What are the Challenges of Working With a Fractional CMO

A fractional Chief Marketing Officer (fCMO) can provide immense value for a company looking to scale up their marketing efforts without the full expense of hiring a full-time executive.

However, some unique challenges come with only having a part-time marketing leader. Understanding these tradeoffs is key when deciding if a fractional CMO is the right choice for your organization.

One of the biggest appeals of bringing on a fractional CMO rather than a full-time CMO is the potential cost savings. Since a fractional CMO divides their time across multiple clients, you only pay for the allotted number of hours or days per month you need them onsite. This allows small and mid-sized companies to tap into executive-level marketing talent that would normally be out of reach financially.

The typical cost for a fractional CMO runs 30-50% less than hiring a full-time CMO salary. When you factor in overhead like benefits and employer taxes, the savings are even more substantial. With a 10-hour-per-week fractional CMO, you could end up with costs at least 70% less than a comparable full-time resource.

By sharing a high-caliber marketing resource across clients, fractional CMOs can offer their time at a rate affordable to most growing organizations. Just be sure to lock in your minimum number of hours per month to guarantee availability.

While fractional CMOs allow smaller businesses to access executive experience at a reasonable price point, there are some potential pain points to consider with this model:

• Availability limitations
• Lack of dedicated focus
• Need to onboard and align work style

CMOs typically oversee many initiatives across various teams, so even full-time they are often stretched thin. By nature of the fractional model, you will be limited to the number of hours per week you contract for when issues arise needing the CMO’s input. Make sure to be upfront about peak seasonal hours you may need additional support.

Similarly, while you can lock in guaranteed minimum face time each month, a fractional resource will necessarily have competing priorities dividing their attention across clients. If you have a complex problem set or deep organizational change underway, consider if you need more focused strategy support.

There is also the simple issue of ramp-up time getting a fractional resource up to speed each time they come onsite for a session after being away for a stretch. You’ll need to identify ways for the CMO to easily get back into context for maximum efficiency.

An underutilized benefit of leveraging a fractional marketing executive is the ability to perfectly match the specialized skill sets you require to fill gaps your current team lacks. Nearly half of fractional CMOs come from niche industries before moving into their fractional role. This allows you to select a fractional CMO based on targeted vertical, channel, or functional expertise.

For example, you may choose a fractional CMO with experience scaling pet care eCommerce brands rather than general CPG expertise if your growth stage DTC company is in the pet space. Or you may opt for a fractional CMO specialized in building Amazon channel presences if you’re looking to expand to third-party marketplaces.

No single full-time CMO candidate can check every box across both leadership competencies and industry expertise. By tapping into fractional talent, you can supplement strengths missing from your current marketing bench.

Some growing organizations hesitate to bring on a fractional CMO, even just on a limited basis, for fear it could undermine the leadership of the VP of Marketing or other internal marketing heads in place. However, an effective fractional CMO makes it a priority to integrate with and empower the current marketing team.

The most successful fractional CMO partnerships take a collaborative “co-leadership” position, where the fractional executive supports and bolsters existing leadership rather than overriding it. They lend a fresh external perspective while allowing internal marketing heads to maintain control of day-to-day operations and team culture.

This allows internal up-and-coming marketing leaders to learn from an executive-level peer. The marketing team overall benefits from supplemental strategy and planning support without the disruption a new reporting structure may bring.

The keys to creating a successful fractional CMO partnership are setting clear expectations upfront for the scope of responsibilities and ideal working models required. Below are some elements to address:

• Expected hours or days on site per month
• Level of direct team interaction
• Involvement in broader executive strategy sessions
• Typical deliverables provided
• Metrics for evaluating impact

By proactively aligning on the parameters for engagement rather than taking an ad hoc approach, both parties can ensure the fractional relationship provides value as intended. Check in quarterly to assess if scope adjustments are needed.

While many fractional CMOs have the flexibility to work either onsite or remotely, evaluate whether having some consistent on-location overlap days with key marketing leaders makes sense to cement rapport and momentum.

In summary, fractional marketing executives offer a way for companies to elevate their strategic marketing capabilities without overextending budgets. However, the model does require careful consideration of limitations to ensure it can meet evolving demands.

If your marketing team finds themselves stretched at the current headcount as you enter a steep growth trajectory or take on disruptive new initiatives, a fractional CMO may offer the injection of experience needed during this inflection point.

Just be intentional both in matching any gaps that need filling with complementary fractional CMO strengths and locking in the minimum engagement required during turbulent periods. Set things up for success by giving the fractional CMO the context and access needed to make a material impact.

If your company needs B2B SaaS Fractional CMO Services, consider working with Peter Geisheker, CEO of The Geisheker Group. Peter has been providing Fractional CMO services for over 20 years. His specialty is B2B lead generation, and in particular, B2B lead generation for SaaS companies.