In-house Vs Outsourced Lead Generation: Who is the Winner?

Research has proven that 8 out of 10 companies say that regular high quality leads are one of their biggest challenges. With efficient lead generation services being the need of the hour, businesses have to make a decision between in-house lead generation and an outsourced service. But which is more profitable? Does outsourcing bring in higher results? Let’s look at both the options in detail.

In-house lead generation

To start with, most organizations don’t make a clear definition of who is in charge for lead generation. Usually when the term “in-house” is used, it means that everyone is involved and no one is really responsible for the end result. Since a business would always have to focus on core business activities, lead generation ends up as being a non standard process that is occasionally performed – usually when the sales team has no contracts or targets to achieve. In the long run, in-house lead generation becomes more of wasted effort rather than bringing in more sales to the company.

Here are some other factors that further contribute to the failure of in-house lead generation:

  • Lack of regular follow-ups
  • No clear process or plan on how to convert prospects into leads
  • Miss aligned definition of what a lead is
  • Lack of feedback from prospects / clients
  • Incorrect targeting
  • Use of single channels (direct email marketing or telemarketing) to generate leads
  • Leaving lead generation to the junior members of the sales team

Outsourced lead generation

When you outsource lead generation, it means you are giving the responsibility of generating leads to a service provider for whom lead generation is their core business. A specialized lead generation company will also know of the right tools and techniques to help you achieve qualitative results. For example, as opposed to telemarketing, you may not get 300 leads every month, but you may get 30 leads, and these 30 leads will have a much better chance of turning into contracts. Here is why outsourcing lead generation is more profitable:

  • Clear profiling of prospective clients through multiple methods
  • Precise targeting achieved through extensive research
  • Meetings only with qualified leads – people who are genuinely interested in your products /services
  • Use of multiple channels (list building, online/offline communication, networking etc)
  • Access to the services of lead generation specialists

Who is the winner?

By comparing in-house lead generation with an outsourced service, you can clearly see that outsourcing lead generation can deliver better leads. Outsourcing can also provide you with more business opportunities, increased speed to market and help you reduce cost and risks. Specialized lead generation services from an outsourcing service provider can bring you excellent results, with a smaller cost and a better return on investment.

What are your views on outsourcing lead generation? We would love to hear from you.

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