RSS
Email
SMS
The Idea of Outsourcing SEM to USA - Will it Work?
(Rate this article)
Loading ...Email It!
One of the simple benefits of blogging is the exchange of ideas that happen so smoothly, without even needing to talk to someone directly. So when Peter Sabbagh wrote his view on the potential that the growing Indian SEM market holds for the folks in USA, it immediately intrigued me. According the Peter, the IAMAI report on the SEM industry in India we spoke about last week points at an opportunity for SEM companies in America to expand through outsourcing.
The idea in itself is not far fetched at all, as Peter backs it up with the points mentioned in IAMAI’s report. The biggest roadblock for the growth of the SEM market in India is lack of skilled man power, while the saturated US markets are looking for newer client opportunities. And what we have is perfect match to be tied in the binds of holy matrimony.
According to Peter,
“…there lies a great opportunity for American SEM and New Media specialists at the Middle (approximately 2 to 5 years), and Senior (approximately 5 to 20 years in SEM and Marketing) SEM professionals to pursue projects in India. Currently, the majority of Middle and Senior level SEM professionals reside in the United States. Many have strong technical, problem solving, creative, and communication skills. These are valuable and necessary skills for best practices SEM.”
Very valid points. And to add to this he also mentions the experience that American SEM professionals will get on global arena which is fast becoming an imperative requirement in the flat world.
However, this suggestion obviously would have its naysayers and doubting Toms, and on my part will play one for now.
The biggest disadvantage to this suggestion is the dynamics of the cost. As much as the growth expected in the industry is true, it is still an Indian industry, and it still presents a huge cost advantage especially related to man power. I am sure the primary reason, Indian companies still look for Indian SEM firms is because of the price advantage that they offer even in a scarcely talented market. How our American counterparts would work this problem out would be an interesting story to read.
The next thorn in the path is understanding the target audience itself. Considering its varied demography with nearly 20 languages and a mightily divided terrain with numerous sub cultures, creating converting copies and marketing efforts under tight spends to a divided base wouldn’t quite be easy even with the decade of additional experience in hand. There are a lot of industries in India with their own sovereign demands quite different from what you would see elsewhere. Understanding the working ethos also therefore would be quite a task at hand for the US firms.
And thirdly, purely going by the number of GAP members, almost every other country has a lot to catch up on. There are only 3 countries with more than 20 Adwords Qualified companies (not including the US). Wouldn’t it be a better option for US based SEM firms to build a base in Europe before Asia? Just a thought.
These are just some of the questions that popped into my mind while I read the article. Surely there exists an opportunity with the huge growth potential predicted, but are the firms in USA equipped to handle a distinctly unique market?
Thanks for the mention and more importantly the post Peter, it is certainly an interesting thought. Hopefully someone can actually take it forward and see if it is an idea that can work.
Image from MSNBC Media
Loading ...
Leave a Comment and Follow the replies through Post Comment Feed