MPOs (Marketing Process Outsourcing) in the Era of Marketplaces for Anything & Everything
Businesses and Consumers are opting for and seeing value in a Marketplace model for any/every product or service, in today’s economic scenario. Add to that the support of technology in bridging the gap and the feedback is positive and promising.
In such a shared economy scenario, Marketers too are compelled if not cajoled to get this idea of Marketplace for Marketing Support Services (encompassing Strategists, Researchers, Digital Media Specialists, Content Experts, PR professionals and many more).
It is with this imperative, that I feel a new-age industry is evolving. We are witness to the emergence of what we call MPOs (Marketing Process Outsourcing). This industry requires a good-mix of Logical Thinkers & Creative Specialists to better serve the under-served Global Corporates and the deserving group of Startups & SMBs (in Indian Context we refer them as MSMEs).
This trend of Marketing Process Outsourcing (MPO) follows the myriad of outsourcing trends, such as LPO, KPO and BPO among others, of the past. Albeit being the latest entrant in the business and management space, MPOs are the drivers of growth for any corporate. Such outsourcing possibilities have been founded on the recognition and success of global IT outsourcing practices. In today’s scenario MPO has become a vital component of many businesses’ management & operational strategies in a multitude of sectors ranging from agriculture, banking, education, FMCG, financial services and insurance to real estate, pharmaceuticals and consulting.
Traditionally, marketing has never been agreed to or accepted for as third-party support services. However, with the rise of digital technologies, competition, market forces, faster ideation and the effectiveness of ROI analytics, industry has become more receptive and welcoming to the practice. Globally, businesses and corporations have begun entrusting their brand and reach to an MPO partner; to drive the global marketing strategy, and help them connect the dots in a landscape spread throughout the world.
MPO as a support service can help organizations to increase marketing productivity and cut budgetary excesses. It helps corporates to focus on their core-business while ensuring the marketing engine is running around the clock with minimal input from the CMO; whose focus is directed towards more business-critical activities and improved productivity. Typically, companies that effectively leverage MPO services can derive at least 33 percent savings in operational costs.
MPOs vary in their skillset, service type, capacity and offerings, and it requires careful consideration of a CMO to recognize one that shares the company’s vision and brings the expertise to see that through to realisation. Taking the support of an MPO is not always a matter of offloading work, but about creating an extended arm of the marketing team in itself. MPOs provide for an outside perspective and fosters newer ideas, methods and practices to help stay ahead of the competition. MPOs are no more a substitute to teams and individuals of a corporate, they are the collaborators who help businesses harness their strengths.
An MPO partner can help assimilate global workflows while localizing strategies and messages. The capabilities and expertise of MPO firms is to remain supportive of the CMO’s initiatives in creating global and local strategies and help coordinate the tactics. A right MPO partner will help the CMO to focus on core business needs, accelerate growth, and reduce overhead costs.
As MPOs, let’s help build this Global Marketing Ecosystem and foster a sharing economy of Knowledge & Work towards common goals, while also being the much-sought after catalysts of growth. With evolving business models around MPO, our focus should be on business growth of our clientele, while making marketing costs variable, predictable and scalable. It is the way of the future.
Marketing Process Outsourcing (MPO) is no longer a luxury – it’s a necessity.
Balakumaran GS (email@example.com) is the Principal Consultant at Market R Consulting (Bengaluru, India) and offers consultations to Startups & SMBs in Bengaluru and Chennai. With over a decade of marketing domain experience in diverse industries ranging from Education (Retail, Online, E-Learning), IT (BFSI, Software), Real Estate and Healthcare, he intends to serve the marketing interests of emerging companies and startups and help garner a meaningful market share and mindshare of target groups, that best reflects their products and services offered by them.