Outsourced SDR Companies: Here's What You Need To Know About SDRs and Outsourcing Companies

May 4, 2023
Business Development

Outsourcing Sales Development Representatives (SDRs) has become popular among organizations looking to maximize their sales efforts with limited resources.

This article overviews the benefits and drawbacks of outsourcing SDRs and outlines key considerations when selecting an outsourced SDR company.

As a senior research analyst on outsourced SDR companies, it is important to understand the nuances of this industry to make informed decisions that will optimize performance within any organization's sales team.

By leveraging outside expertise, businesses can boost their ability to reach targeted audiences while mitigating risk and limiting costs.

Sales development representatives (SDRs) can be outsourced to find your business more leads.

Definition Of Sales Development Representatives (SDRs)

Sales development representatives (SDRs) are responsible for the sales prospecting process. They use multiple channels and tools to generate qualified meetings with potential customers or clients.

An SDR outsourcing company is a third-party organization that provides top-of-the-funnel sales services such as outbound outreach, lead generation, and basic qualifying. This type of outsourced solution frees up in-house resources from having to manage these activities so they can focus on closing deals instead.

Outsourcing an SDR team involves clearly defining goals, target audiences, messaging strategies, metrics to measure success, and other expectations before engaging in any engagements. The right partner should have proven experience in delivering results and an understanding of the industry’s best practices regarding effective customer engagement methods.

Outsourced SDR teams will get wins (and leads) for your business.

What Is SDR Outsourcing and An Outsourced SDR Team?

Outsourced SDR companies are increasingly being employed by businesses, offering various services such as cold calling and emailing.

Sales outsourcing aims to set appointments with potential customers, who can then be further engaged in business conversations.

These outsourced SDRs typically follow one or more of the three main models:

  • Pay-per-appointment
  • Pay-for-activities
  • Retainer model

In the pay-per-appointment model, an outsourcing company will charge per appointment booked; this ensures that their efforts are rewarded based on results rather than time spent trying to contact prospects.

In contrast, the pay-for-activities model sees them charging for each activity they complete - like the number of calls made or emails sent - which may not necessarily result in any appointments.

Finally, there’s the retainer model, where an organization pays a fixed fee regardless of the outcome, although targets may still be set for certain metrics, such as monthly bookings.

Sales outsourcing companies do both inbound and outbound sales outsourcing and sales training.

Understanding SDR Outsourcing Models

Outsourcing sales functions is becoming increasingly common, much like other business operations. Essentially, there are two primary approaches to SDR outsourcing:

Comprehensive Outsourced SDR Services

This model involves handing over the entire sales process to an external agency. From the initial lead generation to sealing the deal, everything is managed by the service provider. Such a comprehensive approach means that the outsourced team identifies potential customers and actively engages and persuades them to purchase your offerings.

This model is particularly effective for businesses with transactional or shorter sales cycles. By adopting this approach, businesses can significantly reduce costs and reallocate resources to other core activities.

Hybrid Outsourced SDR Services

Under this model, only specific segments of the sales process are outsourced, while others remain in-house. Here's a closer look at the variations within this model:

  • Vertical SDR Outsourcing: The sales funnel is split into two segments in this approach. One segment remains in-house, while the external SDR provider manages the other. This model is ideal for businesses with seasonal sales spikes, ensuring a steady flow of quality leads for the in-house team to focus on conversions.
  • Parallel SDR Outsourcing: Internal and external sales teams operate concurrently here. They might either target the same market or be assigned different markets, expanding the business's reach.
  • Geographical SDR Outsourcing: Large multinational corporations often adopt this model. The in-house sales team, usually based at the headquarters, concentrates on the domestic market. In contrast, localized outsourced SDR teams handle international markets, optimizing costs and mitigating potential risks.

Explaining Inbound And Outbound SDRs

Sales outsourcing includes the process of handing over sales activities to an external service provider.

This can involve either a full-stack or partial outsourcing model, with different objectives for each approach. For example, full-stack SDR services include lead generation and closing deals, whereas partial outsourcing mainly focuses on outbound prospecting and qualifying inbound leads.

