Transforming from Outside Sales to Inside Sales

Traditional sales were one of the only transaction mechanics of the business world over the last few decades.  The outfield sales officers used to meet prospective customers and the current clients face to face and the inside sales representatives used to help them in achieving their daily tasks.

However, times have changed and businesses these days have shifted from traditional sales to inside sales. A major chunk is formed by those firms that have traditionally relied heavily or completely on outside sales. There has been a significant acceleration in the last year and recent researchers have found that inside sales professionals at high-tech companies will be generating an increasing percentage of total company sales over the next two years.

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Traditional Sales

The traditional sales approach is obsolete now.

So why have firms opted for an entirely new concept that contradicts with the essence of selling i.e. face to face transactions? Below is a list of reasons that are the driving force behind the push towards inside sales.

Cost-effectiveness

No matter how much you earn through on field sales, a major chunk of the revenue amount was used to pay for the expenses. However, costs have reduced dramatically for firms that have adopted inside sales. Studies reveal that on average, a fully-loaded inside sales rep represents 33-50 percent of the cost of a fully-loaded field seller.

Improvement in Technology

Presenting someone a power point file while explaining it on a phone call is an old technology. The introduction of more engaging, interactive, multimedia tools that combine images, presentations, demos and video conferencing is recreating the experience of outside sales. It allows participants to see each other, use non-verbal communication gestures and keeps the conversation an interactive one.

Shortage of Sales reps

The non-availability of required sales reps increases the opportunity cost of having face to face transactions. The sales firms overcome this issue by making the key sales reps adopt the inside sales methodology by keeping them centrally located to expand their collective reach.

Consistency

Sales reps that are involved in traditional sales have short attention periods. Sales firms want their sales rep to be focused on the next deal rather than focusing and feeding information to the current customers. Interestingly, post-sales value delivery is crucial to customer satisfaction and to have a competitive edge over the competitors. Consequently, firms are increasingly utilizing inside sales resources in post-sales efforts.

Traditional sales reduce the productivity of a sales firm

Work / Life Balance

Outside sales reps have a tough working schedule and get tired of being on the road and away from their families. These reps specialize in sales and want to earn high commissions using their skills without nearly the same level of travel. Insides sales have given them an opportunity to utilize their skills, experience and expertise while still allowing them to be home for dinner.

There was a time when inside sales used to be for junior sales reps as a training field. However due to a string of advantages it has become the go-to strategy of sales firms and it can be surely said that the era of traditional sales is almost over!

Hasan considers Fileboard his second home and is working here as an inbound marketing expert. He has an academic background in traditional finance; however, his work experience from quite a long time revolves around startups, digital marketing and advertising.