Lead Management Software Channel Feature

To Outsource or Not to Outsource: Lead Generation and Appointment Setting

By Juliana Kenny
TMCnet Managing Editor

As a provider of lead management software, VanillaSoft, and its CEO Ken Murray, often find themselves pondering the question concerning whether or not organizations should outsource their sales lead generation and prospect development operations.

PointClear’s  Dan McDade offers up 10 questions every business should ask itself while considering this same question:

1. How do you go about hiring, compensating, training and managing this function? 
2. How do you measure the function?
3. Do you have the technology to effectively deploy and manage this function?
4. What happens when you have turnover?  Are you down until you hire a replacement?  What will that cost?
5. How do you manage productivity so that the lead generation resource stays on task rather than becoming a glorified admin for sales?
6. How will you evaluate list segment productivity and adjust on a weekly if not daily basis?
7. What reporting will be required to effectively report on and evaluate the results of your program?
8. Who will manage the program?  Will it be a task added to an existing manager’s plate or a new position (along with the associated opportunity costs or real costs)?
9. How will opportunities be communicated to the field?  How will you know if they are effectively followed up?
10. Can I afford to ignore the benefit of world class capabilities?

These are just some of the considerations to ponder. Cost, current satisfaction with the way your business operates, and knowing which parts of your organization to outsource are additional points, according to Murray.

Murray noted in a recent blog post that he has witnessed the outsourcing of many firms over the years, and one in particular could not survive without outsourcing its sales lead generation: “To be blunt, they simply sucked at selling. Even when they went to the market and recruited outstanding expertise to bring in-house, they still failed. Why? Because their corporate culture was perfectly suited to being a great manufacturer and poorly suited to house a sales environment. Through the years I saw this same example many times through many different companies.”

The long and short of it is, there is a good chance your business could be ready for outsourcing, and there is a good chance it could save you a lot of money. Check with the experts before making the leap, but make sure to ask the right questions first.

Juliana Kenny graduated from the University of Connecticut with a double degree in English and French. After managing a small company for two years, she joined TMC (News - Alert) as a Web Editor for TMCnet. Juliana currently focuses on the call center and CRM industries, but she also writes about cloud telephony and network gear including softswitches.

Edited by Chris DiMarco