05.15.2023

Outsource SDR Team: Does it Make the Most Sense for Your Business? [6 Things to Consider]

The decision to outsource SDRs is becoming increasingly popular due to the challenges that surround hiring, and training, an internal team.

The truth is, qualifying leads is extremely time-consuming and training to pinpoint the right leads is something that can’t simply be learned overnight.

Unfortunately, without qualified leads, B2B companies will struggle to meet their sales goals and time will be wasted gathering unqualified leads that may not benefit from their services.

In other words, a qualified pipeline leads to higher conversions and revenue.

So aside from the time it takes to develop an internal SDR team, there’s a few other compelling reasons to outsource instead of housing an internal lead-gen employee.

What Is An Outsourced SDR or Sales Executive?

An outsourced SDR handles sales and lead qualification without the need for an existing office at your company. They generate, qualify, and reach out to new leads to convert them into long-lasting customers — whether through email marketing, cold calling, social media, etc.

outsource sdr team Outsourced Sales Executive

Why Outsource SDR Teams and Sales Executives?

Outsourcing sales executives and SDRs can be a beneficial strategy for any company. Simply because it allows brands to have the expertise they need to run their campaigns while freeing up time to focus on other activities.

  • Outsourcing SDRs Means The Learning Curve isn’t Steep
  • The Cost Savings of Outsourcing SDRs are Well Worth It
  • Even More Money Saved
  • Leave the Sales to The Pro
  • The Customer Journey Is Fast-Tracked with Outsourced Sales Executives and SDRs
  • Why Reinvent the Wheel With in-house Sales Teams?

1. Outsourcing SDR’s Means The Learning Curve isn’t Steep

When you decide to outsource your SDRs and sales executives, you know what you’re getting: someone who has built a career and business around lead generation.

These are professionals who know the ropes and aren’t afraid of getting their hands dirty. On the other hand, hiring in-house may mean more training, more time spent on learning the company, and more time wasted through trial and error.

When an outsourced SDR comes on board, they hit the ground running. In other words, you’re not paying them to reinvent the wheel, and results are delivered much faster.

2. The Cost Savings of Outsourcing SDRs are Well Worth It

Hiring, and training, an in-house sales team can cost a fortune. As mentioned, the time spent training alone is a risk to take. 

Here’s the thing, when it comes to lead-gen, there’s a high rate of burnout. Which means you’re taking a risk in hiring, and training, someone who may not even be with your company long enough to generate the quality leads you were hoping to gain from the hire. 

In fact, it can take up to four months to train a new employee. And that’s a long time to wait to see a decent ROI. 

Outsourced SDRs are boots on the ground from day one. You know they won’t get sick of the task at hand, because they’ve got the resume and portfolio to prove it. 

3. Even More Money Saved For Your Company

Did we mention the expense and risk involved in hiring an internal sales team? 

Ok, but don’t forget about the “hidden” costs involved in an in-house sales team. 

We’re talking benefits, software, equipment, and even desk space. So, aside from the paycheck and the training expenses, simply having an employee on board is pricey. 

And remember, they may not make it through all that training before they realize they’re already burnt out. 

Sounds like a high-risk hire. 

Outsourced teams don’t need all those fancy benefits. And most of the time, they’ve got their own office, software, and equipment that’s already tailored to their tasks…and exactly what they need to be successful. 

4. Leave the Sales to The Pros

If you have an in-house salesperson, it’s best to let them do their job…sell. 

Good salespeople are talented, hard to come by, and expensive to keep on board. So if you do already have one of these diamonds in the rough, then they should never waste their time prospecting. 

In fact, qualified leads should be handed over to a salesperson, with a bow, and in theory, ready to sign on the dotted line. 

Wrapping up a warm lead should be a cinch for your salesperson. Giving them qualified leads will not only increase your ROI on lead gen, but it will also motivate your sellers to win more clients. 

