Nowadays, outsourcing different areas of business is very common, and it is no different when it comes to sales. There can be multiple reasons for this, and it is always good to assess the pros and cons of such a decision. One of the biggest advantages of outsourcing sales to an external company, according to businesses is that it is a strategically viable move and suitable for organizations that do not have sufficient resources for the sales. Shared below are the pros and cons of outsourcing sales, read on to know more.
The Pros Of Outsourcing Sales
Cost Reduction: One of the biggest advantages of outsourcing sales is that it helps with bringing down the cost and is an effective way to scaleup sales. You only need to pay for the hours or days of sales done and there are no additional liabilities like severance or government burdens. Also, it is flexible, i.e, you can lower the number of sales if it is lean time and increase during the boom time.
Use Dedicated Resources: During boom time you can employ a part-time salesperson to increase sales and this is a resource purely dedicated to sales. They have no other objective in the organization except for ramping up sales and are paid for the number of sales.
Use Different Types Of Sales: Sales outsourcing companies specialize in different types of sales and utilize them according to your requirements. For example, some specialize in all the aspects of sales like target research, qualification call, pitching and proposing to close, and post-close. On the contrary, others specialize in lead generation, this is more suitable if you already have a good sales team.
Cons Of Outsourcing Sales
Not A Dedicated Resource: Some of the large firms have their own established infrastructure for sales, and methods used were refined over time. In such cases, hiring a fulltime salesperson is a better option than hiring a part-time salesperson. This is because the company needs to spend a dedicated amount of time to sell and provide service to their clients.
Difference In Methodologies: As mentioned in the previous point, the methodologies and tools used by the part-time salesperson might not match with those used by the firm. On the contrary, a fulltime salesperson can be trained in these tools and methodologies, and you can expect them to follow the methodologies.
Difficult To Monitor Sales CRM: One challenge when hiring sales outsourcing companies is that there are chances with their representatives not adding target contacts and leads in the sales CRM.
These are some of the points that you should keep in mind when hiring sales outsourcing companies for your business.