In our era of flexible/remote working and super-fast connections, it is true that almost every aspect of a business can be outsourced. You probably already rely on outsourced resources for your business. Legal, accounting, recruiting are the most common functions that tend to be outsourced. On the opposite, it is still hard for many business leaders to consider the real benefits of outsourcing sales and marketing.
Many business owners believe that these functions are too essential for driving revenue to be externalised. This is a common misconception. Take logistics for example: you are probably using services such as FedEx and UPS, right? Logistics is their core competency. They specialise in providing shipping services reliably and offering consistent results. You wouldn’t want to build your worldwide shipping team yourself. Apart from the expertise, it will be incredibly expensive – you would need to purchase a fleet of trucks, then hire drivers and managers to coordinate the work. Instead, it is so much simpler to outsource to a team of professionals who already have the experience and equipment to fulfil your logistic needs. It minimizes your risk of failure and hugely cut your fixed costs.
Why should be outsourcing sales and marketing any different?
Unless sales is a core competency of your business, you may want to consider outsourcing your efforts to a team of seasoned professionals who can deliver consistent results, increase profitability, and significantly reduce your overhead costs.
With an internal sales team, most businesses face challenges with cost and turnover as they expand and these challenges pose considerable risks to any organisations relying on continuous revenue growth. If on top of that, you start considering recruiting and training costs then, then outsourcing inevitably starts to look attractive.
To maximise the results, you should consider outsourcing sales and marketing functions to one partner that has the required expertise in both areas.
Here are some benefits of outsourcing sales and marketing to one company.
1. Marketing and sales strategies are developed side-by-side
Even if the marketing and sales teams are based in-house, very often they don’t communicate effectively. Marketing and sales develop their own strategies and they rarely talk to each other to coordinate their efforts. This is a very dysfunctional way of working, which goes against the company’s goals.
However, there is even a worse scenario – outsourcing marketing to one firm and sales to another. The lack of communication can be even worse and getting different companies to work closely together often is just impossible.
The big advantage of having just one partner working with you on both sales and marketing is that strategies will be developed side-by-side. Marketing will not make decisions that sales is not aware of and vice versa. In this way, you can be certain that your customers will hear the same message throughout their journey. And a more cohesive journey leads to more closed deals. Bingo!
2. You get sales-focused marketing collateral
One of the biggest complaints in many businesses is that the sales team don’t use the collaterals that marketing creates and marketing can’ create collaterals that serve the purpose of the sales team. Again, a major communication issue.
When sales and marketing are outsourced to the same partner, these complaints cease to exist. The teams are integrated and they communicate regularly and effectively. That closeness can lead to a sales team being able to tell marketing that website leads are converting at a higher rate than email leads, for example. This helps marketing tweak their strategy while the sales team is able to prioritise who to call. In the same way, if a piece of collateral is not working, sales will make that clear to marketing so that they can quickly make changes.
3. Lower cost and lower risk
The cost to hire, train, and retain top sales and marketing talent is very high. When you have a full-time team, you have to pay salaries no matter how the business is going. This adds a considerable amount of risk to the business. What if your investment in people and overhead doesn’t produce enough revenue?
By outsourcing your sales and marketing to one firm, you instantly eliminate the need to hire, train, and retain talent. All of that is now the responsibility of your partner. They manage the expenses and the risk. Your bottom line is slimmer and the risk of not covering those expenses is gone. You simply pay for only the services you need when you need them.
4. Better visibility on the ROI
Traditionally, marketing teams find it very difficult to measure activities in terms of ROI. However, without a clear visibility on the ROI, it is difficult to justify marketing spend and make decisions on where to spend your money. Moreover, it becomes difficult to hold the marketing team accountable.
When sales and marketing are in sync in the hands of just one company, they will set up a CRM system where both the sales and marketing teams will log their activities. The buyers’ journey from awareness to purchase becomes instantly clear and easy to understand. So, for instance, if leads from the website are converting at a higher rate than leads from an email campaign, you can see that and easily calculate the ROI of each activity to make better decisions in the future.
At Ministry of Innovation we bridge the gap between sales and marketing. We have the capabilities to take the buyer through their journey – from brand awareness to purchase. And we get that done at a cost that is a fraction of what it would be if you were to build an in-house sales and marketing teams. This makes our services perfect for start-ups and businesses with a turnover from £550K to 5 M. We start by talking with your team to understand your needs. If we believe that more or better marketing is necessary to get better results, we would recommend that. If the sales side is lacking, we will recommend solutions for that. By assessing your situation and coordinating sales and marketing, we can give you your best chance at meeting your revenue goals.