Overcoming the Challenge of In-House Team Competition: A Guide for eCommerce Agencies

The rise of in-house development teams has created a new challenge for eCommerce software agencies. Many businesses, particularly in the wake of the pandemic, are leveraging their internal resources to handle projects that might have previously been outsourced. This shift presents both challenges and opportunities for agencies. Here's how to navigate this new landscape and demonstrate your value.

Read also: Vendo Partner Program: How Your Agency Can Be Affordable and Competitive Again

{{blog-card}}

Understanding the In-House Team Trend

Several factors have contributed to the rise of in-house development for eCommerce projects:

1. Post-pandemic overhiring leading to excess capacity
2. Desire to retain talent and avoid layoffs
3. Perceived cost savings of using internal resources
4. Increased focus on building internal capabilities

Strategies to Combat In-House Team Competition

1. Emphasize Specialized Expertise

While in-house teams may have broad skills, they often lack specialized eCommerce expertise:

• Highlight your team's deep experience in eCommerce-specific challenges
• Showcase successful projects in the client's industry
• Demonstrate knowledge of the latest eCommerce trends and best practices

2. Offer Complementary Skills

Position your agency as a complement to the in-house team, not a replacement:

• Offer specialized services that augment internal capabilities
• Propose collaborative models where you work alongside the in-house team
• Provide training and knowledge transfer to upskill the internal team

3. Focus on Speed and Efficiency

Leverage your experience and tools to deliver faster results:

• Utilize platforms like Vendo to accelerate development
• Implement efficient project management methodologies
• Demonstrate how your agency can achieve results faster than an inexperienced in-house team

4. Highlight the Risks of DIY eCommerce

Educate potential clients on the risks associated with non-specialized teams handling eCommerce projects:

• Discuss common pitfalls and how your experience helps avoid them
• Share case studies of successful projects vs. in-house attempts
• Emphasize the importance of eCommerce-specific security and compliance knowledge

5. Offer Flexible Engagement Models

Adapt your services to complement in-house resources:

• Provide consulting and advisory services
• Offer staff augmentation for specific skills or during peak periods
• Create hybrid models that combine in-house and agency resources

6. Demonstrate Clear ROI

Show how hiring your agency can be more cost-effective in the long run:

• Develop ROI models that account for development time, quality, and long-term maintenance
• Highlight the opportunity costs of tying up in-house resources on eCommerce projects
• Emphasize how your solutions can drive revenue and provide a faster time-to-market

7. Provide Ongoing Value

Show how your agency can provide value beyond the initial project:

• Offer maintenance and support packages
• Provide regular audits and optimization services
• Demonstrate how you stay ahead of eCommerce trends and can future-proof their platform

8. Address the "Build vs. Buy" Decision

Help clients make informed decisions about whether to build in-house or partner with an agency:

• Create resources that guide clients through the decision-making process
• Offer consultations to assess their specific needs and capabilities
• Provide transparent comparisons of the pros and cons of each approach

9. Leverage Your Network and Partnerships

Showcase the broader ecosystem and resources you bring to the table:

• Highlight partnerships with eCommerce platforms and tools
• Demonstrate how your agency stays current with industry changes
• Show how your network can provide additional value (e.g., integrations, marketing services)

Conclusion

While the trend of in-house development presents challenges for eCommerce agencies, it also opens up new opportunities for collaboration and specialized service offerings. By emphasizing your unique expertise, demonstrating clear value, and adapting your services to complement in-house teams, your agency can continue to thrive in this evolving landscape. The key is to position yourself as a valuable partner that enhances, rather than replaces, internal capabilities, ultimately driving better outcomes for your clients' eCommerce initiatives.

{{blog-card}}