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Sales Lead Management Association Radio

19
May

How to decide if outsourcing inside sales is right for your company.

May 19, 2015
00:0000:00

This is a replay of a show from December with Jeff Feuer of Customer Solutions Group.

You'll have to listen to the full show, but here are some highlights:
Outsourcing as a TOOL, it can be used to great advantage or great disadvantage.

The in-house sales force that can handle the workload, probably doesn't need to consider outsourcing that much.

Some reasons you may want to consider outsourcing are trigger events. These trigger events may include:

  • Near term large expansion of sales force.
  • Perhaps immediate need or temporary need that would be difficult to ramp up and ramp down for in house.
  • Desire to benchmark the existing sales force against an objective third party that could trigger good healthy competition that could make both the in-house
  • Launching a new business or a new product is another trigger event that should cause a manager to think about outsourcing, because a fresh perspective can be valuable to assist in solving unique problems
  • Lack of scale to justify an impact, or telephone capacity issue that could hinder a successful launch and related scale issues.

*How to get ROI - is it more or less expensive?*
If you allocate the costs properly, in-house sales should be 10% less than outsource. That's typical.
Depends on where you are located and your in-house work force location - Silicon Valley is way different than more industrial areas.

After analyzing costs, you'll have to decide if you have a greater capacity for success keeping it all in-house or will you have a greater capacity of success if you outsource for this specific situation.

Jeffrey's company 130 front line full time sales people.
"Sales is part of our core DNA - we've been doing it for 21 years. We are a sales firm."

09:00 Quoting Gerhard at Sales 2.0, "Majority of firms are not hiring outside sales people, they are hiring inside sales" and then using outsourcing more when they have the extra need."

09:20 Technology and the way people work, really tends to favor inside sales today.
Someone can cover a lot of grounding a phone call. Inside is more economical.


Outsourcing offers a lot of flexibility.


Outsources see a lot of different sales problems. Where inside sales relies on one set of experiences from their own services.

10:30 Warm Transfer topic. How and why it's used.
It's another word for outsourcing the prospecting leg of your sales process.
The task is to find the decision maker. Outsourcer can do it less expensively. They have more experience in this piece of the sales process.

11:48 Using a divide an conquer approach where the prospecting is outsourced and the closing, demos and customer service remain with in-house.

15:30 Outsourcers are specialists in the infrastructure and execution of programs. Most have space to grow and create quickly.

How long does it take to get up and running?
3-5 weeks is typical. Depends on services are necessary.

Do most of your clients use CRM?
With over 90 CRM systems out there. Important to have one system, but not all of the bells and whistles.
I want my sales people to focus on SELLING, not filling in little forms and data. That's what they do best - SELL. Persuasion skills are more important to sales than administrative skills.