The difference between inside sales and outside sales explained
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February 28, 2024
A couple of decades ago, the concept of remote selling dominating B2B would have seemed incredible.
Now, the landscape of inside sales vs. outside sales has shifted significantly, meaning it's technically possible for a business to build and scale from virtually anywhere in the world—without ever coming face-to-face with a customer in real life!
That’s not to say that traditional field selling is dead. Building human connections is still central to sales, and face-to-face selling is still incredibly effective when it comes to closing deals.
This guide dives into the intricacies of inside sales and outside sales, unraveling their differences and advantages, and helping you determine which strategy aligns best with your goals or makes the most sense for your business.
What is outside sales?
Outside sales, also known as field or face-to-face sales, is the traditional method of selling where sales representatives travel to meet potential customers in person. These reps also attend industry events, engage in live demonstrations, and foster strong, personal relationships with clients over time.
The essence of outside sales lies in its direct, inter-personal approach, which makes it especially useful in closing high-value deals - even if it means a longer sales cycle and higher costs.
Statistics have shown that 65% of outside account executives attain their quota, which is 10% than inside sales reps!
Outside sales responsibilities and roles
Primary outside sales responsibilities for field reps include:
- Client meetings and presentations: Scheduling and conducting face-to-face meetings with potential clients, delivering product demonstrations, and presenting tailored solutions to address specific needs.
- Networking and relationship building: Attending industry events, trade shows, and networking functions to forge new connections and strengthen existing relationships. This often involves traveling to meet clients and prospects in their own environments.
- Lead generation and follow-up: Identifying and pursuing new business opportunities, following up on referrals, and nurturing long-term relationships with key accounts. Outside sales reps are also responsible for managing their pipeline and ensuring consistent engagement with high-value prospects.
- Customizing solutions: Understanding clients’ unique business challenges and tailoring solutions to meet their requirements. This role often involves a higher level of negotiation and customization compared to inside sales.
What is inside sales?
Inside sales refers to the practice of selling remotely - a strategy that has gained tremendous traction in the digital era and especially since COVID-19.
Inside sales responsibilities involve relying heavily on technology, using various channels such as phone calls, emails, and video conferencing to connect with and sell to clients. This model is characterized by shorter sales cycles, targeting smaller deals, and prioritizing volume over individual high-value prospects.
Inside sales roles and responsibilities
There’s a good deal of overlap between the general inside sales roles and responsibilities and those of outside reps, but the way they execute them is different.
Inside sales representatives focus on remote engagement and leverage technology to drive sales. Their core responsibilities include:
- Remote prospecting and lead qualification: Using phone calls, emails, and video conferencing to connect with potential clients, qualify leads, and move them through the sales funnel. Inside sales reps are adept at managing high volumes of leads and often use CRM systems to track interactions and progress.
- Sales presentations and demonstrations: Conducting virtual presentations and product demonstrations to showcase solutions and address client needs is a key part of inside sales responsibilities. This involves using tools such as webinars and video conferencing software to engage with prospects remotely.
- Pipeline management and follow-up: Another important aspect of inside sales responsibilities is managing a sales pipeline by tracking and following up on leads, setting appointments, and maintaining communication with prospects throughout the buying process. Inside sales reps ensure that all interactions are documented and follow-up actions are planned.
Sales strategy and analytics: Analyzing sales data and performance metrics to refine strategies and optimize sales approaches. Inside sales reps often use analytics tools to assess effectiveness and make data-driven decisions to enhance their outreach efforts.
Key differences between inside and outside sales
While inside and outside sales both aim to drive revenue, several differences set them apart:
- Sales cycle and complexity: Inside sales typically involves a shorter cycle with less complexity, focusing on a higher volume of smaller deals. In contrast, Outside sales deals with longer, more complex cycles, targeting higher-value accounts.
- Sales tools and technology: Inside sales relies heavily on CRM systems and sales engagement platforms for automation and efficient client interaction. Conversely, outside sales requires tools that support in-person demos and effective on-the-go communication.
- Skill sets required: Inside sales reps must excel in capturing attention remotely and managing high-volume workloads, while outside reps require strong in-person communication skills, adaptability, and situational awareness.
- Travel and schedule: Travel is a staple in outside sales since reps are frequently on the road for meetings and events. Inside sales reps, however, operate remotely, adhering to a more structured daily schedule.
Advantages of inside sales vs outside sales
Each sales approach comes with its unique set of advantages according to the type of business or industry it serves:
- Inside sales: Cost-effectiveness, scalability, and the ability to leverage technology for high-volume sales makes inside sales an attractive option for fast-paced growth, especially for businesses with limited resources.
- Outside sales: The personalized experience and strong customer relationships built through face-to-face interactions often result in higher conversion rates and larger deal sizes, making outside sales ideal for complex, high-value products and services.
Which is better: inside sales or outside sales?
Whether you opt for a predominantly inside sales vs. outside sales approach will depend on your business model, product complexity, target market, and resources. Inside sales is often favored for its cost-efficiency and scalability, especially for straightforward products or services.
In contrast, outside sales is ideal for products that require detailed demonstrations, training, or intensive implementation.
A hybrid model that combines the best of both inside sales and outside sales is increasingly common, with reps working both remotely and attending in-person meetings or events. This allows businesses to maximize their reach and adapt to evolving customer preferences whilst strengthening network connections and professional relationships.
Technology to support your inside and outside sales
In either case, building pipeline is crucial - and that’s where Amplemarket comes in! With streamlined multichannel prospecting, engagement, and outbound automation, reps can fill their calendar with high-intent prospect meetings and focus on making the most of their conversations - in-person or remote.
Sign up for a demo today!
FAQs on inside sales vs. outside sales
What is an example of inside sales?
Inside sales involves selling remotely through digital channels rather than face-to-face interactions. An example of inside sales is a sales representative who uses phone calls, emails, and video meetings to connect with prospects and close deals. This approach leverages technology to manage multiple accounts simultaneously, typically focusing on a higher volume of smaller transactions rather than long-term, high-value relationships.
What are examples of outside sales?
Outside sales, also known as field sales, involves face-to-face interactions with clients. Examples include a sales representative traveling to meet potential clients in person, attending trade shows, and conducting live product demonstrations. This approach is effective for building personal relationships and closing complex, high-value deals that require detailed discussions and in-person negotiations.
How do you go from outside sales to inside sales?
Transitioning from outside sales to inside sales involves adapting to a remote selling environment. This shift typically requires developing skills in using digital communication tools like CRM systems, email, and video conferencing. It also involves adjusting to a higher volume of transactions with shorter sales cycles, focusing on managing and nurturing leads through virtual interactions rather than in-person meetings.
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