Generating leads or sales is one of the biggest challenges in any business. As a business manager, you must have come across the age-old question of why your company is not closing enough sales to meet your annual revenue target.
Sometimes you might be the one asking this question to your sales team, but on the receiver’s end, the feeling might not be so good given the modern age struggle of the industry. While the challenges continue to emerge, you can find an efficient and affordable solution by outsourcing sales in your company.
However, if outsourcing is a new concept for you, you might have hundreds of questions related to it. So in today’s post, we will discuss the two most essential queries: why and when to outsource sales in your business. Let us quickly dive into the details!
What are Outsourced Sales?
You might have heard that outsourcing sales can solve your company's problems. But how is it a one-stop solution for all your challenges, and can it contribute to generating a high stream of revenue? Let's find out.
A common misconception in the industry about outsourcing sales is that you hand over the control of your company to an external workforce. However, the reality is the opposite to it.
Outsourced sales are when you reach out for external help to manage the sales aspect of your company without compromising control. Your company will not be compromising on its reputation, instead dividing some of the responsibilities of the sales department.
An outsourcing sales company has a team of individuals who are highly skilled and experienced at managing the sales of your business. They are well-updated about the industry and can provide competitive solutions to boost your revenue.
The main aim of the outsource sales company will be to build a sales team that understands your brand value and buyers' persona. In addition, you can even train, hire and manage your ideal sales team.
Reasons Why You Should Outsource Sales in Your Company
1. Cost Savings
While some companies are concerned about their control, others might worry about the additional expenses. However, hiring an outsourced salesperson can benefit your company's costs. Here’s how:
Having an in-house sales team is far costlier than an outsourced one. Remember that when you hire a sales representative, you not only have to pay them their salary, but you must also cover additional costs like benefits, travel expenses, overtime resources, etc.
Calculating these amounts for a single person might not pinch your pocket, but forming an entire sales department can become heavier on the company’s budget. On the other hand, outsourced sales companies handle all your sales at a fixed price, and you can eliminate these expenses conveniently.
And topping with bad hiring, attrition, training, and hiring costs, Outsourcing some of your sales generation activities can help you save a lot of money.
2. Training, Onboarding, And Ramp-up
As we mentioned earlier, an outsourcing company can hire, train and manage a sales team for you. The training aspect of sales is crucial and needs more attention than you think. An item resting study hosted by TTEC showed the importance of training sales representatives in a company.
About 37 percent of sales representatives do not reach their quotas due to a lack of training and guidance. On the contrary, the companies that outsource sales have a 79 percent success rate and meet their revenue goals quicker.
3. Access to Great Talents And Resources
Outsourcing sales in your company helps you explore talented and skilled people. You might think you can examine talents even by hiring an in-house sales team, but have you considered the time and resources you need?
While you are scratching your head to get the best salespeople in your company, an outsourcing team has available resources. Their job is to get the best talents to your company without cutting a hole in the business finances.
An outsourcing sales company brings you people from all over the world, which gives your organization a chance to work with global talents.
4. Flexibility
What if we tell you, you can focus on expanding your business and have sufficient time for yourself? Sounds like a dream, right? With an outsourced sales team handling your sales, you get a break from hiring, training, and managing your sales team.
In addition, an outsourced team gives you the flexibility of time and money. While your revenues get high, the expenses in the company will reduce as you no longer have to spend on training and additional costs of an in-house sales team.
Outsourcing sales works efficiently for small business owners and large-scale companies. While its role in small business is evident, check out the next point if you own a large corporation.
5. Diversification
Outsourcing is an all-in-one solution if you are looking for ways your company can expand and grow in sales and numbers. Some business organizations already have an in-house sales team of skilled and experienced individuals.
And even though your numbers might be good enough, they can be better with an outsourcing sales team by your side. When you resort to external sources for sales, you bring diversity to your company, which can help you explore different perspectives and industry aspects crucial to reaching your annual profit goal.
Your outsourced sales team can operate from a different region. This will help you expand your business and reach an audience from new areas, enabling you to rise above your local market. In addition, the external sales team can also work with new clients and industries, which helps you grow in various sectors.
One of the primary benefits of diversification is that it helps you reduce your dependence and increase your sales pipeline. Additionally, you can ensure evident growth in your customer base. These factors will help you avoid losses in the changing economy and disruptions in the targeted industry.
6. Higher Probability of Hitting The Revenue Goal
With lesser expenses, the flexibility of time, and the diversification of markets, the probability of your business hitting the annual revenue goal is incredible. In addition, companies with an in-house sales team might think, why spend an additional amount when you already have your sales team?
It might seem like an unnecessary expenditure. However, the outsourcing team has years of experience and skills to take your company to the next level. As a business owner, your primary goal is to hit the desired numbers; having an outsourced sales team can increase your chance of doing so.
When is The Right Time to Outsource Sales?
Now that you know why outsourced sales can benefit your business, here are some of the challenging parts. It is crucial to know when is the right time or, instead, when your company is ready to outsource sales.
To determine whether your company is ready to handle an outsourced sales team, you must first communicate with your in-house sales representatives or a follow-up team. If your team is not trained enough, you might invite more problems than solving existing ones.
For example, not initiating follow-up calls or emails and lack of technical experience after training or demo sessions will have repercussions for your business. These things can jeopardize your business reputation, so avoid having backlashes at all costs.
