Inside sales outsourcing is often one of the best solutions for businesses when concerned with lowering the cost of employment and maximizing the bottom line of profits. Because inside sales do not require leaving an office or making face to face encounters to complete the sale, it can be subcontracted to another region, or even another country. The major reasons for outsourcing could be pay, salary, benefits, and employment perks - differing from the standard where you are currently located and basing your operation from.
When a company outsources its business it transfers either the management or the daily functions of the business, or sometimes both, to another service provider. Some of the businesses that are most often outsourced are in the fields of information technology, customer service and support, market research, human resources, sales, accounting, etc. It's a logical step for a business to outsource its inside sales department to maximize its potential.
Not only is outsourcing a way to save labor costs, but it is also a good way to capitalize on a more effective and more efficient use of resources. For example, land costs of owning office space in a certain part of a city, state, or country can be phenomenally higher than what the same office space and facilities would cost a business owner elsewhere. Everything from land cost to the operating costs such as certain utilities can be affected negatively or positively from where you are located. Rather than staying tethered to a region or plot of land and paying a premium for it, many businesses see the benefits of outsourcing to other places.
If you think about it, it wouldn't make as much sense to keep a business running from Phoenix where you pay out the nose for air conditioning in the summer if you can pay someone else for the same work and not have to worry about allocating that capital towards such utility payments. Since once again, actual location for inside sales really doesn't matter the same way it would for, say, a restaurant, inside sales outsourcing just makes sense.
Besides location benefits, an increase in quality can often be observed by businesses who have outsourced their product services. It is possible then to negotiate a new service level agreement with the subcontractor which could very well mean an overall improvement in quality from the way things were before, and access to a knowledge base that has more experience and skill. In these ways, outsourcing could be viewed as a catalyst to a fresh change that may not occur in a company otherwise.
Additionally, unlike dealing with internal services, the services that you are using your outsourced subcontractor for will be delivered under a legal contract which would have financial and legal penalties if they are not carried out to your satisfaction as laid out in the terms of agreement. Outsourcing then becomes more black and white and the individuals and the company fulfilling those duties are held more accountable in a way than they would be just within the company.
And of course, one of the last great benefits to negotiating your inside sales outsourcing is that it grants you access to a larger and more diversified talent pool for hiring workers, and a renewable source of skill sets to keep contributing to your company and its success.
Joel just started working for Fitzgerald’s Fine Men’s Clothing in downtown Springfield. They had two classes of sales jobs at Fitzgerald’s.
The first class was the experienced sales veterans. The veterans were the only ones allowed to wait on the walk-ins that went to the back of the store where the high end men’s suits were. These suits obviously paid salespeople the higher commissions.
The second class was the rookie salespeople like Joel. The rookies had to stay in the front of the store and sell the accessories that paid lower commission amounts.
The only exception was if a customer came in looking for an accessory and the sales rookie through suggestive selling got him to look at a suit. Then he could sell him a suit.
At the Friday morning sales meeting Mr. Thompson announced a sales training program. They were going to have inside sales training mystery shoppers visit the store sometime this month. One of the main things the mystery shoppers were looking for was how many times the salesperson did “suggestive add on selling" with them. This is when a customer comes in asking for one item and the salesperson suggests a complimentary item to go with it. Whoever got the highest add on count in this competitive sales training program would win the cash bonus.
***Joel spots his mystery shopper inside sales training opportunity***
It was a quiet Tuesday morning not a single customer and it was almost 10:30. Finally they got their first customer. Joel sees this middle aged man dressed very casually in jeans walking toward the dress shirt display. Joel promptly welcomes him to the store and offers him assistance.
As Mr. Smith asked about the shirts Joel thought, “This has got to be the mystery shopper." Joel heard mystery shoppers usually come in when things are slower so not to take time away from real customers. Joel also figured most men would be at work at 10:30 on a Tuesday morning. And he thought with a name like Smith they could have been a little more creative.
***The inside sales training fun begins***
Joel though, “This will be an easy way to win the bonus money."
When Mr. Smith found a shirt he liked Joel suggested a half a dozen of other attractive shirts he thought would look good on Mr. Smith. And Mr. Smith agreed.
Then Joel suggested a couple of silk ties to compliment each shirt. Joel suggestions were excellent. And Mr. Smith agreed.
Then Joel showed Mr. Smith a nice array of very attractive and very expensive cufflinks that looked great with the shirts and ties. And Mr. Smith agreed.
Next Joel suggested they look at some suits to go with the new shirts and ties. And Mr. Smith agreed.
As Joel walked toward their best suit section the veteran’s eyes were glued on him. Joel the rookie was moving into their territory. But he was doing it legally because the customer came in to look at shirts and they knew it.
Joel selected some of their finest and most expensive suits for Mr. Smith to see and try on. Joel told Mr. Smith the suits looked fantastic on him. And Mr. Smith was pleased with how they looked on him and agreed and purchased five of them.
Then Joel thought, “This mystery shopper can’t so no."
After Mr. Smith was fitted for the five suites, each priced over $2,500, Joel suggested they look at some shoes to go with his new suites.
The finest European leather shoes the store carried were perfect matches with the suits. And Mr. Smith agreed.
Then there were the silk handkerchiefs and socks. Then there were the fur and leather overcoats for this winter. And Mr. Smith like all of Joel’s suggestions.
At this point the veterans are standing almost like statues with their mouths hung open in disbelief watching all this unfold. Joel saw their looks and thought, “They have no idea this ‘Mr. Smith’ guy is an inside sales training mystery shopper."
After several other good suggestions all of which Mr. Smith agreed to Joel finally takes Mr. Smith to the checkout register. Joel totals all the items and the grand total came to $32,476.28.
***The sales training mystery uncovered – but not the way Joel thought***
At this point Joel gets a grin on his face and is just about ready to say, “How did I do on the mystery shop?" But as he starts to open his mouth something stops him instantly.
Mr. Smith pulls out of his wallet a black American Express Card. Joel read an article about these once. Some ccustomers have been known to purchase Bently automobiles with these. The card has no limit. It’s said a person once purchased a $30 million private jet with one.
Joel looks at the name on the legendary “Black American Express Card" and it read Mr. T.D. Smith.
Word must have spread fast throughout the store about Joel and his customer. Suddenly Mr. Thompson the store manager comes over with a big smile to ask if Joel’s customer is finding everything he needs.
Mr. Smith says, “Yes, and I have to tell you Joel has been an excellent sales professional. I recently purchased 100 acres of land outside of Springfield to build a new factory for my company. We were examining its different areas by helicopter early this morning. I just stopped in before lunch to look at shirt."
The Mr. Smith turned to Joel and said, “I want to thank you Joel. All of your suggestions were great and I will enjoy wearing them all. And now I know who to see when I need clothing in the future."
***Your inside sales training action item: Your next 20 customers make it a fun game. Throw out your fears and do “quality" suggestive add on selling with every customer and let them decide. This will reveal a lucrative commission mystery too many inside salespeople haven’t discovered.
Both Andy West & David Nassief are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Andy West has sinced written about articles on various topics from Hypnotherapy, College Education and Bail Bonds. Andy West is a writer for Inside Sales Lab, a company specializing in consulting services to improve inside sales with hands-on experience. For more information on. Andy West's top article generates over 1830000 views. to your Favourites.
David Nassief has sinced written about articles on various topics from Site promotion, Sales and Negotiation and Sales Training. David Nassief and recruiter invites you to improve your sales with the free report. David Nassief's top article generates over 1000 views. to your Favourites.