Faith-Based Marketing · Catholic Business

Marketing Agency vs In-House: The Real Math for a $3M Business

There are more than 36 million small businesses in the US.
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 If you’re running a business worth $3 million, you’re stuck in the messy middle, where you are too big to just “wing it” by making the CEO post stuff on LinkedIn while their cousin keeps the momentum going on Facebook. But you’re not big enough to build a full-blown marketing department without feeling it in your cash flow. So, you end up circling around the same question again and again: “Should we just hire an agency… or bite the metaphorical bullet by bringing someone in-house?”

Which one’s better, a marketing agency vs in-house marketing? That’s the question! Agencies are expensive. But in-house marketers are a big commitment. This M6 Marketing blog helps you figure out if you should trust outside marketers or employ experts full-time…

What “Marketing” Actually Means For A $3M Business

Did you know that almost 20% email marketing campaigns fail to reach the inbox? Comparing a marketing agency with in-house marketing solutions means you should first be honest about the job at hand. If your $3M business aims to grow, it needs to cover these things:

  • Your Message: Who do you sell to? What do you promise? How do you talk about your products or services?
  • Channel Execution: Your day-to-day work in Google Ads, Meta ads, SEO, email, and content generation
  • Creative: Your ad copies, landing pages, basic web design, email structure, etc.
  • Analytics: Tracking, reporting, and asking whether you’re actually making money from doing this

Now, here’s the truth: You can’t do all of this with a single junior marketer, but you simply can’t outsource all of it either and expect an agency to magically fix a fuzzy offer and a messy sales process. You don’t really “choose” between an agency and an in-house team. You essentially choose between two ways of assembling these different pieces of the growth puzzle:

  • A mostly external team (agency) with a single internal owner
  • A mostly internal effort (one or two hires) with surgical external help

The In-House Option: What It Really Costs You

When we compare marketing agency vs in-house marketing, we need to realize that most $3M businesses actually choose to hire in-house marketers; they like to play it safe, and outsourcing a department as vital as marketing seems a little risky. Also, generic marketing agencies often fail to deliver promised results, causing further alienation among Catholic brands.

Hiring a marketing expert who really gets you as a full-time employee seems just fine on paper. You have a single salaried employee who sits across the room and is available 40 hours a week (no mysterious monthly retainer or someone you only talk to on Clickup). This is a person your salespeople can actually walk to and have a heart-to-heart with! A real person! However, when you zoom in a little, you realize that marketing managers don’t exactly come cheap.

A marketing manager’s median salary (not average, mind you!) was over $160,000 in 2024; the lowest-paid marketing managers were earning more than $110,000 a year. Also, these experts are really sought-after! The job outlook for marketing managers says that this field will grow by 6% between 2024 and 2034, creating over 400,000 jobs. So, you have tough competition, and finding the right guy or gal is really hard. Here’s the truth about in-house marketers.

Most of them are generalists, i.e., people who can own calendars and coordinate campaigns. A person who talks to vendors, writes some copy, and stuff like that is called a marketing manager in the late 2020s. It is highly unlikely that this person will also be a strong media buyer, a serious SEO practitioner, a seasoned conversion copywriter, a designer, a developer, or something else. What will you do? You’ll quietly start adding help around them. A freelance designer here. An ad contractor there. A copywriter for the launch. A dev who actually pushes changes to the site.

If you end up hiring the wrong person, you won’t realize it for weeks. It usually takes months to figure out that this person is great at projects… but nothing is really moving around here. But if they really happen to be good at their job and then decide to one day leave your company, you will lose all the momentum, and the institutional knowledge will be just gone! If you ask them to “do everything,” you burn them out and end up with a lot of half-built & demotivated stuff.

The Agency Option: What You’re Actually Buying

If you run a self-storage business and make $3 million a year, you can hire an agency to do your marketing for you. Working with a reliable marketing agency (especially an agency that provides immaculate services to faith-based brands), you’ll get a strategist (or account lead), a key media buyer, a copywriter or content writer (make sure you make them verify which one it is), an expert designer, an SEO expert, and a developer. Not full-time! But enough access to each of them to get some real work done. The upside is this: speed and breadth! And years of experience…

These experts don’t come fresh off the block. They have launched similar campaigns before and seen what trends actually work. They have playbooks for “we need leads in 60 days or less” and “we need to fix tracking.” You can also scale your relationships with these professionals both up and down faster than you can fire and hire internally. Bear in mind that these agencies work best when there’s someone on your side of the table who knows what “good” looks like and is willing to engage; agencies work worse when you try to outsource everything. And that’s the gist of our marketing agency vs in-house marketing debate. So, what does math have to say about this?

Where The Math Actually Tilts At $3M

Let’s ask the burning question at this stage, shall we? If in-house marketers are costing you a lot more than you want to spend, but they’re revealing their potential in a delayed manner, while an agency comes with risks & challenges of its own, what do most $3M business organizations do when they crunch the numbers? Well, we want to present the actual math before you.

