15.10.2025
Digital Marketing

Digital Marketing Agency vs In-House: Which Is the Better Choice for SMBs?

In today’s digital-first landscape, every small and medium-sized business (SMB) faces a crucial decision: should you partner with a digital marketing agency or build an in-house marketing team? Both options have their advantages and drawbacks but understanding which aligns best with your goals, budget, and growth plans can make a real difference.

Understanding What a Digital Marketing Agency Does

A digital marketing agency is a team of professionals who specialise in various aspects of online marketing including SEO, content marketing, social media, PPC advertising, and website optimisation. Agencies like COH Digital bring together strategic thinkers, creatives, and data experts to help brands grow their digital presence efficiently and effectively.

Most digital marketing agencies offer a full suite of services such as:

  • Search Engine Optimisation (SEO) to boost your organic visibility
  • Pay-Per-Click (PPC) campaign management to drive instant leads
  • Social Media Marketing to build engagement and brand awareness
  • Email Marketing and Content Strategy to nurture leads and retain customers
  • Web Design and Development for fast, user-friendly, and conversion-focused websites

By working with a digital marketing agency, SMBs gain access to a broad skill set that would be difficult (and expensive) to replicate with a small in-house team.

The Benefits of Hiring a Digital Marketing Agency

One of the biggest advantages of hiring a digital marketing agency is cost efficiency. Rather than investing in full-time staff, software, and training, SMBs can outsource to a team of professionals who already have the tools and experience needed to get results.

Here are some compelling benefits:

  • Access to Expertise: Agencies employ specialists in SEO, content, paid ads, analytics, and more.
  • Scalability: Campaigns can be scaled up or down based on your business needs.
  • Latest Tools and Trends: Agencies stay current with Google’s algorithm updates and industry innovations.
  • Objective Perspective: External teams offer fresh insights and unbiased strategies.
  • Faster Results: Tried-and-tested methods and data-driven optimisation lead to quicker, measurable results.

For SMBs with limited time and internal resources, a digital marketing agency like COH Digital offers the flexibility and capability to compete with larger brands without the overheads.

The Challenges of In-House Marketing Teams

An in-house team can provide more control and day-to-day communication but it comes with challenges that can limit efficiency and effectiveness.

  • High Costs: Recruiting skilled marketers for SEO, social media, and content creation adds up quickly.
  • Limited Expertise: It’s difficult for a small team to cover every digital marketing discipline thoroughly.
  • Time Constraints: Managing campaigns alongside core business responsibilities can overwhelm internal staff.
  • Ongoing Expenses: Subscriptions for analytics tools, design software, and training platforms are ongoing costs.

While an in-house model may suit larger companies with established infrastructure, many SMBs discover that outsourcing to a capable agency provides greater return on investment and frees up internal focus for core operations.

Cost Comparison: Digital Marketing Agency vs In-House

From a financial standpoint, the difference is often significant.

In-House Marketing:

To build a capable in-house team, you’ll typically need at least 3–5 specialists (e.g. SEO expert, social media manager, copywriter, designer, and digital strategist). This involves:

  • Salaries and superannuation
  • Recruitment and training costs
  • Marketing tools and software
  • Time spent on management and oversight

Estimated cost: Often tens of thousands per month, depending on experience and structure.

Digital Marketing Agency:

With an agency, you pay a fixed monthly fee, which covers access to a multidisciplinary team, premium tools, and dedicated strategy support.

Estimated cost: A fraction of the in-house equivalent, with no hidden overheads.

For SMBs aiming to keep lean while maintaining professional marketing performance, partnering with a digital marketing agency is often the more cost-effective and scalable option.

Which Option Delivers Better Results for SMBs?

For most small and medium-sized businesses, outsourcing to a digital marketing agency is the smarter, more strategic choice. Agencies offer access to experienced specialists, strategic planning, and the latest tools, helping businesses punch above their weight in competitive markets.

That said, in-house marketing may suit companies with:

  • A stable marketing budget
  • Long-term branding goals
  • Established internal processes
  • The capacity to manage and train staff

Ultimately, the best choice depends on your business size, growth stage, and operational priorities.

Why SMBs Should Partner with COH Digital

At COH Digital, we understand the unique challenges that Australian SMBs face in today’s digital world. Our team of digital experts delivers tailored solutions in:

  • SEO
  • Social media marketing
  • Content strategy
  • Web design and development
  • Paid advertising campaigns

We focus on measurable results, transparent communication, and ROI-driven strategies that help businesses attract, engage, and convert their ideal customers.

With COH Digital as your digital marketing partner, you gain more than an agency you gain a team committed to your success.

Conclusion

Deciding between an in-house marketing team and a digital agency depends on your resources, expertise, and business goals. For most SMBs, partnering with a professional agency like COH Digital offers a complete marketing solution, without the expense and complexity of building a full-time team.

By leveraging expert strategies, data-driven insights, and the latest tools, your business can scale faster, reach more customers, and build a powerful online presence all while staying within budget.