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To Outsource or Not to Outsource?

One of our readers asked us whether they should hire a junior sales person or a telesales company.

On paper, outsourcing the sales function looks quite attractive. Risk and costs are assigned to a third party that specializes in sales and management overhead is decreased. In practice things are a bit different and here is our take. To continue reading this post, click here ..>>

First a comment on telesales organizations based on my own experiences in employing them. They are typically staffed by junior, entry level sales people and there is typically a lot of turnover in those organizations as the staff often see the call center job as a stepping stone to a sales career elsewhere. The calls are typically scripted to compensate for minimal sales and product experience and this is often obvious to the customer. While this doesn’t sound like a great advert for outsourcing the sales function, the model does make sense in the following instances:

  • there is a simple, one call close
  • there are no ongoing relationships with the customer and sales team turnover would not be noticed
  • the vendor doesn’t need to be involved in the sales process (handoffs on some sales can **sometimes** be uncomfortable for the customer)
  • the product and offering is mature and the company does not need extensive customer feedback
  • domain knowledge is not critical (ie the buyer is not sophisticated)
  • hiring trained sales people is cost prohibitive
  • sufficient sales and sales management competancy does not exist within the company (although I would suggest that sales is a core skill that needs to exist in any company that wants to be successful)
  • the company needs to focus all of its energies and resources on the product development and delivery

 If you are considering outsourced sales, we know of very reputable and dependable firms that you may wish to consider. Feel free to contact us to discuss your needs and obtain referrals to outsourced sales firms that suit your objectives.

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Connect:

Eliot Burdett

CEO at Peak Sales Recruiting
Before Peak, Eliot spent more than 20 years building and leading companies, where he took the lead in recruiting and managing high performance sales teams. He co-founded Ventrada Systems (mobile applications) and GlobalX (e-commerce software). He was also Vice President of Sales for PointShot Wireless.

Eliot received his B. Comm. from Carleton University and has been honored as a Top 40 Under 40 Award winner.

He co-authored Sales Recruiting 2.0, How to Find Top Performing Sales People, Fast and provides regular insights on sales team management and hiring on the Peak Sales Recruiting Blog.

Connect:

Eliot Burdett
Connect:

CEO at Peak Sales Recruiting

Before Peak, Eliot spent more than 20 years building and leading companies, where he took the lead in recruiting and managing high performance sales teams. He co-founded Ventrada Systems (mobile applications) and GlobalX (e-commerce software). He was also Vice President of Sales for PointShot Wireless. Eliot received his B. Comm. from Carleton University and has been honored as a Top 40 Under 40 Award winner. He co-authored Sales Recruiting 2.0, How to Find Top Performing Sales People, Fast and provides regular insights on sales team management and hiring on the Peak Sales Recruiting Blog.