The business landscape is highly dynamic, where change is the only constant, and the term “sales as a service” is quickly becoming the new buzzword. Did you know that not only newbie start-ups, but many Fortune 500 companies including Apple, Microsoft, Google, and Amazon have joined the sales as a service bandwagon for revenue growth.
But how can this outsourced sales model be beneficial for start-ups? In this blog, we’ll demystify sales as a service and explore how this dynamic strategy can ensure the success of start-ups.
Start-up Struggles
Navigating challenges is nothing new for start-ups. Right from tough competition to limited resources and the need to scale up operations rapidly, there can be several difficulties that a start-up must contend with. However, the key factor is the need for an efficient sales team that is instrumental in generating revenue, which is the lifeline of any business.
And, building an efficient sales team from scratch is a formidable task that can be a huge drain on the company’s resources. This is where sales as a service can play an important role and offer a helping hand to start-ups and enable them to navigate the ups and downs of the sales terrain successfully.
How "Sales as a Service” Can Solve Start-Up Challenges
Experience and Know-How
Often, start-ups do not have the necessary expertise and know-how of the industry that is needed to build a productive sales team. Sales as a service brings to the table knowledge and understanding of the sales process that start-ups can exploit by simply outsourcing the sales function, without going through the steep learning curve associated with hiring an in-house sales team. Sales as a service experts have a deep understanding of the dynamics of the market, consumer behaviour, and sales strategies that can be extremely helpful for start-ups in their early stages.
Reduced Time-to-Market
Typically, when hiring an in-house sales team, the process is quite lengthy involving job postings, screening applications, interviews, training, etc. It can take a few months to put a new sales team in place and before it is finally functional. Sales as a service allows start-ups to have their own team of expert professionals who represent the company’s brand and product or service. It eliminates the need for recruitment, training, and management of an in-house sales team, allowing start-ups to get up and running very quickly by minimizing the time-to-market and boosting revenue generation.
Cost-Effectiveness
Typically, start-ups have limited budgets and need to make every dollar count. Building an in-house sales team typically includes the costs of hiring, training, salaries, and other overheads, which can be quite an expensive proposition. Outsourcing sales allows start-ups to pay for the outcomes rather than the continuing costs and helps to minimize the operational costs.
Flexibility
The dynamic market conditions make it essential for start-ups to be nimble and scale their operations up or down very quickly. However, having an in-house sales team can make the company inflexible and slow to react. On the other hand, an outsourced sales team offers the start-up the agility they need, without the hassles of managing an internal sales team.
Focus on Key Competencies
The limited resources and workforce make it essential for start-ups to focus on creating their core product/service. Outsourcing the sales function enables new businesses to follow a streamlined approach. It also gives them the freedom to focus on things that they are the best at and explore newer markets and segments, leaving the management of the sales to the experts. This can, in turn, help boost productivity, as well as encourage innovation, thus contributing to the overall growth of the business.
Risk Reduction
There may be risks associated with having an in-house team such as lack of skills and high employee turnover. These risks can be reduced by employing sales as a service provider, who can be held responsible via service level agreements (SLAs) and tangible results. This can help to reduce the risk of having to deal with an inefficient and unproductive sales team and ensure that your sales efforts are successful.
Advanced Sales Technology
Sales as a service use advanced technologies like automation and CRM (customer relationship management) tools to optimize the sales process. This means that there is no requirement for expensive investments for the start-up, thus ensuring cost-effectiveness and efficiency. Real-time data analytics used along with these sales technologies can offer important insights and help start-ups streamline their sales operations and improve them.
To Sum Up…
Sales as a service is an innovative strategy that is especially beneficial for start-ups trying to master the fiercely competitive business landscape. The ability of sales as a service to provide numerous unmatchable benefits makes it a game-changer for new businesses. When compared to in-house hiring of sales teams, the advantages of sales as a service where outsourcing the sales function become more obvious. The access to expertise and skills, flexibility, cost-effectiveness, risk reduction, and scalability, all emphasize the appeal of this strategy, particularly in the initial phases of a start-up's journey.
By using sales as a function and outsourcing their sales function, start-ups can improve their revenue-generating capabilities, navigate the complexities of the uncertain market, and boost their chances of success in today’s fast-paced business environment.
