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Hi Shannon,
I own and operate Webmasterlabor.com and we've been offering project-based webmaster data, text, research, traffic generation, and analytics services since November 2003 so I'm quite familiar with your concerns re outsourcing. Here's my thoughts on your situation:
IMHO it all boils down to 1) what services you are looking to outsource 2) what your expectations are 3) what your time resources are and 4) your long term goal.
1) What services are you looking for? There is a broad spectrum of work that can be outsourced. However, as one gets closer and closer to the end of the spectrum that requires cultural sensitivity and connection, the outsourcing process gets trickier. The most common example of this is design work. Outsourcing paysite tours has psychomarketing and culture specific visual cue dimensions that require a lot of familiarity with Western European/American culture/mindset. Hence, this type of work is probably best left to US/EU/CAN/AU designers OR non-western outsource outfits that have Western managers well-versed in this type of marketing OR completely non-western outsource outfits that have a PROVEN track record of producing commercial-grade designs. Lower-rung promotional material work like template galleries, banners, buttons, etc can be easily outsourced offshore since these build on your existing themes/brand or can be standalone disposable campaigns. Bottomline is, the closer you get to bulk promo materials, offshore outsourcing makes more sense. Just make sure to implement a quality assurance program or at least contract with an outfit that will guarantee revisions/fixes for your materials.
2) What are your expectations? Are you looking merely to save money? Or are you looking to have cheap but high quality outsourcing help you expand your business? What is your conception of business expansion? Is it merely through cost savings or does it involve an economy of scale? Let me say this flat out--if cost savings is the ONLY reason a person wants to outsource then ultimately, there may be big problems down the road. At best, outsourcing due to cost just lulls you into complacency about pushing your business higher and forward. The thinking is... "Okay, I've lopped off 80% of my cost so that's 80% more profit" The problem with this is that online markets continously change. Just because you shifted X % of your costs from the liabilities column doesn't mean you automatically pocket that money. You have to continuously reinvest in your business through better marketing, research, and diversification. At worst, outsourcing simply for cost savings tempts webmasters to pick the lowest cost producer who might have quality issues thereby impacting your bottomline. Perhaps, the best way to use outsourcing is to use it as rocket fuel for your business. Use the savings to improve your business through diversification of revenue models, expansion, and research.
3) Your time is money. Make sure you spend it wisely. Most outsourcing, unless you outsource with a company that's staffed with very experienced webmasters who have run websites and marketing campaigns before, involves training. Make sure you have all your specifications and expectations well documented so that the outsourced employees can implement your directives quickly. The clearer you are in your directions, the less training. One thing to keep in mind is that your training time is also your investment in the skills base of the outsourcing company. Make sure you protect your investment by getting as much value from your leased employee as possible OR asking for a nondisclosure/non-use agreement from the outsourcer. You would not want your competitor using your 'secret sauce' in their materials.
4) Your long term goal. Outsourcing is the wave of the future. No amount of hand wringing will dispel that fact. The question becomes... do you want to be in front of the 8 ball or behind the 8 ball on this issue? Learn to manage change and have it work to put more money in your pocket. If executed properly, a well thought-out outsourcing strategy leverages the low cost of outsourcing with the high value of your ideas and strategy to produce a win-win situation. Your long term goal must always be the expansion of your business' reach and bottomline. Use outsourcing as an evolving tool to get you where you wish to go instead of just a 'hot new trend' you want to be part of.
That's my two cents on this issue. Thank you for time.
Gene aka $5 Submissions
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