We get a lot of calls from Series B startups about advertising agency services when really what the client needs is a freelancer or freelance team. Division of Labor does offer the choice of freelance services or full agency capabilities, but it seemed like laying out when one was better than the other might be helpful. Here are a few insights to help you make the right decision. 

Consider Your Budget

Ad Agency: If your marketing budget exceeds $50,000 and you have specific marketing challenges that require comprehensive solutions, an agency might be the better choice. Ad agencies excel at addressing complex problems and have the capacity to coordinate multiple disciplines to execute a seamless marketing strategy. 

Freelancer: If your marketing budget is limited to less than $50,000, hiring a freelancer or freelance team can be a cost-effective solution. Freelancers typically earn between $800 and $2000 a day. So this can be a great choice when you have a smaller budget and require specialized expertise for a defined project or campaign.

Are you buying media?

Ad Agency: If you have an approved budget for paid media and need strategic planning, creative execution, and production for social ads, digital ads, video ads, billboards, broadcast, or other media placements, an ad agency can provide better rates and handle the coordination effectively.

Freelancer: If you have no approved media budget but need to build your brand and create assets for social media, website, or sales meetings, hiring a freelance team can deliver significant value. Freelancers can assist in designing and creating brand assets on a smaller scale for specific projects.

Full Funnel Media Campaign or a few executions?

Ad Agency: If you envision a multi media campaign that builds awareness, drives consideration and initiates conversions across multiple media touchpoints, you want an agency. An advertising agency brings together the strategy, creative, account management, project management, production capabilities and media planning, buying and tracking that you don’t want to try to replicate on your own

Freelancer: If you have one or two media assets for a limited amount of time, hire a freelancer. Maybe you need some out of home or a radio campaign or a couple social campaigns to A/B test. A good freelance team will knock it out faster and for a lot less money.

New Product Launch:

Ad Agency: When launching a new product or service in multiple markets using various media touchpoints, an agency's ability to coordinate PR, social, digital, outdoor, audio, events, and tradeshows becomes indispensable. They excel at managing complex launches and ensuring a coordinated execution across multiple channels.

Freelancer: If you’re just looking for preliminary presentations for internal approval, or want to explore launch ideas without committing to anything, working with a freelance team can offer flexibility. Freelancers can collaborate closely with you, present ideas, and develop presentations to showcase to management before proceeding to production.

Strategy/Research:

Ad Agency: When strategic research is needed to gain insights into marketing problems that require creative solutions, involving an agency ahead of time is recommended. Agencies can offer valuable perspectives on research outcomes and guide you in identifying the most actionable insights to inform your marketing strategy.

Freelancer: If you have an in-house planner who is looking into target audience segmentation, or evaluating current market awareness, hiring a freelancer to assist with implementing focus groups, tallying polls, and tracking surveys can be helpful. 

Website Development:

Ad Agency: If you are planning a multimedia campaign that requires a comprehensive website redesign, along with landing pages linked to various media placements, an agency is better equipped to handle the project. Agencies possess the expertise to integrate multiple disciplines and ensure a cohesive execution of your site build. Additionally, if your existing website has complex requirements, such as extensive content transfer, intricate security measures, or custom design solutions, an agency's expertise becomes invaluable.

Freelancer: If you need a relatively basic website with fewer than 10 pages and have specific examples of designs you like, hiring a freelancer can be a suitable option. Freelancers can quickly design and build a website using platforms like WordPress, Squarespace, Webflow, Shopify, Weebly, IONOS, GoDaddy, or Wix. They can collaborate with a freelance writer to ensure effective content execution and a swift launch.

If you’re still not sure, fill out this form and we’ll tell you which way to go, whether you work with us or someone else. Happy to help.

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The Small Agency Blog is produced by Division of Labor; a top San Francisco ad agency and digital marketing firm that’s been named Small Agency of the Year twice by Ad Age. The award-winning creative shop services clients on a retainer or project basis. They also offer brand consulting services and hourly engagements for startups and smaller brands. Click here for a free consultation.