Over the past several years, we’ve seen the rise of the fractional CMO, a kind of part-time, independent marketing consultant who can function like an organizational marketing leader. Why is it that fractional CMOs have become so popular and so dominant in this space? And is this trend likely to continue?
Enter the Fractional CMO
Let’s start with the basics of fractional CMOs. You’re probably familiar with the chief marketing officer (CMO), a role at the top of the marketing department pyramid that’s typically responsible for making major marketing decisions, appointing solid leadership, and guiding the marketing department to success overall.
A fractional CMO is very similar, except in the ways they are hired and managed. Fractional CMOs can be hired like consultants or independent contractors on flexible terms. A business can hire a fractional CMO as a temporary stand-in for a traditional CMO, a consultant to help solve a specific problem, or even just a collaborator to improve marketing performance in some key way. Most fractional CMO candidates have ample marketing leadership experience, and you’ll likely be able to find a candidate with experience in whatever you’re specifically struggling with.
The Benefits of Fractional CMOs
Why hire a fractional CMO? Well, there are many benefits:
- Experience and expertise. Almost any fractional CMO candidate is going to have experience and expertise. These are people who have likely worked for years, if not decades, in the marketing field, and they often have niche specializations that make them stand out as candidates. When it comes to credentials, they rival even the best full-time CMOs.
- Outside perspective. Groupthink can and does infiltrate organizations, small and large alike. Essentially, that means people begin to think alike so closely in tandem that they begin to develop major blind spots. They may take it for granted that everyone in the organization, or at least in the marketing department, thinks the same way. They may also fail to see potential problems or potential solutions because they’ve become so ingrained in a rut. Hiring a fractional CMO gives you an opportunity to get the outside perspective you need, without necessarily hiring someone full-time.
- Inexpensiveness. One of the more obvious advantages of hiring a fractional CMO is that they’re relatively inexpensive. Their experience does demand significant compensation, but they’re less expensive than many other comparable solutions. On top of that, a fractional CMO can change your marketing department for the better so much that they more than pay for themselves. Ultimately, most fractional CMOs carry a very high return on investment (ROI).
- Flexibility. Some business leaders appreciate fractional CMO dynamics because of their flexibility. There are no firm rules or parameters that apply to your fractional CMO relationships. You can work with someone a few hours a week on an ongoing basis, or bring them in full-time for a few days. You can have them work on one specific problem, or ask them to audit your entire department. You can hire them as a leader, as a collaborator, or even as someone to directly execute tasks.
- Options. Similarly, you’ll have many options to choose from if you want to hire a fractional CMO. Candidates are abundant, and they offer a wide variety of different skills, backgrounds, and experiences. No matter what you’re looking for, you should be able to find it.
Factors for Rising Popularity
Beyond that, there are a few push factors driving the increasing popularity of this niche role.
- Higher demands for marketers. Today’s marketers face a number of challenges in highly competitive, demanding environments. Business leaders expect exceptional performance and results, and marketers are scrambling to keep up.
- Reduced budgets. Many organizations have been systematically reducing their marketing spending. In some cases, the CMO role has been dissolved or reconstituted. A fractional CMO is an inexpensive opportunity to make your marketing budget go further; they won’t set your business back much, and they can simultaneously help you spend your money more effectively.
- Prioritization of flexibility and agility. Organizations everywhere are beginning to adapt in favor of becoming more flexible and agile. Fractional CMOs are, in some way, an outgrowth of this.
- More decentralized organizations. Similarly, organizations are becoming more decentralized. Fractional CMOs have the flexibility and experience to thrive in this type of environment.
Ultimately, it’s not hard to see why fractional CMOs have become more popular in the corporate landscape. There are many objective benefits to working with a fractional CMO, and our business and marketing environments have evolved to make this role more necessary and more potentially helpful. It remains to be seen whether this trend will continue indefinitely, but as marketing becomes even more complex and demanding, we imagine the fractional CMO will only increase in relevance from here.
