JAJT
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My take (as a former professional sales guy):
- If the sale was simple and based around a script that just needs to be repeated a million times? Then sure. I'd likely consider it. Anyone can do that and it's largely a numbers game. Call 1000 people, get 50 appointments. Rinse. Repeat.
- If the sale is complex or requires "working" of the leads, no. I would not trust outsourced labor. I would get a proper sales person on commission who is hungry for it.
Just my 2 cents anyway.
Also something to consider: You should try to understand your product/service costs and lifetime customer value as best as you can. It can shed a lot of light on what you can afford and what you can't for every sale and the quality of salesperson you can get. Example from a real life past employer:
Subscription: $10 per month
Commission paid out to salesperson: $10 (yeah, 100% commission from the first month)
Salary for salesperson: $30,000
Average sales per day: 10
Average customer subscription length: 18 months (i'm guessing here from memory, it was close to this, if not longer).
Total paid to salesperson per year: ($10 commission x 10 sales per day x 5 days per week x 52 weeks per year) = $26,000 + ($30,000 salary) = $56,000.
Total yearly company revenue: ($10 subscription x 10 sales per day x 5 days per week x 52 weeks per year x 18 recurring payments) = $468,000 - (sales commission of $26,000 + salary of $30,000) = $412,000 per sales person.
Total sales people on staff: 12.
Total yearly sales revenue: Damn.
On this model, assuming costs are relatively low (they were extremely low) you can hire a HELL of a sales person for $56k per year. But if you don't do the math and know the numbers it would be the easiest thing in the world to say you can't afford to pay someone that for a $10 subscription service.
(the math was quick and dirty, just food for thought)
- If the sale was simple and based around a script that just needs to be repeated a million times? Then sure. I'd likely consider it. Anyone can do that and it's largely a numbers game. Call 1000 people, get 50 appointments. Rinse. Repeat.
- If the sale is complex or requires "working" of the leads, no. I would not trust outsourced labor. I would get a proper sales person on commission who is hungry for it.
Just my 2 cents anyway.
Also something to consider: You should try to understand your product/service costs and lifetime customer value as best as you can. It can shed a lot of light on what you can afford and what you can't for every sale and the quality of salesperson you can get. Example from a real life past employer:
Subscription: $10 per month
Commission paid out to salesperson: $10 (yeah, 100% commission from the first month)
Salary for salesperson: $30,000
Average sales per day: 10
Average customer subscription length: 18 months (i'm guessing here from memory, it was close to this, if not longer).
Total paid to salesperson per year: ($10 commission x 10 sales per day x 5 days per week x 52 weeks per year) = $26,000 + ($30,000 salary) = $56,000.
Total yearly company revenue: ($10 subscription x 10 sales per day x 5 days per week x 52 weeks per year x 18 recurring payments) = $468,000 - (sales commission of $26,000 + salary of $30,000) = $412,000 per sales person.
Total sales people on staff: 12.
Total yearly sales revenue: Damn.
On this model, assuming costs are relatively low (they were extremely low) you can hire a HELL of a sales person for $56k per year. But if you don't do the math and know the numbers it would be the easiest thing in the world to say you can't afford to pay someone that for a $10 subscription service.
(the math was quick and dirty, just food for thought)
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