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Should I Hire a PR Agency or Do It In-House? A Founder’s Dilemma Solved

The Founder’s PR Puzzle

As of July 8, 2025, India’s digital ad market is soaring at $5.82 billion, with 80% of SMBs relying on online channels for growth (Meltwater, 2025). For founders of Indian startups and SMBs, public relations (PR) is a critical tool to build brand credibility, drive awareness, and manage reputation in a competitive $7.9 billion internet ad market (PwC, 2023-27). But the question looms: should you hire a PR agency or build an in-house team? Atom Communication, a digital marketing observer, notes, “PR is about trust and strategy—choosing the right approach can make or break your brand.” This blog breaks down the pros and cons of both options, offers guidance on when to outsource, and uses stats and examples to help Indian founders decide, with a free PR audit to kickstart your strategy.

The Challenge: PR on a Tight Budget

A hypothetical Delhi-based EdTech startup, launched in 2024, faced this dilemma. With a $2,000/month marketing budget and a goal to reach 10,000 new users, they struggled:

  • Limited expertise: No in-house PR skills, leading to ineffective press releases.
  • Time constraints: Founders juggled product development, sales, and PR, with 80% of SMBs reporting time shortages (IBEF, 2024).
  • Media reach: Lacked journalist connections, missing out on 70% of media pitches ignored by outlets (Pesti.io, 2023).
  • Crisis risk: No plan for negative feedback, critical in a market where 96% of businesses faced crises recently (PwC, 2023).

With 79% of Indian marketers prioritizing brand awareness (Cognism, 2025), the startup needed a scalable, cost-effective PR solution.

PR Agency vs. In-House: Pros and Cons

Hiring a PR Agency

Pros

  • Expertise: Agencies bring specialized teams with media relations, crisis management, and content creation skills. 80% of PR agencies have established journalist networks, ensuring better coverage (Leapfrog, 2023).
  • Scalability: Agencies handle multi-market campaigns, ideal for SMBs eyeing Tier II/III cities. 68.9% of businesses outsource for scalability (Editorial.link, 2025).
  • Fresh Perspective: External teams avoid internal biases, crafting innovative pitches. Example: Zomato’s agency-driven campaigns boosted media mentions by 40% (Pepper Content, 2022).
  • Cost Efficiency: Pay for services, not salaries. Average agency fees ($1,000-$5,000/month) are often lower than hiring full-time staff (Pesti.io, 2023).

Cons

  • Cultural Fit: Agencies may struggle to capture your brand’s voice, with 30% of outsourced PR failing due to misalignment .
  • Less Control: Founders may feel disconnected from daily PR tasks.
  • Onboarding Time: Educating agencies about your business takes effort, similar to onboarding a new hire.

Building an In-House PR Team

Pros

Cons

  • High Costs: Hiring a skilled PR manager in India costs INR 10-20 lakh/year, plus tools and training.
  • Limited Expertise: In-house staff often lack the broad industry experience of agencies, with 60% of SMBs struggling to hire PR talent.
  • Time-Intensive: Managing PR distracts from core business, with SMEs losing 20% productivity to multitasking.

When to Outsource to a PR Agency

Based on insights from PR experts and Indian market trends, outsource if:

  • You’re Scaling Fast: Agencies excel in multi-market campaigns, like Zomato’s nationwide PR push. Ideal for startups targeting India’s 900M internet users.
  • Budget is Tight: Agencies cost 40% less than in-house teams for SMBs with under $5,000/month budgets.
  • You Lack Media Connections: Agencies have established journalist networks, securing 50% more coverage than in-house teams.
  • Crisis Management is Key: 96% of businesses face crises; agencies offer rapid response plans, unlike understaffed in-house teams.
  • Short-Term Campaigns: Project-based PR (e.g., product launches) suits agencies, avoiding long-term hiring costs.

When to Keep PR In-House

Build an in-house team if:

  • You’re in a Niche Market: Deep brand knowledge is critical for sectors like healthcare, where 70% of campaigns fail without cultural fit (Forbes, 2024).
  • Long-Term Control Matters: In-house teams align with your vision, ideal for sustained brand-building (PR.co, 2021).
  • You Have Resources: If you can afford INR 15 lakh+/year for a skilled team and tools, in-house PR offers 21% higher ROI long-term (Gallup, 2023).

Case Study: Indian EdTech Startup’s Choice

The Delhi EdTech startup chose a hybrid approach. They outsourced to a PR agency for media relations and crisis planning, leveraging the agency’s journalist network to secure 20+ media mentions in three months. They kept content creation in-house to maintain brand voice, training one employee via online PR courses (cost: $500). Result: 50,000 new leads and 30% brand awareness growth within six months (hypothetical). Takeaway: Combine agency expertise with in-house control for SMBs with $2,000-$5,000 budgets.

Why It Matters for Indian Founders

India’s 238 million online shoppers (Meltwater, 2025) demand strong brand presence. PR agencies offer expertise and scalability, ideal for fast-growing startups, while in-house teams provide control and authenticity for niche or long-term goals. 92% of C-suite leaders value PR for business outcomes, making this decision pivotal. Atom Communication Free PR Audit in 48 Hours helps founders assess their needs—grab it to find your best path.