Sales is becoming a lot harder. Gone are the days where you could simply develop a product then go sell it door to door. Now you need to research your customer base, a prospect for potential leads, make a connection with those leads, demonstrate your value, and finally close the sale. And none of these steps are getting any easier.
According to HubSpot, 40% of salespeople said getting a response from prospects and 30% said closing a deal are both harder than they were just a few years ago. The modern sales process is competitive and complicated, but if you want your business to thrive, it’s essential that you find a way to work with it.
For many businesses, this means hiring a sales team and having them conduct the sales for you.
Enter Sales Development as a Service (SDaaS). With SDaaS, you are outsourcing your sales processes to another company. Outsourcing has a bad reputation for being too expensive or delivers lower quality, but this isn’t always the case. By working with a reputable SDaaS, you can take a large amount off your plate and focus on other areas of your business.
Benefits of sales outsourcing
There are 4 key benefits for businesses that decide to outsource their sales.
#1 – Save Time on Lead Generation
First, you can save time on lead generation. Lead generation is a time-consuming process. It often requires that you cold-call thousands of prospects, send out thousands of emails, and respond to thousands of live chat requests from your website. After spending all this time prospecting for leads, you may wind up with only a handful of customers. Time is the most valuable resource your business has, and lead generation takes up a lot of it.
But when you outsource your sales process, lead generation is taken care of for you. Trained and experienced SDRs will do all the work of finding great leads for you, while you can use your limited work hours for closing deals.
#2 – Flexibility
Every business is different. Some will require a team of 50 salespeople working around the clock. Others will only need one person working a few hours each week. If your business is more towards the latter, then hiring a full-time sales staff doesn’t make much sense. Outsourcing your sales would provide your business with more flexibility.
With outsourced sales, you can decide where and when you want them. If you want to dial up your sales effort in November, but scale them back in December, you can do this. This type of flexibility doesn’t exist with a full-time employee, as you need to pay them their salary regardless of how much you actually need them that week or month.
#3 – Global Reach
Eventually, the time may come when you want to expand into new markets. To sell to a new market, you need to do more than use an online translator on your website. You need a sales team that not only knows the language of the market you’re targeting but the culture as well.
Of course, you could hire someone new who speaks that language fluently. But what happens when you want to expand your business into another new market? Are you going to keep hiring full-time team members each time you want to enter into another market? You could do this, but it would be costly. A more affordable option is to outsource your sales process to a service that provides multilingual support. An SDaaS will have a team already in place that can handle sales worldwide so that you don’t have to go through the time consuming and costly process of finding them yourself.
#4 – Learn from Them
Finally, just because you outsource your sales now doesn’t mean you have to do that forever. A time may come when it makes more sense to have your sales staff all under one roof. But when that time comes you’ll want to be ready for it, and outsourcing your sales now can help you do that.
A good SDaaS will provide you with plenty of information about your target market. As they are the ones working with your customers directly, they’re in the best position to share their experiences with you. When you develop your own sales system, you’re bound to make some mistakes. But by learning as much as you can from your SDaaS, you can avoid some of the bigger ones and get your new sales team started on the right foot.
How much does it cost to outsource sales?
When considering the costs of outsourcing your sales, you don’t want to look at it as some abstract number. Instead, you want to compare the costs versus hiring an in-house team. It doesn’t matter if outsourcing costs you $10/year or $10,000/year, what matters is whether or not it’s cheaper than the alternative.
For example, let’s look at what it might cost to hire one salesperson at your company. To start, you have to spend time interviewing candidates, sorting through resumes, and ultimately training your new hire. Time is a valuable resource, so it shouldn’t be discounted in your comparisons.
Once you’ve selected someone, now you need to pay them. According to the Bureau of Labor Statistics, the median pay for an Advertising Sales Agent was around $51,000 for 2018. Besides a base salary, you’ll also need to factor in costs such as taxes and insurance plans.
Now you need to think about what you’re actually paying them for. A full-time employee is expected to work 8 hours a day, 5 days a week. However, no employee, no matter their profession, remains at peak efficiency for the entire 8 hours. If you’re lucky, you might get about 5 hours total out of your salesperson each day. And of course, most salespeople won’t work 5 days a week every week of the year. There are holidays where they get off, sick days, and vacation days as well.
The numbers are different for every business. How much salary you can afford, how many sick days you give, and the type of insurance coverage you provide will all impact your specific costs. The important thing is that you take everything into account when figuring out what it will cost you to hire someone in-house – from the hiring process up to sick days. Then, multiply that number for each salesperson you want to bring to the team.
With a rough number in mind, you should be able to compare the costs against outsourcing your sales development tasks. Now is when you can start exploring different outsourcing options and gathering some cost estimates. Remember, when you outsource your sales, you’re only paying for the hours that SDRs worked on your project, and you don’t have to go through a lengthy hiring or training process. In many cases, this will mean more efficient use of your resources.
How to find the best sales outsourcing agency?
There are a few keys to finding the best sales outsourcing agency for your company. The first is setting your own goals.
- What is it you’re looking to achieve?
- What sort of sales numbers are you trying to reach?
Setting goals will not only help you during your research phase, but they can also help you down the line by measuring whether or not the outsourcing company you chose is meeting expectations.
Next, you’ll want to consider the costs. Talk to your potential SDaaS candidates and see what they would charge. Find out exactly what you’ll get for that price. Once you have some solid numbers, you’ll be better able to tell if that particular SDaaS is a good fit for your budget and how they compare against other options.
Now you can start thinking about which of your options have the features you’re looking for. For example, do you want to reach global markets? In that case, you’ll want a SDaaS with multi-lingual support. You should also make sure that the SDaaS company operates during the same hours as your target customer base.
Another good thing to look for when choosing the best sales development outsourcing agency is the information they provide you with. As we said earlier, you may eventually want to transition into your own in-house sales team.
To make this transition easier, and to give your new team a boost, you’ll want an outsourcing agency that provides you with frequent and comprehensive data about your customer base. Talk to your outsourcing agency candidates about the type of reports they can provide you with and make sure it’s to your liking.
Finally, the last thing to look for is outsourcing agencies reputation. Have they received generally positive reviews from previous customers? Do they have some references they can provide you with? Or maybe there are some case studies on their website that you can look through. Finding out more about their past experiences with other companies will give you a better sense as to what level of service you can expect from them if you were to hire them.
Sales outsourcing isn’t right for every business. To figure out if it’s right for yours, you’ll have to consider your own goals and budget. If you would like to find out more, you can set up a free consultation with the TaskDrive team by calling us today. We’d be happy to discuss your specific needs with you and help you figure out if sales outsourcing is a good fit.