7 Advantages of Outsourcing your Sales
Sales is the primary driver of cash flow for a business. It brings in revenue, and without good sales figures, a business will not survive. So, it is a function every company closely focuses on and wants to excel. Hence, many companies are hesitant to outsource their sales as they are not sure of its advantages. Also, some of them completely discard it as they find the thought of outsourcing it risky. In this blog, we share the benefits of
outsourcing sales for a business.
Let us first understand what do we exactly mean by the term Sales Outsourcing.
What is Sales Outsourcing?
Sales Outsourcing is a process of hiring an external agency or individual and delegating a part or entire sales process to them to manage.
It is not something you. One will come across many businesses that outsource their lead generation process to external agencies as they might not have substantial resources for an effective lead generation campaign. We all are aware of affiliates who get a commission from the businesses if they sell their products. Tech companies have resellers who specialize in selling technology products. These are all variations of sales outsourcing
Let us look at the benefits of outsourcing your sales as a business.
Advantages of Outsourcing Sales
1. Experts Handle Sales
The sales outsourcing companies have salespersons who sell for a living. They have experts for every part of the sales funnel. So, as a business, you may only need cold calling experts. They will carry out the initial process of lead generation and lead qualification. Your internal sales team receives only these qualified leads. They then need to focus only on nurturing the qualified leads sent to you and closing the deal.
Also, since they do it every day, they are well versed with the latest industry trends and tactics. They are always on top of the latest updates and tactics, which gives them an edge.
So, you can be rest assured that if you have chosen a good outsourcing sales company to handle your sales, they will deliver the results.
2. Provide Better ROI for Businesses
Hiring a sales professional for your business requires a lot of investment in terms of time and money. You need to take interviews, shortlist candidates, train them post-hiring, and be patient till they start delivering results. This entire process may take at least 3-6 months.
Also, if these sales professionals leave the company, or if the person hired is not performing, you have to redo the entire exercise to find a replacement. Also, there are other overheads that you need to take care of when you hire sales professionals, like their salaries, reimbursements, various allowances, etc.
In the case of an outsourced sales vendor, these costs reduce considerably. You only pay them if they deliver results. The other hassles like costs of hiring, training, overheads, churn rate, etc. are not yours anymore.
3. Pay Per Performance
As mentioned in the earlier point, outsourced sales companies have different models. Some may charge on a per lead basis, some on a fixed fee plus commission model, others offer services on a commission model, etc.
Here the advantage is that you pay based on their performance. The better the performance higher is the revenue.
4. Access to Their Existing Network and Relationships
The outsourcing companies will have a database of companies within an industry and also have existing relationships. As a business, you may leverage these existing relationships when they tap into their network and pitch your products or services.
These can be a huge advantage since you save a lot of time which otherwise would be required to establish these relationships.
5. Room for Experimentation
As a business, it is imperative to know what your customers like or dislike about your product. It may also be possible that you want to first test the waters before hiring a full-fledged sales team. In these scenarios, outsourcing your sales could be the best decision you make.
You can test what works and what does not work in the market at a fairly low cost. It also gives you the room to experiment with multiple product variations or change your sales strategy. Once a business knows the pulse of its customers, it can have a full-fledged sales team onboard.
In the meantime, an outsourced sales team will help you get the desired outcome while keeping the experimentation costs in check
It is also easy to scale up or scale down depending upon your requirements if you have outsourced your sales. You may ramp up your sales team in no time, in case of a new product launch in the market, or if there are some great discounts available for a particular duration.
Similarly, in case of a loss, you may scale down your requirements. It helps you to optimise the utilisation of your monetary resources.
7. Market Expansion
Let’s say you want to enter new geography and test out the market there. It is advisable to outsource your sales. It will help you analyse the product scope in the new market, help you in competitor research, and get the benefit of an existing network that your outsourced vendor may have in the region to set the ball rolling. It holds true, also in case of a new product launch in the existing markets or a new product launch in a new
As we can see, there are numerous benefits of outsourcing your sales. However, you must ensure that you do your due diligence and select a great sales outsourcing company that can deliver results. We will look at the criteria you should consider for hiring a good sales outsourcing partner for your business in one of our later blogs.
The main aim of this blog was to share with you that outsourcing your sales could be a good strategy. It has the potential to give you a competitive edge. If you are looking to evaluate the outsourcing sales strategy for your business, you may connect with us at Vyapaar Network.
Vyapaar Network is a Global B2B Deal Making Platform. It provides online search and discovery of multiple business solutions in the field of Sales & Marketing, Human Resources (HR), Information Technology (IT), Finance & Operation (F&O) and Legal.
We have helped to launch many businesses globally with the help of our vast Sales Network. You may email us at email@example.com or can call us on +91 8850 10 1835.
We would be happy to help and provide you with a customised plan to suit your sales outsourcing requirements.