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Why Outsourced Lead Generation is Better than In-House Lead Generation

Why Outsourced Lead Generation is Better than In-House Lead Generation photo - 2 Author Roman Shvets
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Read duration 6 min read
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Published APR. 25, 2023
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Why Outsourced Lead Generation is Better than In-House Lead Generation

Lead generation is the process of stimulating and capturing interest in a product or service in order to develop your sales pipeline. Over the years, the buying process has changed dramatically. Businesses have to find new ways in reaching buyers and getting heard through the noise.

Generating high-quality leads is a great challenge for 7 out of 10 companies. You probably would want to consider outsourcing your lead generation when you hear that outsourced lead generation leads to 43% better results compared to in-house.

Before we really dive into why outsourced sales teams perform 43% better on average, it’s important to first understand why lead generation and business development are so challenging for in-house teams. 

     1. Small teams

In most cases, in-house business development teams are small; consisting of one to five (1-5) specialists depending on the organization’s size and time on the market. Teams that have too few specialists struggle with issues related to bandwidth, making it extremely difficult to operate in a streamlined manner because everyone has to wear multiple hats and perform a multitude of actions within the sales and marketing funnel. 

A list of limitations that working with a small team creates

  • Slower processes
  • Fewer results
  • More Burnout

When evaluating whether or not you need to work with an outsourced lead generation and sales agency, you should first consider the size of your team and how heavy its workload is already. On top of that, you need to think about the results your current team is getting now and what it can achieve if processes were more streamlined. 

The benefits of working with an outsourced team vs. an in-house team when it comes to small in-house teams

  • Faster processes
  • More results
  • Reduced burnout

Companies that choose to work with outsourced teams are more often satisfied by an overall operation that generates more leads and as a core result, more business and yearly revenue. 

“WaveOne’s a small team and an even smaller sales team. By working with SalesAR as an outsourced lead generation partner, we were able to leverage their team for a greater impact on our overall sales KPIs.” –– Rob Stankosh, VP of Sales at WaveOne 

     2. Low specialty

Another challenge many in-house lead generation and sales teams face is a lack of specialists who truly understand sales and marketing fundamentals, making it hard for them to structure effective sales and marketing funnels. It’s not uncommon for an organization to take on a skilled specialist in one specific area of specialty and then expect that specialist to perform at the same level in all areas of the business development lifecycle.

In a common business development lifecycle, certain specialists with high levels of expertise are needed for results that produce organizational profits. 

A list of business development specialists that are essential for sales results

  • For any lead generation agency or department, one of the most essential roles is a Researcher. This specialist is responsible for finding and validating contacts (names, titles, organizations, emails, and phone numbers), and then adding these contacts to a database like a CRM. 
  • In addition to the sales and marketing specialist mentioned above, every team needs a conversion, Copywriter. This specialist understands how copy moves a prospect closer to a decision using text in email scripts, phone scripts, websites, and ads. 
  • Another core team member for any sales process is a talented Sales Development Representative (SDR). This specialist is responsible for working with the list of potential clients. This means creating campaigns, managing outreach, domain health, and setting sales appointments. 
  • An Account Manager acts as the sales team leader. This specialist is primarily a project manager and controls a project from start to finish. They are also the primary specialist responsible for communicating with clients and other stakeholders, giving reports, and asking for feedback. 

The team described above is a representation of the minimum team needed to launch and manage a successful outreach campaign using cold email marketing strategies. The needed specialists would grow if the lead generation campaign you need includes social media, ads, or requires a funnel that’s larger than one thousand (1,000) verified contacts per month. It’s crucial that the team consists of people with these unique skills, and that you don’t delegate these tasks and responsibilities to one or two team members. The results will not be what you’re expecting or need. 

“Swappsi is a software development company, and the team we have represents that. SalesAR provided us with sales specialists who knew what to do and how to do it, creating a high level of confidence that allowed me to let go and let them manage the process and bring results.” –– Ganzalo Faura, CEO at Swappsi

     3. Expensive

It doesn’t matter whether you’re a small business or a large enterprise, hiring and paying salaries to qualified specialists is expensive. Just think about it, if the global average salary for a middle sales professional that speaks English at a native or proficient level is +-$3,500, you’ll spend +-$14,000/month before taxes and tools just to maintain a small in-house business development team. That’s a lot! By working with an outsourced business development agency, you can remove the taxes, remove the tools, and remove a massive chunk of salary pay for more guaranteed results and profits. 

A list of expenses that can be saved while working with an outsourced sales and marketing team

  • Salaries and hourly wages related to in-house sales specialists
  • Salaries and hourly wages related to hiring and managing in-house sales specialists
  • Subscriptions to tools and other resources 
  • Taxes

One of the biggest struggles associated with growth is how much it costs to grow. In-house teams are hard to manage and expensive to manage. Outsourced lead generation and sales appointment setting is a great way to take your business to the next level and make money! 

“We were facing a huge problem when it came to growth. SalesAR provided us with a solution that got us 90 scheduled sales calls with qualified leads at a fraction of the cost it was taking us to do in-house.” –– Nick Vorobiov, CBDO at Vector Software

To Conclude, Outsourced Lead Generation Is Better than In-House Lead Generation

No matter which way you choose to look at it, outsourcing your lead generation and sales appointment setting is a solid, proven way to grow your business. There are countless testimonials from clients all over the world in various organization types and industries that can confirm doing business with a reputable company specializing in sales saves time and generates more clients at a more affordable rate. 

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