 5. The Customer Journey Is Fast-Tracked with Outsourced Sales Executives and SDRs

Because you’re working with professionals, a prospect who enters your pipeline will move much faster through it. 

This means it won’t take as long to convert a prospect because:

  • Warm prospects have already been qualified and communication can be laser-focused on conversion
  • Poor leads are removed to prevent muddying the water and wasting the time of closers
  • Procedures are quickly refined to create an even more streamlined qualification process

Instead of spending months in the pipeline, outsourced sales teams can move leads through a pipeline as if they were turning on a brand new rust-free water faucet. 

6. Why Reinvent the Wheel With In-house Sales Teams?

There’s nothing wrong with a little DIY strategy, but when it comes to filling a pipeline, why not just save the time and leave the process of lead-gen to the professionals who have proven processes. 

When you outsource through an agency, who has their process cranking like a well-oiled machine, there’s no reason for trial-and-error. 

Agencies build their business around proprietary processes that allow them to find the high level of success they achieve for their partner companies. 

So why waste any time on guesswork? 

Your team, and your closers, should never have to spend time searching for leads, for example. 

An outsourced SDR sales team recognizes chinks in the chains and knows how to quickly pivot by implementing a more refined lead-gen and sales process. 

In short, outsourcing just makes sense financially and is less risky than hiring an in-house SDR because you know they’re professional, and in it for the long haul.

Who Manages An Outsourced Sales Team?

Depending on your company structure, the person to manage the outsourced sales team can be the COO, CEO, VP of sales, or even a senior sales manager.

For maximum success and efficiency, management of your outsourced sales team requires someone who knows the business and its objectives inside out. It takes an insider who understands the company’s vision statement as well as its values to best supervise and manage the outsourced sales agency. 

It’s also crucial for the outsourced sales team manager to be a good communicator and a decision-maker to ensure smooth operations throughout the whole process.

outsource sdr team Outsourced Sales Executive

Sales Team Outsourcing Vs. In-House SDRs

Hiring an in-house sales team may have worked for many companies in the past. However, today it’s no longer the captivating method it used to be — for many reasons.

For example:

Finding quality talent with a proven track record in sales and marketing is only getting tougher. But even when you’re lucky in attracting top salespeople, the costs for hiring, training, and retaining your in-house team can surpass the benefits. 

On the other hand:

An outsourced sales team brings several advantages that make outsourcing your best option.

On top of it being a cost-effective approach, outsourcing is easier to manage with less risk in the long run. You can continuously scale your sales department up and down — depending on your needs — without the need to terminate any contracts.

Outsourced sales executives are often great performers who will ensure noticeable growth for your company. They also allow you accessibility to powerful sales technology and automation tools that might have been the missing key to edging out your competition.

How Should You Manage Outsourced SDR Performance?

One thing to keep in mind is that an outsourced sales team is going to make your life a whole lot easier on many ends. But before you get the results your company wishes for, you want to make sure that your outsourced SDRs are working at maximum efficiency. Hence, the importance of a solid performance management strategy.

For starters, you want to make sure that the outsourced SDRs you’re hiring respond to the precise needs of your organization in terms of talent and expertise. Having the right people in the right position is set to cut your expenses and enhance your growth faster.

You also have to keep your outsourced sales team in line with the company’s vision right from the start. That’s going to save you both a lot of time and effort in the long haul, especially when all the work is focused on high-priority tasks.

One way you can ensure that everyone is working towards the same business goals is by setting tangible KPIs and keeping them top of mind. After all, quantifiable achievements are the best way to monitor and evaluate sales performance.

Outsourced Sales Development With Martal Group

Martal Group is a North America-based business looking to help companies in many different fields land quality clients and close more deals. Our company has been in the business for over 12 years, working with hundreds of other organizations across different industries. We offers a wide range of services designed to help your business transform — which includes lead generation, customer onboarding, and account management.

Quotes

Can an Outsourced SDR Team Outperform an In-House Team?

