How to Decide to Outsource Sales - Step 4: Define Your Outsourced Sales Team’s Goal

Introduction to Goal Setting for Outsourcd Sales

When it comes to sales, one of the most important things you can do is set clear goals. This is especially true if you're working with an outsourced sales team.

There are a few different things to keep in mind when setting goals for an outsourced sales team. First, you need to make sure that the goals are realistic and achievable. Second, you need to ensure that the goals are aligned with your company's overall strategy. Finally, you need to make sure that the goals are properly communicated to the sales team.

If you can keep all of these things in mind, then you'll be well on your way to setting effective goals for your outsourced sales team!

How to measure the success of sales teams

Outsourced sales is a great way to grow your business, but it can be difficult to establish goals for an outsourced team. Let's break down how you can set the right goals for them.

First off, what are KPIs?

KPIs or Key Performance Indicators are metrics that measure and monitor performance in order to make sure you're on track with your goal. For example: number of completed calls per day could be a KPI. This metric would tell us if the outsourced sales person was getting enough work done during their shift each day. An important thing about this is that we have to know our own personal target so we don't overwork them (or under-work). That said, let's get into some examples of KPIs and then take a look at setting out goals when they apply:

Total revenue generated per week ____ Total number of leads converted ___ Number of emails sent ____ Number of presentations given ………….Number of closed deals/quotes secured __________

Determining how to allocate budgets for outsourced sales staff vs in-house sales staff

Setting goals for outsourced sales staff is a delicate balance of more, or less. There are many factors to take into consideration when deciding on the best option for your company.

The most important thing you need to know about setting goals for your customer service team, is that there are two types of metrics: external and internal. External metrics measure the success of your customer service reps by looking at what happens outside of their control- such as how quickly they answer calls and solve issues. Internal metrics look internally at how effective a rep can be with their actions over time- like whether they’re able to sell customers on buying new services or products.

As our CEO states in this blog post, “external measurement should always be weighted heavier than internal measurement because it's easier to do well externally." In order to set appropriate goals for an outsourced sales team, you must first consider what kind of metric is being measured and adjusted accordingly based on which one matters most.

What is your company's strategy for identifying and engaging new customers?

Setting goals for your outsourced sales team can be tricky. There are many different metrics you could use to measure success and set goals, but what is right for you?

Some may say that the number of new customers acquired each month would be a good metric. But if this number were not indicative of how well they are doing their job, then it may not provide any insight as to what needs tweaking in order to improve performance. It’s important to evaluate other data when setting goals so that these people know exactly where they stand and what they need to do better.

There are three major KPIs or Key Performance Indicators which can help identify problems with an outsourced sales staff: namely conversion rates, customer lifetime value, and cost per acquisition ratio (CPA). These should all be calculated monthly in order for the team members to have a clear idea of their progress.

  • How does your outsourced sales team measure success?

  • What are the most important metrics to track when determining whether it’s time to terminate a contract with an existing client or company partner?

  • What are the KPIs that define a successful sales team?

  • How do different companies measure success of their outsourced sales teams?

  • What is the average calls per day, qualified lead and closing ratio for successful outsourced sales reps?

  • How do you measure your revenue?

  • What is the revenue per account?

  • How do you measure the number of sales people?

  • What are the demographics of your sales team?

  • How do you measure the number of sales meetings?

  • What are the demographics of the customer?

  • How do you measure the number of prospects per month?

  • What is your conversion rate of sales meetings to prospects?

  • What is the conversion rate of prospects to closed deals?

  • What are the demographics of the closed deals?

Establishing KPIs for your outsourced sales team is an essential step to creating a successful team. KPIs are a way to measure the performance of your team or to see how much revenue your team is generating. To establish KPIs for your out-sourced sales team, follow these steps:

Define your company’s vision, mission and core values

This section is all about defining the company's objectives to make a clear mission statement. Outsourced sales teams are not able to build these values on their own and need assistance from the company. This is a great way to define the outsourced sales teams mission statement.

  • Discuss the KPIs with your team
  • Review the KPIs with your team
  • Define the KPIs that create a successful outsourced sales team

What are KPIs?

KPIs are a way to measure the performance of your team or to see how much revenue your team is generating.

What should you consider when setting KPIs?

