Inbound vs Outbound Sales: Understanding the Differences
There are many different ways to make a living from home, and the world of telemarketing is one of them. If you’re considering becoming a telemarketer, it’s important to know the difference between inbound sales calls and outbound sales calls.
This article will discuss the differences, advantages and disadvantages of each type and which might be right for you.
What is an inbound sales call?
Inbound sales calls are very similar to inbound marketing. They rely on people contacting you, instead of you taking the initiative and calling them or emailing them first. It’s a much more passive approach than outbound telemarketing because it only requires one party to take an action for it to be successful – the customer has already contacted
Inbound sales calls follow the same principle as an inbound marketing campaign: It’s all about building trust and reaching out to your potential customers at the right time with personalized offers, not waiting for them to come looking.
Examples of inbound sales calls
A simple example of an inbound sales call is a customer service phone line. A more complicated situation would be when you’re setting up a new business and have to build your clientele from scratch. In this case, you’ll need some kind of marketing strategy that will help reach people who might want what you sell before they even know about it.
A great technique to use in this case is content marketing, which is a strategy that focuses on creating and distributing valuable, relevant, and consistent content to attract an audience with the goal of converting them into customers or leads for your business.
Content marketing usually relies heavily on social media platforms like Facebook, Twitter, YouTube etc. Why? It’s because social media is a great way to get your content out there and into the hands of people who are interested in what you have to share.
Many successful companies that use this technique include Nike, Red Bull, and Apple. Social media platforms like Facebook also allow for more personal interactions with customers which can lead to better customer satisfaction rates – something that tis crucial for all businesses.
What is an outbound sales call?
Outbound sales calls are also known as cold-calling. They can be done by the company or outsourced to a third party such as an inside sales representative.
The goal of outbound sales calls is to get a potential customer on the phone and talk them through their product.
The purpose of cold-calling as an outbound marketing example would be for companies that are struggling with inbound leads, such as those who may have stopped sending emails or social media posts. Outbound calling can help keep some
Examples of outbound sales calls
Outbound marketing techniques typically involve using phone, email, or direct mail campaigns with the goal of generating new leads and customers through outreach efforts that don’t require any existing relationship with the prospect.
A phone call is an example of such a marketing technique in which someone calls potential customers and offers them their product or service. Some examples of outbound sales calls include: cold-calling, telemarketing, door-to-door selling, trade shows and walkathons. In contrast to inbound lead generators, outbound marketing is typically focused on generating leads for sales people to follow up with.
Advantages and disadvantages of inbound sales
Inbound sales calls have several advantages. For one, they’re personalized and offer prospects a more personal experience with your products or services, which can lead to increased conversions.
In addition, inbound marketing campaigns are generally less expensive than outbound campaigns because no money is spent on making the call itself if the prospect works from a list of people who have already expressed interest in your company.
Finally, prospects feel more comfortable when they are contacted by someone representing a company rather than someone from a marketing agency.
There are some disadvantages to inbound marketing. For one, the prospect must contact you first before they can even receive your information or product or service – this means that it may take a while for any conversion to occur with an inbound campaign.
In addition, each contact requires more attention and work from the salesperson because of the personal nature of these interactions.
Advantages and disadvantages of outbound sales
The main advantage to outbound marketing is that it allows you to get in touch with as many people as possible at once, and doesn’t require any level of interest on their part.
Outbound marketing is also great for in-person networking. You can make sales calls from the comfort of your own home, and even if you’re too shy to do it on a phone call, have an expert take care of that part for you.
Another advantage to outbound calls is that they’re more likely to produce sales leads, since you have someone willing to listen to your pitch.
Disadvantages of outbound sales calls include the fact that they can be quite expensive and time-consuming, as well as many people who answer are unwilling to listen or take a call from someone they don’t know.
Other disadvantages of outbound marketing are the fact that it’s much more difficult to measure success, and also you’re subject to rejection.
Outbound vs inbound sales: the statistics
The conversion rate is important in outbound and inbound marketing. A conversion rate is the percentage of people who are willing to listen and take a pitch.
Outbound marketing has an average 75% conversion rate, while inbound only has 25%.
In some cases, it can be higher for outbound – sometimes up to 90%, but more often it’s somewhere around 50%. The numbers vary depending on the industry.
Industries that have a higher conversion rate are usually higher-end, high ticket items (like financial institution or insurance).
Inbound sales requirements
The requirements for inbound sales are usually more lenient than outbound sales.
This is because you’re building a relationship with the client before they even pick up the phone to call. Inbound sales are also easier, and require less work on your part in most cases.
The key is to provide a lot of value to the customer before you even try to sell them anything – this way, they’ll be more likely to call when they’re in need.
You provide more value to the customer by providing easy access to information about the company and it’s products.
If you’re doing inbound sales, follow these three steps:
- Offer a high value product or service that your customers are interested in.
- Build trust with them by answering their questions honestly and politely.
- Provide customer support via phone when they need it.
Outbound sales requirements
The requirements for outbound sales are a little different. If you want to make outbound calls, then you have to invest in things like equipment and software that will help with your goal of contacting as many potential customers as possible.
Outbound sales also require more time than inbound, because it requires more research before calling the customer – this includes some phone-based research (to see if that number is still active and responsive), as well as some research on the internet.
If you’re doing outbound sales, follow these three steps:
- Find your target market so that you can contact them when they are most likely to be interested in what you offer.
- Develop a way for the customer to buy from you by including information about your products and services on their call or email response form.
- Ask for the sale.
When is inbound the right choice?
Inbound sales are a great way to reach your target market. In fact, while outbound may have more results when it comes to reaching new customers, inbound will give you better customer service because they can contact you directly with any questions or concerns about their order and other relevant information.
Inbound sales are also a great choice when you’re just starting out and don’t have a lot of customers.
When is outbound the right choice?
Outbound sales may be the better choice for handling a high volume of leads that come in at once. For example, many people who buy from you online will want to call or email with questions about their order–in which case an outbound campaign can serve as customer service while funneling these customers into your internal systems where they are more likely to make a repeat purchase.Outbound sales are also often the better choice for reaching new customers, especially if you have an established presence in your target market or to find leads that may not be aware of your company at all.
Interested in becoming an inbound sales closer? Several online training courses are available if you’re interested in working from home making inbound sales calls. One course is Inbound Closer, a program that offers tips and tricks to make you a better closer on inbound sales calls.Check out I Buy I Review’s comprehensive review of Inbound Closer here.
I buy and review courses so you don’t have to. Sometimes, I even find courses that are legitimate and worthwhile; and that’s how I accidentally came across one that led me to building a 6-figure business in a little under 5 years. Now, I still review courses because it’s my favorite hobby. 🙂 Learn more about me here.