The main benefits of outsourced SDR companies are vast experience in the field, access to resources not available internally, improved customer experience through a better understanding of their needs and wants, reduced cost due to lower overhead expenses and increased efficiency.

The cons associated with this type of business model may include a lack of control over processes and managing communication between multiple parties, which could lead to confusion. It is important to consider these factors when determining if hiring an outsourced sales development team is right for your organization.

A good outsourced SDR company will have excellent sales training for their sales team.

Best Practices Of SDR Outsourcing

Recent research has revealed that approximately 40% of sales and marketing teams are now outsourcing their SDR services. This trend is likely to continue as the benefits associated with this approach become increasingly evident.

Outsourcing companies provide access to a pool of experienced SDRs who can quickly get up-to-speed on your business and customer base, allowing in-house staff to focus on closing deals instead of prospecting activities.

When considering an outsourced SDR company, you should follow several best practices.

  1. Firstly, ensuring they have experience targeting similar-sized companies and ICPs as those you target is important.
  2. It’s also essential to verify they possess expertise on how best to contact prospects – whether through cold emails or calls – so that your outreach strategy can be tailored accordingly.
  3. Finally, allow sufficient time for the outsourced team to adapt and become familiar with your business operations before expecting their results.
There are tons of advantages to having an outsourced sales development team.

Advantages Of Outsourced Sales Development

Outsourced sales development provides many advantages to companies.

Outsourcing companies can customize the sales process for their clients and provide access to a team of experienced sales representatives who can assist in generating qualified leads.

This eliminates the need for companies to build an in-house sales team, saving time and money while allowing them to focus on other business areas.

Sales development representatives provided by outsourcing companies have experience with outbound outreach, which helps to generate more meetings with potential customers.

Additionally, SDRs often have access to the latest technology and resources that help streamline the sales process.

This expertise, scalability, and flexibility make outsourced sales development a valuable asset for any company looking to increase efficiency while cutting costs.

There are both advantages and disadvantages of using an outsourced sales development team.

Disadvantages Of Outsourced Sales Development

The decision to outsource sales development operations can come with considerable administrative costs. In addition to the cost of hiring and onboarding an outsourced team, businesses must also consider employee benefits such as paid vacation days, insurance premiums, and any other additional expenses associated with having a full-time staff.

The complexity of the hiring process for outsourcing companies also means that finding and vetting employees who can adequately represent your brand may take longer than anticipated.

Compared to building in-house teams, outsourcing can limit access to critical insights from potential customers due to its focus on meeting schedules rather than customer feedback.

Without direct contact with the market, it can become difficult for product and marketing teams to make informed decisions about their offerings or campaigns based on customer preferences. This lack of information could hurt potential revenue growth if not managed carefully by executives.

With an outourced sales team, you'll get tons of cost-effective benefits for your company.

Services Offered By Sales Outsourcing Companies

The services offered by SDR outsourcing companies can vary, but the most common include sales operations management, market research and lead generation.

Sales Operations Management

Sales operations management involves overseeing a team of outsourced sales representatives who are responsible for achieving specific goals. This includes setting performance targets, creating standard operating procedures and monitoring activity levels to ensure reps meet their quotas.

Market Research

Market research is an important aspect of any successful B2B organization as it helps to identify potential customer segments, determine which channels will be best for reaching them, and develop strategies for targeting those segments effectively.

Lead Generation

Finally, Lead Generation is key in driving new business opportunities through targeted campaigns. It requires a deep understanding of target markets and generating qualified leads from those markets that have been identified as having the highest potential.

Outsourced sales outsourcing services specialize in this area and provide valuable insight into how to maximise your return on investment when it comes to acquiring new customers.

Outsourcing sales development teams can benefit businesses looking to scale quickly without sacrificing quality or output. Their expertise lies in providing access to highly specialised skillsets that are unavailable within traditional hiring methods such as cold calling or emailing prospects. By leveraging the knowledge and experience of these professionals, businesses can gain a competitive edge in today’s ever-changing marketplace while reducing costs associated with recruiting top talent internally.