There are many factors you should consider when setting KPIs for your outsourced sales team. The most important factors include:

How much sales your company needs to generate

It’s imperative that you know the number of sales your outsourced sales team must generate.

This number will depend on a number of factors, and there are a number of ways to calculate how many sales the team must generate.

One way is to take your total annual target for sales and divide it by the number of months in the year. For example, if your target is $5,000,000 and there are 12 months in the year, the number of sales the team must generate will be 4,166.

Another way is to take your target and divide it by the amount of time you will use the team. For example, if your target is $5,000,000 and you will use the team for 10 months, the number of sales the team must generate will be 5,000.

The target number will be different for every company and each situation will be different too. It's important to calculate the number of sales for your outsourced sales team to ensure you're getting a good return on your investment.

Measuring how much time and effort your outsourced sales team needs to put in to generate these sales and revenue goals

The first step to calculate the appropriate time and effort for outsourced sales is to first calculate the time and effort necessary to generate the sales and revenue goals. This can be calculated by multiplying the time it takes for a company to generate $1 (TT1) with the sales and revenue goals (SRG). This can be done by the following equation:

TT1 x SRG = TTR

Where:

TT1 = Time to generate $1

SRG = Sales and revenue goals

TTR = Time and effort necessary to generate the sales and revenue goals

For example, if a company needs to generate $3 million in sales and revenue goals, and it takes an hour to generate $1, then it would take 3 hours to generate $3 million.

The next step is to divide the TTR by the number of hours in a day. This gives the number of hours needed to generate the sales and revenue goals.

3 hours x 24 hours = 72 hours

This is the time and effort needed to generate the sales and revenue goals in a day.

The time and effort for outsourced sales is the time and effort needed to generate the sales and revenue goals in a day.

What your company's goals are

The type of company your team is

What KPIs should you set?

Some KPIs you may want to set for your outsourced sales team include:

  • The number of presentations given. The secret to increasing the number of presentations given by an outsourced sales rep is to make them want to give more presentations. This can be achieved by giving the reps the opportunity to work on different types of engagements, deliver different presentations, and offer new types of content.

  • The number of deals closed

  • The percentage of appointments set

Getting to know your team:

Understanding what your team needs to meet their KPIs will help you to create a successful team.

What KPIs should you set?

There are many different KPIs that you can set. You should set KPIs that are challenging

Define Your Preliminary Outsourced Sales Goals

Adhesive manufacturing is an important part of the United States and worldwide industry. Days can get long however and it is important to grow your business by not having to be there every single day. One way to do this effectively is to outsource your sales pipeline. Setting a specific goal for how you were going to outsource your adhesive manufacturing business sales pipeline is important.

Some goals that you might set at the outset of your outsourcing of sales: * Define your revenue goal. This is the amount of revenue that you would like for each outside sales professional to achieve. For instance, if your company wide goal is 1 million in sales each year, you might have five sales associates with an individual goal of bringing in $200,000 in revenue a year. Well each sales person may not reach the goal, Hopefully on average each one will. * Specifically define which subset of your adhesive manufacturing contacts that each sales person will sell to. Most companies have existing and anticipated customers. Divide up this list into categories based on each sales person strengths. Sales people that have been there for a long time may want to sell to existing clients because they have an established relationship. New outsource sales people may be better at selling to new clients. * Define the average number of sales that you will need for each sales person to hit your overall revenue goal. * Look at your historical data and determine the average sales per each contact from new and existing customers. For example your best adhesive manufacturing clients may average $10,000-$15,000 for sale while new clients only average between $2500-$5000 for sale. This means that the sales people contacting new clients will have to reach out to more adhesive clients than those who work with existing clients. * Define how many contacts per day that each outsource sales professional must contact. Now that you know your average sale for existing and new clients and the number of new and existing contacts that you have, you can decide how many contacts per day that each sales person will need to close to reach their individual sales goal.

Setting goals is an important step in creating your outsource adhesive manufacturing sales team. It will keep everyone on track and determine for management what metrics you need to measure when evaluating the profitability of an outsourced sales team.

Finding excellent outsourced sales professionals

If you were running the day-to-day operations of your adhesive manufacturing company, you may feel overwhelmed and stressed when it comes to finding adequate and professional outsource sales team members. But luckily this article should help you find, evaluate and train sales individuals for your adhesive manufacturing company.