When you’re making $3 million a year and wish to keep expanding, it’s very, very rare for you to be able to afford a small internal marketing team with all the skills your company actually needs to become more formidable than it already is, and also justify that fixed overhead if growth stalls for… let’s say… a few quarters. In the real world, $3M businesses can afford a solid marketing hire alone, or a solid content marketing agency partnership. Not both at full strength. 

A good agency typically wins that comparison on raw dollars. Because you get people with wide skill coverage and quicker results. But internal hires win when it comes to context and control. It is a no-brainer that internal hires own more than just campaigns; they also help fix the upstream issues that most agencies out there will politely point at… but simply refuse to change.

The trap you need to avoid is trying to get all the benefits of both in one go. With half the budget as well! If you fall into this trap, you’ll probably end up with an underpaid marketing person who is supposed to be a Jack of all trades, someone you’d expect to be versatile in strategy, buying, creative, and analytics, but they actually end up being the master of none. You may also end up entangled with a bargain agency that looks cheap on paper, but only puts junior people on your account. As the founder, you’ll still have to steer the ship and do people’s jobs for them.

Marketing will become a money pit for you! You may resort to using AI. No wonder around 88% of business organizations in the world last year were using AI in at least one business function. But we have a better solution, i.e., a model that fits a $3M business without costing a lot!

A Model That Usually Fits A $3M Business

When we compare marketing agency vs in-house marketing, we need to keep in mind that good companies don’t outsource marketing. They just outsource parts of marketing. And you need to understand this distinction. Outsourcing parts of marketing means internally, someone owns the outcome. That person might be you, the founder (if you have the bandwidth and interest). It can be a sales leader with enough strategic mettle to care about the top of the funnel. It might even be a marketing-savvy operator with guts to sit at the intersection of sales, products, & finance.

You can bring in an agency to externally own execution in the channels that require real depth. Usually paid media, SEO, performance creative, and the usual stuff. This agency doesn’t define what your business model is. It doesn’t fix a broken sales process. No, you expect this agency to clear your goals and the core value offering. Once they have made this happen, you can turn them into traffic, leads, & revenue. This math actually works because of these simple reasons:

  • You’re not carrying a full-time generalist who has to hire all the same specialists 
  • You’re not handing an agency the keys with nobody manning the castle
  • You can grow into more in-house capability later if you actually want to

Just like influencer partnerships, you retain the control of your marketing operations. This blend works for $3M businesses. The rule is simple: one internal owner and one good agency. That’s the least risky way to grow your business, and that’s the plan you can follow without worries.

When An In-House Hire First Actually Makes More Sense

But there are exceptions… scenarios in which hiring a team of in-house marketers who work for you full-time and get paid like other employees actually works. If your business is content-heavy and relies a lot on blogs & articles (such as complex B2B or education), your first move might be an in-house marketer/content lead. You can still hire a content marketing agency to work for you as your content engine; this agency will support your internal brain by:

  • Handling media buying
  • Taking care of design elements 
  • Doing technical work for you
  • Helping your internal team shape the story and the offers

If you’ve already been burned badly by these agencies and have a long runway, you can invest in building a serious in-house marketing department today. Even if this department costs more than hiring part-time marketers and takes longer. But this is your strategic call! The key here is to be honest. Bringing someone in-house is all fine and dandy. But can you?

  • Pay them enough to attract real talent?
  • Give them the support they’ll still need?
  • Wait long enough to judge their impact fairly?

If the answer to any of those is “probably not,” you’re better off with a strong external team and a clear internal owner. Just make sure you have found the perfect agency to become your default marketing brain. Search online to get acquainted with the options available to you.

The Real Question For A $3M Owner

When we compare a marketing agency vs in-house marketing, we realize that paying a person full-time means this team will gradually become a growth engine (considering that you hired a competent person). Paying a good agency means you keep enough internal ownership and do not become dependent forever. The right choice depends on your appetite for overhead, your timeline, and whether there’s someone on your side of the fence willing to own the outcome.

Lucky for you, we at M6 Marketing are right here, and we own the outcome; we have helped a lot of faith-based companies get the visibility they deserve. Look into how we work and contact us right away. Feel free to read a full PDF guide on how we helped companies worth $3 million boost their searchability. You can download the PDF for free to better understand how experts in the biz work. Ready to unleash your true potential? Trust M6 Marketing all the way to the moon.

FAQs

What is the 3-3-3 rule for marketing?

It means that your business should focus on 3 key messages, target 3 audience segments, and prefer 3 main marketing channels.

What is the 40-40-20 rule in marketing?

This principle states that the success of a marketing campaign depends 40% on your audience, 40% on your offer, and 20% on your creative acumen.

What is a disadvantage of using an in-house advertising agency?

An in-house team will have specialized knowledge about your brand and industry. But this team probably lacks the broad skills needed to cover all aspects of marketing. These skills include SEO, content creation, email marketing, and data analytics.

What is the 1% rule in marketing?

The 1% rule in marketing states that only 1% of your target audience actually makes a purchase from you.

Is SEO better than PPC?

If you need quick, targeted results, you should run a PPC campaign; if you are aiming for slow yet superior, long-term growth, SEO is the way to go.