Inside Sales vs. Outside Sales: What is the Difference?

Inside Sales vs Outside Sales

The difference between inside vs. outside sales is plain and simple: Inside salespeople sell items or services to customers remotely, such as over the phone or the Internet. Outside sales is the practice of selling products or services in person, which necessitates travel to meet with customers or teams in person.

Inside Sales vs Outside Sales 

The term “inside sales” refers to selling goods and services remotely, through any medium such as phone, email, chat, etc. Inside salespeople target “warm leads,” or potential customers who have already shown interest in the business or its products by clicking on ads, chatting with an agent, or subscribing to email lists.

In telemarketing, salespeople read from a script when they call prospective clients, but in inside sales, there is no script. Inside sales often necessitates smart and creative methods of selling to both B2B and B2C clients, yet cold-calling may still play a role.

Inside sales roles and duties

In a word, inside sales teams are frequently in charge of generating leads and nurturing them until they can either close the transaction or transfer the account to an outside salesperson or account manager. Among the responsibilities could be:

  • Developing relationships with prospective clients to inform them about a product or service
  • Identifying potential clients’ demands and pairing them with the appropriate products or services.
  • Answering product- or service-related questions
  • Inquiring about the needs of the customer

As an inside salesperson, you may employ strategies, such as a customer relationship management (CRM) sales system, to assist you in selling remotely. Here are a few more essential tools:

  • A desktop or laptop computer
  • A phone that has a consistent internet connection
  • CRM software (for example, Salesforce)
  • Prospecting and sales automation software
  • Video conferencing and screen-sharing software (Zoom, Teams, Skype)
  • LinkedIn, contact databases, and other research tools

What are Outside Sales?

Outside sales entails selling in a range of settings, which necessitates agility and flexibility on the part of sales development professionals. Because venues might range from trade fairs and conventions to field sales meetings and door-to-door sales, you’ll need to tailor your sales talk to each one. Building relationships in person might help you answer queries and close transactions more effectively.

Outside sales roles and duties

You are responsible as an outside salesperson for creating new leads and business possibilities through face-to-face contacts and presentations, as well as maintaining connections with existing clients. This includes giving clients account updates, product information, and other assistance.

Here is an overview of some of the responsibilities in outside sales.

  • Creating and maintaining customer relationships
  • Understanding the needs of the customer and giving solutions
  • Prospecting and lead follow-up to generate new sales
  • Managing a sales territory, an assigned account base, or a sales pipeline, depending on events
  • Meeting monthly, quarterly, and annual sales goals

Inside Sales vs Outside Sales Salary 

In the United States, the average annual salary for an inside salesperson is $63,991, whereas the average salary for an outside salesperson is $100,429. Outside salespeople are often involved in higher-value transactions, which may result in a larger salary. Because of commission, some inside sales occupations, such as IT software sales, pay the same as outside sales. Because of the possibility of significant commissions (or being paid a set amount for each sales deal closed), it is typical for sales representatives to be paid a lower base pay.

Average annual salary for inside sales jobs in the United States:

  • Sales associate: $49,823 
  • Inside sales representative: $69,987  
  • Account executive: $72,038
  • Business development representative: $75,073 
  • $119,106 in IT software sales 

Average annual salary for outside sales occupations in the United States:

  • Field sales representative: $90,340 
  • Territory sales representative: $99,303
  • National sales representative: $104,418 
  • $108,663 for an outside sales representative 

What Is an Example of Inside Sales? 

Connecting with prospects via digital media to create connections and cultivate sales is an example of inside sales. On the other hand, meeting with a customer at their place of work to demo a product and explain how it might help alleviate their pain points is an example of outside sales.

Is Inside Sales Cold Calling? 

Inside salespeople, unlike outside salespeople, do not typically travel. Regardless, they continue to be more radical in contacting new clients and may indulge in cold calling. However, a corporation may also identify inbound calls from prospective clients as inside sales.

Is an Inside Sales Rep a Good Job? 

Sales roles are in high demand and can be quite lucrative. Inside sales is one of the fastest-growing sales roles, where you use technology to engage with leads and create commercial partnerships. If you want to work in business-to-business sales, software as a service, or high-end consumer goods, this is the job for you.

Is Inside or Outside Sales Harder? 

Inside sales personnel can contact a larger number of prospects in the same amount of time, but they may have poorer closing rates at times. Outside sales reps have higher operating costs for their transportation and lodging when necessary, but they frequently earn larger wages.

What Is the Benefit of Inside Sales? 

Working in inside sales can offer advantages such as consistent scheduling, the development of transferable skills, and the ability to engage with consumers. To find the best prospects, create client connections, and close agreements, you can employ various tactics and software.

Is Inside Sales the Future? 

Inside sales are undoubtedly the way of the future, and nobody can stop it. From 2020 onwards, inside sales have skyrocketed. The market has grown at a rate of 300 percent quicker than conventional sales, and that growth isn’t slowing down, says SalesLoft.

Why Is Outside Sales Hard? 

To adapt their sales strategies to the specific obstacles they encounter, such as client objections or market circumstances, outside sales teams need to be well informed. When problems arise, a good outside sales team will be able to spot them and fix them right away because of their expertise, experience, and resources.

To put it differently, outside sales can be hard, as it often includes a lot of travel, meeting new people, and working independently.

Why Do People Like Outside Sales? 

Outside sales professionals can travel as well as earn a high salary. Outside sales representatives frequently travel to meet with clients or attend trade exhibits and industry events. This might greatly benefit those who like to travel and meet new people.

Getting into Sales Properly

Increase your prospects of securing employment in the sales field by obtaining a professional certificate to bolster your resume. By acquiring new skills and information, you may effectively apply them to your new role, so enhancing your sales performance right from the beginning.

  1. Inside vs Outside Sales: Best Practices & All You Need
  2. SALES REPRESENTATIVE SALARY: How Much Does Sales Rep Make in 2023?
  3. Outside Sales: Best 2023 Practices & Detailed Tips (Updated)

References

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