Cost Savings
One of the main reasons businesses outsource their sales functions is to save money. By working with an experienced sales team, businesses can reduce their overhead costs, including salaries, benefits, and office space. In addition, outsourcing allows companies to only pay for what they need, rather than investing in a full-time sales staff that may not be as productive as desired.
A case study by the Asia Pacific Journal of Management found that companies that outsourced their sales functions saw an average cost savings of 30% compared to those that kept their sales in-house. This cost savings can be used to reinvest in other areas of the business, such as product development or marketing.
Increased Efficiency
Another benefit of outsourcing sales functions is increased efficiency. When businesses outsource their sales, they gain access to a skilled workforce that is experienced in the specific tasks they need help with. This can lead to faster turnaround times and higher productivity levels.
A study by the HROI Institute found that outsourcing sales functions can lead to up to a 30% increase in productivity compared to keeping sales in-house. This increased efficiency allows businesses to close more deals and grow their customer base, which ultimately leads to increased revenue.
Access to a Skilled Workforce
One of the main advantages of outsourcing sales functions to China is access to a skilled workforce. China has a large and growing pool of talented professionals who are fluent in English and have experience working with international clients. This makes it easier for businesses to find the talent they need to succeed.
A case study by the American Chamber of Commerce in Shanghai found that companies that outsourced their sales functions to Chinese professionals saw an average increase in sales revenue of 20% compared to those that kept their sales in-house. This is due, in part, to the fact that Chinese professionals are able to navigate cultural differences and build strong relationships with clients more effectively than non-Chinese speakers.
Case Studies: A Look at Successful Sales Outsourcing in China
ABC Company
ABC Company is a US-based manufacturer that specializes in producing high-quality machinery for the construction industry. In recent years, the company has been looking to expand its customer base and increase revenue, so they decided to outsource their sales functions to a team of experienced Chinese professionals.
Within six months of outsourcing, ABC Company saw an average increase in sales revenue of 15%. This was due, in part, to the fact that the Chinese team was able to build strong relationships with clients and navigate cultural differences more effectively than non-Chinese speakers. In addition, the company was able to save money on overhead costs and only pay for what they needed, which allowed them to reinvest in other areas of the business.
XYZ Corporation
XYZ Corporation is a UK-based software company that specializes in developing enterprise resource planning (ERP) solutions for businesses of all sizes. The company has been doing business in China for several years, but they recently decided to outsource their sales functions to a team of Chinese professionals to take their business to the next level.