Cold calling is one of the top benefits of having an outsourced sales team.

Outsourced SDR Services Overview

Outsourced sales development teams utilize various strategies and channels to target potential clients. The following are standard SDR outsourcing techniques employed to engage prospects:

  1. Cold Calling: Cold calling involves making unsolicited phone calls to potential clients who are unaware of your business. The objective is to schedule a meeting with these targeted prospects. SDR outsourcing companies access customer contact databases to gather information for cold calling. While not every industry responds well to cold calling, it can effectively reach prospects, especially as fewer companies utilize this approach. By outsourcing cold calling to SDR service providers, businesses can make thousands of calls per week, increasing the likelihood of generating qualified leads.
  2. Cold Emailing: Cold emailing is the practice of sending unanticipated emails to potential customers with whom there has been no prior interaction. The goal is to book a meeting with the recipient. Cold emailing allows for precise targeting, email opens and responses tracking, and testing different messages. SDR outsourcing companies should be adept at crafting personalized emails and optimizing messaging through A/B testing. Collaborate with your outsourced SDR service provider to create customized email templates that reflect your brand identity.
  3. LinkedIn Outreach: LinkedIn, the world's largest professional networking platform, boasts over 800 million users across 200 countries, making it an excellent resource for generating qualified leads in the B2B sector. SDR outsourcing companies leverage LinkedIn outreach, primarily through direct messaging or InMails, to connect with prospects. The process involves:
  • Identifying target customers in specific sectors
  • Utilizing LinkedIn Sales Navigator to search for potential clients in your niche
  • Connecting with the target audience through direct messaging
  • Sending messages or message sequences to engage potential customers
  • Monitoring responses received from prospects

By employing these outsourced SDR services, businesses can effectively reach and engage potential customers, increasing the chances of generating valuable leads.

A good outsourced sales team has a few key qualities that you should be aware of when choosing.

Tips For Choosing An SDR Outsourcing Company

When searching for an outsourced sales company, it is important to consider the experience and industry of each potential partner. Companies with a wealth of cold outbound calling expertise are best suited to help your sales rep team effectively reach new customers.

Going overseas to save money can be tempting, but this could backfire if customer engagement requires language proficiency or personalized messaging. It's far better to enlist the services of a local provider who can converse fluently with prospective leads.

A good SDR outsourcing company should also demonstrate cooperation and transparency during selection. Ask them questions about how they plan on targeting qualified leads and ensure that reporting methods also meet your needs.

Ultimately, by ensuring that all details have been discussed up front you can ensure that your marketing teams will receive the highest quality support from their outsourced SDR partners.

If you need a top outsourced SDR firm, Key Outreach should be your first call.

Key Outreach Is One of the Top Outsourced Sales Development Teams

Key Outreach should be your first call if you need a top outsourced sales team. Through top sales training, their sales team has provided companies with the lead generation they need to increase revenue, sales function, and B2B sales in their target market.

Key Outreach has a full-time sales team focused on outbound lead generation, outbound sales, and bringing in new clients' business for SaaS companies, technology companies, and agencies. Even if you are exploring a new market, Key Outreach can generate leads and get them down your sales funnel.

They offer cost-effective appointment setting and inside sales to provide companies with valuable insights to increase their sales.

Click here to learn more about the Key Outreach outsourced SDR firm.

Key Insights manages outsourced SDRs with excellent core competencies that offer SaaS companies and agencies many benefits.


Outsourced Sales Development Representatives (SDRs) are becoming increasingly popular among companies looking to expand their sales reach without hiring and managing a large in-house team. With the right partner, SDR outsourcing can effectively increase leads for your sales department and revenue while keeping costs low.

However, it's important for businesses to understand the advantages and disadvantages associated with SDR outsourcing before making any decisions. By selecting the most appropriate service provider, businesses can ensure they get the best possible return on their investment.

They should also consider all aspects of services offered by potential partners, including pricing models, level of customer support, and the ability to customize packages as needed. All these factors will help determine which SDR outsourcing company best suits your business needs.

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