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Full-time or fractional CMO : what is right for your business?

October 22, 2024
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At Scale Up, our mission is to drive growth for tech startups - but no two sets of business needs are the same, as much as there are no two marketers the same. We’ve partnered with over 100 startups already to do this. And now our plan is to 10X this (don’t we all?)

So when we first speak to businesses, we go into what we like to call ‘doctor mode.’

→ We listen to your symptoms and then work out the right cure to fix them.

One conversation we have a lot is how do we know when it’s time to parachute a fractional CMO into a business and when should we find the right full-time CMO for you and your business…

So we thought we’d try to answer this in a blog post (fingers crossed as it’s not totally black and white!) Here it goes…

When you’re growing a startup, finding the right marketing leadership can make or break your next growth phase. Whether you’re looking to raise funds, expand into new markets, or scale your customer base, having the right person at the helm of your marketing is crucial.

But here’s the question: should you hire a full-time Chief Marketing Officer (CMO), or would a Fractional CMO (fCMO) be a smarter move right now?

Both options have their advantages so choosing the right one at the right time can save you resources, accelerate growth, and help you avoid common pitfalls.

Let’s break down the differences and when each makes the most sense for your business.

What does a CMO actually do?

(Not actually a silly question)

First, it’s worth understanding why this role matters so much - a CMO isn’t just about running campaigns or handling the day-to-day social media posts. They’re responsible for crafting and driving your entire marketing strategy, aligning it with your business goals, and ensuring that every effort—from brand positioning to customer retention—is working to grow your company.

Without strategic marketing leadership, your efforts can end up scattered, your messaging may miss the mark, and opportunities for growth can get lost in the noise.

When a full-time CMO makes sense

There comes a point in every growing business when you’ll need to bring on full-time leadership in your marketing team. Here’s when that typically happens:

1. You’re growing quickly and need full-time focus

If you’re in a phase of rapid growth, post product market fit —whether expanding into new markets or scaling up your customer acquisition— you’ll need a CMO who’s fully committed. A full-time CMO will help build the systems, team, and strategies that will keep pace with your growth and make sure that marketing aligns with your long-term vision.

2. You have complex marketing needs

Maybe you’re operating in a competitive or niche industry where every step counts. If your marketing needs involve multi-channel strategies, large budgets, and in-depth analytics, a full-time CMO can help manage the complexity, build a robust team, and keep everyone aligned on strategy.

3. You’re preparing for major milestones

Are you gearing up for a new product launch, fundraising round, or expansion into new territories? These are pivotal moments in your company’s journey, and having a full-time CMO ensures you’re ready to nail your positioning, make a splash, and attract the right customers and investors.

4. You’ve got the budget runway to invest

It’s no secret that full-time CMOs come with a price tag. You’re not just hiring one person—you’re also committing to investing in their team and resources. If you have the financial backing to make that investment and you’re thinking long-term, then it’s time to bring a CMO on board full-time.

Top tip: your CMO shouldn’t be a one-man band.

On the other hand, why would a fractional CMO be your best bet

If you’re still in the earlier stages or need flexibility, a fractional CMO can give you access to executive-level marketing expertise without the full-time commitment.

Here’s when an fCMO might be the right move for you:

1. You’re early-stage and still finding product-market fit

For startups that are still testing and refining their market positioning, hiring a full-time CMO can be overkill and also a risk. A fCMO brings the strategic leadership you need to identify the right direction without the full financial commitment. They can help you shape your brand, streamline your customer acquisition, and get you to your next stage of growth.

2. You need marketing expertise for a specific project

Maybe you’re looking at launching a new product or entering a new market but don’t need full-time support. A fCMO can jump in, get you on the right track, and step back once the project is complete. They’ll provide the strategic direction and ensure your marketing efforts are hitting the mark.

3. You need to be cost-conscious

Hiring a full-time CMO can be expensive, and for businesses focused on scaling efficiently, a fCMO is often the perfect solution. You get the benefit of high-level expertise, but only pay for the time and support you need, whether it’s part-time, project-based, or for a set period.

4. You need strategic leadership, but not the full department yet

Maybe you’ve got a small but mighty marketing team and just need someone to provide leadership and vision. An fCMO can step in to guide your current team, oversee strategy, and ensure everything is aligned without you needing to build a full-fledged marketing department right away.

5. The skills your business need now will be different to future needs

I’m a big believer in bringing in the right skills at the right time. The skills to take a business from 0-100,000 customers vs the skills to go from 100,000 to 10M are very different. Different channels, budgets, frameworks, level of support. You name it. So by bringing in a fCMO in the early days leaves you open to finding the specific skillset you need later down the track.

Comparing Full-Time and Fractional CMO

Here’s a quick snapshot of how the two options compare:

How to make the right call for your business

The key to deciding whether you need a full-time CMO or a fCMO is understanding where your business is now and where you’re headed.

  • If you’re scaling fast, with the need for sophisticated, ongoing marketing strategies and the budget to support it, a full-time CMO will help build out your long-term vision.
  • If you’re early-stage, operating on a tighter budget, or need marketing expertise for a specific project, a fCMO will give you the flexibility and leadership to get you to that next stage without the overhead.

There’s no one-size-fits-all answer, but being clear about your growth goals, marketing needs, and financial resources will help you make the right decision for your business.

Ready to talk through what’s right for you?

Not sure which path makes sense for your business?

👉 Book in a call 👈