Outsourcing Business – Filling your sales pipeline is a high-priority task that often presents a significant challenge. Many companies rely on their most excellent salespeople to perform business development tasks such as routine research.
This can cause salespeople or account managers to burn out, as most of their time is spent performing these tasks rather than where they are most valuable: closing sales.
What’s a good strategy to resolve this? Business development in outsourcing.
Let’s look at some details of business development outsourcing so you can make sure outsourcing is beneficial for you.
What Is Sales Outsourcing?
Sales Outsourcing is the systematic process of delegating sales tasks and processes to an outside company. The outdoor company becomes a virtual sales team for you and uses its experience to improve your sales strategy to close more deals and increase your income.
Why Companies Outsource Sales
Businesses typically outsource sales when they want to grow their sales pipeline and scale faster for better services.
They often utilize outsourced sales teams when they want to reach new markets and leverage the outsourced team’s extensive experience, technology and services that they may not otherwise have access to if they chose to hire or keep an internal sales team.
Another important reason why companies outsource is that it is usually more cost-effective than hiring a full sales force, which requires top salaries and compensations.
Outsourcing your business development processes is an important decision, which means you shouldn’t rush this decision. Take the time to think about all the things you need and expect from an outside agency.
What to Consider When Choosing Outsourcing Business Development Representatives
Here are some things to consider when outsourcing business development:
The Cost of Outsourced BDRs
Business development efforts often require a significant cash investment. You’ll need to weigh the costs against the benefits to make sure you can get an adequate but realistic return on your investment.
To do this, you need to consider how much it would cost you to build an internal team, your goals and your timing to achieve those goals. This will allow you to understand the direction better to take, your budget and your real expectations.
Outsourcing usually offers more direct costs that you can evaluate to see if it works for your budget. Be sure to ask your potential BDR team for any hidden charges or fees before connecting with them.
The Time It Takes to Get Business Development Results
Creating an entire internal BDR team takes a long time. Outsourcing takes time, too but getting your new team so that they are effectively generating leads based on your needs.
Some companies may start by working with your email, customer journey, and playbooks because they already have the experts and infrastructure firmly installed.
While the company needs to have a few meetings with you on your target market and other factors, it shouldn’t take them more than a month for them to get started.
The Effort Needed to Put In to Ensure Success.
In reality, you will need to be involved in some way with outsourced BDRs. How involved you depend on the agency you select. In the initial try, they may require you to give them a great deal of information. This may require a lot of effort on your part.
Without this effort, you might not get the qualified appointments you were hoping for, which could lead to friction with your sales force.
Ensur that you are aware of how much time and energy you have to put in to help your outsourced sales team become successful.
How Outsourced RDBs Align with Your Unique Needs
Make sure and observe the agency you choose has some experience with other companies in your industry or companies with similar weaknesses and needs.
A good practice to make sure their experience matches your needs is to look at their use cases. You can ask them for case studies and use cases that started with a similar situation to yours. In this way, you will see how effective their BDRs have been for their problems. You will likely gain confidence in their abilities to help your particular situation.
Here are some more questions to ask any outsourced agencies you are considering:
- What tools and technologies do your BDRs use?
- Are your KPIs aligned, and what are the expected returns?
- Can you prove your favourable track record?
- What are your average conversion rates?
- How can you support us in [insert specific area, critical point or requirement]?
- Can you show us that you understand our needs?
- Have you ever worked with companies in this industry or sector?
Improve Your Sales Functions
Ensure account managers and other members of the sales team have streamlined the lead follow-up processes. More importantly, make sure you have enough members to handle the volume of leads you expect to receive.
You Think the Benefits Don’t Outweigh the Cost.
Prices for outsourced companies typically start in the thousands of dollars per month. Price is the most common objection RDOs hear when meeting prospects over the phone.
You might think that it costs a fortune and you don’t have direct control over the results. It can be scary to venture into the unknown if you have never used these types of services before.
You Worry About Losing Control Over Your Sales Development Activities.
Control is another primary reason why businesses choose not to outsource sales. BDRs are in direct contact with your customers, and you don’t know if they will represent your business well.
Essentially, you don’t want them messing up anything without you being there to supervise them.
Allow BDRs to Thrive On Their Own.
It may seem like a total loss of control when sales associates are out of sight. Consider this: your internal staff cannot be monitored by you 24/7 while they perform their duties.
Good BDRs are usually self-managed, and the work they get done is usually a lonely undertaking.
Outsourced sales offices have a monitoring and balancing system to ensure that their RDOs are performing the correct operations by auditing performance analytics.
Remember, agencies are just as successful as their clients. They have a vested interest in providing you with the best possible results.
Your Business Model Won’t Work.
This is an essential factor that determines whether or not you should outsource business development. Outsourced selling does not fit well with B2C, B2C2B or B2B2C models. This is usually due to the price of your products.
Average contract values below $ 1,000 will not keep RDBs and account managers outsourced. Also, your business model may be ill-suited if you have a short sales cycle or large horizontal prospect pools.
Invest More in Marketing and Advertising.
Such companies typically do better when they invest more in marketing and advertising, which can also be outsourced.