“Outsourcing sales to a reputable partner is often an excellent way to close more deals without exhausting your budget. When you combine sales expertise with flawless communication and new technologies, the only possible outcome will be faster progress and improved sales numbers.

So yes, outsourced SDRs can help you get better results when compared to an in-house team. However, that will not be the case if you hire the wrong sales outsourcing firm. That’s why it’s essential to first assess your sales needs and do your research if you want to find successful partners to collaborate with.”

Vito Vishnepolsky, Founder and Director

“Having an in-house sales team does have its advantages. However, the reason why most successful companies outsource today is exactly that outsourced SDRs have a high potential to perform better. Outsourcing is the only model where businesses can have instant access to a large pool of quality talents at a reasonable cost.

In addition to their wide set of skills, an outsourced sales team with long experience will bring along a streamlined process to increase productivity and boost sales. Even when it comes to sales control, communication, and alignment — expertise will play a major role in ensuring that everything will run smoothly and according to plan.”

Edward Young, VP of Sales Operations

FAQs: Outsourced SDRs

What Do Sales Outsourcing Companies Do?

Sales outsourcing companies offer a wide variety of services that can help other businesses close more deals and boost revenue. Those sales-related services include anything from prospecting, lead generation, and sales outreach all the way to appointment setting and sales closing.

It all depends on the outsourced team’s level of experience and how much control you want to give up. On top of their sales knowledge, a lot of sales outsourcing firms have specialized expertise in marketing and customer management — so they may offer to handle everything in your sales process for you.

Outsourcing sales duties completely may be an excellent way to save time and resources. However, it’s always best to start with a trial period of the service and keep an in-house team present while you continue to build trust gradually.

How Much Does an Outsourced SDR Cost?

The cost of outsourcing an SDR team is highly-variable and often depends on many factors, including expertise, industry, geographic location, objectives, and the specific services needed. It’s also about the pricing model, as some outsourcing partners may charge you a fixed hourly rate, while others may prefer a project-based fee.

Due to that wide variability, it will be hard for us to give you an exact figure. However, a rough estimate would be that outsourced SDR teams can cost from a few hundred up to thousands of dollars per project. Of course, cheaper doesn’t always mean cost-effective. And an expensive sales service wouldn’t necessarily help you reach your sales goals.

The important thing to keep in mind is that — when done right — sales outsourcing will be worth every penny. It’s one of the best ways for thriving companies to lower their expenses while maintaining their sales growth.

When Shouldn’t You Outsource Your SDR Team?

There are many situations where sales outsourcing may not be a great fit for your business. For example, if you’re on a tight budget, if your products or services are too complex, or if you don’t want to give up any control over your sales process — you may want to avoid outsourced sales as a whole.

It’s just crucial to understand that — despite the outstanding benefits it has to offer — outsourced sales isn’t always the best solution to your sales problems. Below are a few scenarios where in-house sales might be your best option:

You’re on a tight budget: being on a limited budget won’t leave much room for risk-taking and experimentation. Hiring just the wrong sales partner can limit your revenue and put your whole organization in an unhealthy financial position. 

Your sales process is complicated: one of the main advantages of outsourcing sales is to save time and increase efficiency. Unless you find a highly-qualified sales partner with decades of expertise, those benefits may well be out of your reach when your sales process is complex.

You don’t want to give up control: collaborating with a sales partner on any project means shared control and joint decision-making. If you don’t want to give up any control, outsourcing sales isn’t for you.  

You have no experience working with external partners: there are a million ways to sell a product or service, which makes it unlikely that you and your partner are going to agree on everything from the start. It’s just crucial to realize that too much mismatch will have the opposite effect on your growth.

The best way to assess whether an outsourced SDR team might be a viable option for you is to start by considering your business needs. Once you understand your sales challenges, you can evaluate your decision to outsource in comparison to how well your in-house team is performing.

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Vito Vishnepolsky
Vito Vishnepolsky
CEO and Founder at Martal Group