exactly how and where your business will improve by using a technology and internal team.
Our Audit review includes several different analyses ranging from impression share to match type to ROI.
Please feel free to reach out to us with any questions.
Good luck to you!
