Whether you’re an emerging start-up trying to find your first clients or a well-established software vendor looking to scale, outsourcing sales can be a great strategy to accelerate growth. With a team of knowledgeable sales development representatives generating qualified leads, you can spend your time developing other key areas of the business.
Despite the many benefits, some business leaders are hesitant to pass the baton to outsourced sales representatives – likely because they have some concerns that outweigh the benefits.
Yet, many of these concerns are simply misconceptions about the process and business structure. Below, we break down ten common myths and misconceptions about outsourcing sales to help you find out if this method of lead generation is right for your business.
Outsourcing Sales Myths and Misconceptions
- Outsourcing sales myth one: it isn’t cost-effective
- Outsourcing sales myth two: you lose all control
- Outsourcing sales myth three: it’s pointless if you already have an internal team
- Outsourcing sales myth four: all outsourced SDR companies are the same
- Outsourcing sales myth five: you’ll get a ‘one size fits all’ approach
- Outsourcing sales myth six: it’s only for large businesses
- Outsourcing sales myth seven: it provides short-term benefits, not long-term growth
- Outsourcing sales myth eight: you’ll sacrifice the quality of leads
- Outsourcing sales myth nine: outsourced sales development is only suitable for a small number of industries
- Outsourcing sales myth ten: it’s not as effective as in-house sales development
Myth one: outsourcing sales isn’t cost-effective
Many business owners are under the impression that building their own sales development team may be the more cost-effective approach. In reality, this is far from the truth. Why? Establishing a B2B sales team is not only a time-consuming feat but an expensive one once you’ve factored in recruitment, training, tools and overheads.
In fact, our research shows that building and maintaining a successful sales development team is thought to cost around $134,500 in San Francisco and £83,950 in London annually. This isn’t factoring in the total cost of training, creating a sales playbook and ramp-up periods.
By outsourcing sales to a specialist SaaS lead generation company, you capitalise on knowledge and insight from a fully trained team of experts. This, in turn, saves valuable time and money – both of which can be spent improving other areas of your business.
Myth two: you lose all control when outsourcing sales
Handing over the reins may be worrisome for some business leaders, particularly if you’re used to having full control. There’s no need to panic, though; you’ll build strong relationships with your outsourced sales development reps (SDRs) and be given regular updates as to when they’ve secured a lead.
Whether they run into an issue, have data to pass on or have achieved a big win, you’ll be kept in the loop. Your allocated SDRs are dedicated to helping you hit your goals and accelerate your revenue, regularly touching base to ensure you’re satisfied as well as providing insightful data and intelligence to help accelerate your growth.
Think of your outsourced SDRs as an extension of your own sales team – you’ll get the same benefits and support, including analytics, regular contact and forecasting, without having to train them yourself. Treat and manage your outsourced SDRs as your own team to see the best results.
Myth three: it’s pointless if you already have an internal sales development team
Those who have already established an SDR team may be under the impression that outsourcing sales isn’t for them, but a hybrid approach is becoming increasingly popular. It allows you to fill in gaps – whether that be in knowledge, approach or time – as well as widening reach.
You may find that your current team is highly skilled in handling inbound enquiries, for example, but need assistance with their outbound activities to penetrate key target accounts. Outsourcing sales allows you to diversify your team, ensuring your prospects are strong throughout the sales pipeline.
Speaking of diversifying your team, working alongside a lead generation business can help you enter new markets. Perhaps your current sales team only speaks English, but you want to expand your client base into the Asian or French markets. By outsourcing to Operatix, you’ll have access to a diverse, multilingual team that is well-versed in cultural differences outside of the UK and the USA. In fact, we can sell in 17 different languages.
Myth four: all outsourced SDR companies are the same
It’s always tempting to cut back on costs and go for the cheapest option, but there are plenty of other factors to consider when outsourcing sales. Do they have knowledge of the industry? How experienced are the SDRs? How are they compensated? Where are they based? Do they have local knowledge of the market? These are just a few questions you should ask before deciding if that specific outsourced sales team is right for you.
Always ask questions about prior successes, request a general outline of their processes before signing on the dotted line and make sure you check out review websites such as G2 to hear what clients are saying about their customer experience.
Myth five: you’ll get a ‘one size fits all’ approach
As mentioned, outsourced SDR agencies tend to have typical processes – but this doesn’t mean that they’ll simply treat all clients with a blanket approach. Rather, they have the expertise to try a multitude of approaches to find one that suits your brand and get that all-important foot in the door. Outsourcing your sales team doesn’t mean losing your branding, but rather taking on a team of professionals that are experienced in representing businesses correctly.
Outsourcing your sales team doesn’t mean losing your branding, but rather taking on a team of professionals that are experienced in representing businesses correctly. They understand the importance of having a deep understanding of the service they’re pitching, as well as the business behind it.
Myth six: outsourced sales development is only for large businesses
Small and medium-sized businesses can reap the many benefits of outsourcing sales, just as a large account would. This misconception often stems from the belief that they can’t afford this strategy yet, as discussed in point one, outsourcing sales development can save businesses both time and money.
Outsourcing grants you access to experienced sales professionals, new markets and all of the tools necessary needed to compete with larger businesses and competitors.
Myth seven: outsourced sales provide short-term benefits, not long-term growth
While it’s a common misconception that outsourcing sales development only provides short-term benefits, this strategy definitely contributes to long-term growth. Outsourcing agencies have the necessary expertise and resources to develop a sales strategy that aligns with the client’s goals and objectives.
This tailored strategy can help drive sales growth in the short term while also contributing to long-term growth by building a strong customer base, improving brand awareness and successfully scaling into new markets. Plus, the flexibility of outsourced sales will allow you to upscale your team as both demand and your customer base grow over time.
Myth eight: you’ll sacrifice the quality of leads
Many people are under the impression that the cost savings of outsourcing sales can sometimes lead to the compromise of quality leads. However, so long as you do your research and opt for a reputable agency, you’ll find that you can reap the cost-saving benefit of outsourcing sales development while securing better leads.
Reputable outsourced sales companies have a team of experienced and skilled sales professionals who are dedicated to providing high-quality services to their clients. These professionals have the necessary skills and knowledge to deliver results, leading to increased sales and revenue for the business. Outsourcing sales development can actually improve the quality of leads by providing flexible access to a team of experienced sales professionals.
Myth nine: outsourced sales development is only suitable for a small number of industries
Outsourcing sales development can be beneficial for businesses in a wide range of industries, and there are agencies specialising in a wide range of verticals. Operatix, for example, collaborates with B2B software vendors in their efforts to accelerate sales, enter new markets and increase pipeline. There are a plethora of outsourced agencies suitable for a broad spectrum of industries, from healthcare to eCommerce.
Myth ten: outsourced sales development is not as effective as in-house sales development
While this may be the last myth on the list, it’s likely one of the most common. There is often an initial perception that outsourced sales development is not as effective as in-house sales development, most likely because of the other myths listed above. However, these myths have all been quickly dispelled.
Businesses can leverage the resources of outsourcing companies to increase sales, develop a strategy aligned with their objectives, and add fresh perspectives to their sales process. Utilizing an external sales development team can drive sales, pipeline and revenue, often at a lower cost than in-house sales development.
While you may have some preconceived notions surrounding the concept, B2B sales outsourcing is a great way of generating leads and bolstering sales. For further information on how Operatix can help boost the pipeline of your B2B SaaS company, get in touch today.