Abbey StephanContent Writer
- May 29, 2023
- 7 minute read
- Abbey is a digital marketer, copywriter, and lead editor. She has worked on over 200 client campaigns and WebFX, and she specializes in marketing strategy analysis and industry-specific digital marketing plans. Outside of writing and editing, you’ll likely find her taking pictures of her cat, making a new playlist, or tending to her houseplants.
Marketing agency costs can range anywhere from $900 to $20,000 per month on average.
Whether you are a small to medium-sized business (SMB) or a large enterprise, your marketing budget is a crucial part of earning revenue. If you want to get the most out of your marketing spend, you need to understand marketing agency costs.
Marketing agency cost is how much you pay overall for outsourced marketing services. Depending on your services, you might pay a lump sum or a monthly rate.
This post will break down marketing agency costs and the following topics:
- What is a marketing agency?
- What does a marketing agency do?
- Digital marketing agency cost per month
- Digital marketing agency cost factors
Keep reading to learn more about marketing pricing!
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What is a marketing agency?
So, what is a marketing agency? A marketing agency is a company of trained individuals who create, plan, and execute advertising strategies and related content on behalf of businesses.
There are two types of marketing agencies — traditional and digital. Traditional marketing companies work with print media like magazines or newspapers, while digital marketing agencies work with online media like social media or email.
There are also hybrid agencies that work with both print and digital media.
What does a marketing agency do?
Marketing agencies also fulfill contract requirements that are based on the client’s goals. Before you work with a marketing agency, you outline your goals and work with them to determine the necessary steps to achieve them.
Some typical marketing agency responsibilities include:
- Brand management
- Market research
- Account planning
- Content marketing
- Social media management and marketing
- Email marketing
- Analytics tracking
- Web design
A marketing agency will handle all aspects of your marketing and advertising plans while removing the workload from your team.
Digital marketing agency cost per month
Marketing agency costs range anywhere from $900 to $20,000 per month on average.
Digital marketing agency costs will vary based on numerous factors, but it helps to know the averages of each service before you reach out. This way, you can make sure the company you choose falls within the typical range and get the services you need.
Depending on your contract and package, you might use one or more of the following tactics:
- Social media marketing
- Email marketing
- Pay-per-click (PPC) advertising
- Search engine optimization (SEO)
This table breaks down the different prices for each method:
|Service||Average cost per month with an agency|
|Social media marketing||$900-$20,000|
Let’s dive into each one below.
Want to learn more about specific marketing agency costs? Break down the top digital marketing agencies and their prices with our team!
Social media marketing pricing can include everything from management to one-time projects. Businesses typically invest $4000 to $7000 per month on social media management. Social media services typically cost $900 to $20,000 per month, and social media consultants cost $75 to $500 per hour.
Some services you might get from outsourcing with a marketing agency include:
- Social media management
- Content creation
- Post scheduling
- Customer service via social media
This video further breaks down the cost of social media marketing:
Email marketing costs vary depending on what services you outsource. You can expect to spend $1000 a month for self-managed email marketing or $300-$1500 if working with an agency.
Many companies write and send out newsletters in-house for free, but when you’re wrapped up in normal day-to-day business operations, that kind of in-house marketing can be challenging. If you want to upgrade your marketing emails, you might consider working with a team.
Some types of email services include:
- Email automation software
- Email monitoring and scheduling
- Content creation
That said, email marketing has a substantial return on investment (ROI) — companies earn $44 for every $1 spent.
PPC advertising averages at around $2.59 per click and $3.12 per 1000 impressions. PPC is a type of advertising where you only pay when someone clicks on your ad. You can run these ads on search engines, ecommerce sites, and even social media.
With PPC, you must plan a campaign, find your target audience, launch your ads, and track their progress at minimum. A lot of companies don’t have the time on their hands to keep up, so they rely on marketing agencies for help.
SEO services costs range from $1500-$7500 per month to $100-$150 per hour to $5000-$35,000 per project.
Focusing on SEO can help you boost your website rankings in the search engines. SEO is an ongoing process, so while you might pay more upfront to create campaigns and build your site, you will see more ROI down the road.
This video breaks down the cost of SEO:
Digital marketing agency cost factors
Multiple factors go into how much working with a digital marketing agency will cost. Understanding what goes into marketing agency costs can help you look for an agency that gives you the most service for their price.
Here are some of the most common digital marketing agency cost factors:
- Digital marketing strategies
- Agency experience
- Company size
- Technology fees
Let’s dive into each below.
Digital marketing strategies
The strategies you choose is a prominent factor in how much your marketing agency experience costs. There are numerous ways to drive revenue with marketing, and each one has a different cost and timeline. You will pay less if you use a bare-bones strategy, but the results will have an impact.
For example, let’s say that you have a marketing team in-house that writes your email content and handles your social media. However, your SEO isn’t what it could be. If you partner with an agency, you can save on email and social media and focus your outsourced budget on SEO.
When you partner with an agency, they will determine what strategies your company could benefit most from while considering your budget.
Your goals and strategies are closely related. Depending on what you want to accomplish, you might use different strategies, which affect your budget.
Some example marketing goals include:
- Earning more social media impressions
- Getting more clicks on your paid ads
- Receiving more contact form submissions from your website
- More purchases from your ecommerce store
These are just a few goals that a marketing agency can help with. However, since each one may need a unique approach, they will affect your budget.
When you’re looking for an agency, you want to find one with some experience in marketing. Newer agencies might charge less, but they might not have the tools, software, or team to augment growth the way an established agency does.
If you work with a larger marketing firm, you might pay more for your services, but they will likely be backed by years of experience and a larger team of experts. A large company will have more resources and connections to help their clients.
Many marketing companies have their own software and technology to improve your experience, gather and store data, and collect analytics. If you want access to these technologies, you might have to pay a premium that covers their function.
Your world-class, tech-enabled marketing agency with over 1.6 million hours of combined expertise.
Learn more about marketing agency costs with WebFX
If you want to get the most out of every dollar spent on marketing services, WebFX can help. When you choose our digital marketing services, you get access to a range of services that help you achieve your marketing goals.
Our team will work with you to determine what service could benefit your company the most. Then, we build a plan that optimizes your budget to achieve your goals and drive more revenue. So far, we have driven $3,021,182,299 for our clients — you could be next.
Abbey is a digital marketer, copywriter, and lead editor. She has worked on over 200 client campaigns and WebFX, and she specializes in marketing strategy analysis and industry-specific digital marketing plans. Outside of writing and editing, you’ll likely find her taking pictures of her cat, making a new playlist, or tending to her houseplants.
WebFX provides digital marketing solutions with expert marketers, designers, and developers to increase visibility, conversions, and revenue. Learn more