Break Into Tech Sales

Simply put, inside sales refers to conducting sales over the phone or the Internet, whereas outside sales involves face-to-face interactions with clients.

This blog will give you a head-to-head comparison of inside sales vs outside sales so that you can make the right career choice (if you’re on the job hunt) or the right business decision (if you’re deciding which sales method is best for acquiring new customers).

Each sales method has its own merits and drawbacks, distinct roles and responsibilities, and a unique set of tools.

What is Inside Sales?

Inside sales refers to sales conducted “inside” an office environment, primarily through phone calls or digital technologies, such as email, social media, or video conferencing.

Unlike outside selling methods, inside sales professionals do not physically meet with clients or prospects.

Inside sales representatives are responsible for a wide range of tasks, including identifying potential leads, connecting with prospects, understanding their needs, and persuading them to purchase the product or service.

The tools used by inside sales representatives are primarily digital. We have discussed some of them below.

Remember, in inside sales, your communication skills, resilience, and ability to form strong relationships via digital platforms are the keys to your success.

Inside Sales Reps – Roles and Responsibilities

These sales reps require a unique mix of attributes, including strong communication skills, resilience, and the ability to form strong relationships via digital platforms.

Inside sales representatives carry out a broad range of roles and responsibilities. Some of these include:

• Qualifying Potential Customers – Engaging with potential customers through digital platforms, identifying their needs, and matching them with the right products or services. This process involves researching, understanding, and profiling the prospects for a better sales pitch.
• Customer Engagement – The inside sales team engages with customers through calls, emails, or video conferencing, understanding their needs.
• Sales Presentation – They deliver compelling sales presentations via Zoom or other video conferencing apps to convince prospects about the value of products or services.
• Recording Data – They are involved in recording and refreshing relevant sales data.

What is Outside Sales?

Outside sales, often referred to as “field sales,” involves selling products or services directly to customers in a face-to-face setting.

Unlike internal sales, outside sales reps are usually on the go, meeting potential clients in their workplaces, at industry trade shows, or even over coffee. ☕

An outside sales representative’s role is more dynamic and less predictable than an inside sales representative.

For instance, a pharmaceutical sales rep (an outside salesperson) primarily visits healthcare professionals in various locations. They present the latest medicines and persuade them to prescribe their company’s products to patients.

Outside Sales Reps – Roles and Responsibilities

The responsibilities of an outside sales representative often include:

• Territory Management – They are assigned a specific geographic territory and are responsible for all sales activities within this area.
• In-Person Client Meetings – Meetings with potential clients in person to understand their needs, present appropriate solutions, and close the deal.
• Networking – Attend industry events, trade shows, and conferences to build relationships and generate leads.
• Traveling – Often involves significant travel, depending on the size of the assigned territory.
• Product Demonstrations – They physically demonstrate the product to the potential client, allowing a tangible experience.
• Negotiation and Deal Closure – Just like inside sales, outside sales also involve negotiation and deal closure, but it happens in a face-to-face context.

This job requires excellent communication skills, and adaptability due to its face-to-face nature. Days are often filled with unexpected encounters and challenges.

Key Difference Between Inside and Outside Sales

The key difference between outside and inside sales primarily lies in the sales approach and the working environment.

Inside sales representatives primarily conduct business over the phone or through the Internet, whereas outside sales representatives travel and meet clients face-to-face.

The tools each use also differ, with inside sales relying more on digital tools and software, while outside sales requires more physical collateral and often involve product demos.

Tools Used in Inside vs Outside Sales

Technologies and Tools used in Inside Sales

Inside sales reps primarily rely on technology to communicate and close deals.

• Customer Relationship Management (CRM) systems, which allow them to track and manage leads, customer interactions, and sales processes.
• Auto-dialing software to increase the number of calls they can make in a day.
• Email tracking tools help them monitor when a prospect opens an email or clicks on a link, providing valuable insights into the customer’s interest level.
• Video conferencing platforms like Zoom or Skype are also commonly used for virtual meetings and product demos.
• Robust data analytics tools are used to analyze sales trends and performance, thereby helping in making informed decisions.

Technologies and Tools used in Outside Sales

Unlike inside sales reps, outside sales reps spend most of their time in the field, meeting with clients and prospects face-to-face. Their toolkit, therefore, looks a bit different.

• CRM systems, but more so on mobile devices, for on-the-go access to client information and sales analytics.
• GPS navigation tools to optimize their travel routes and reach their appointments on time.
• Presentation software like PowerPoint for preparing and delivering effective product demonstrations.
• Tracking apps to manage their travel and client entertainment costs.
• Calendar management tools to help in scheduling and managing appointments efficiently.
• Business card scanning apps for swiftly inputting new contact information into their CRM system.
• Car to be able to travel to each destination effectively. (Most important)

Different Challenges for Inside vs Outside Sales Rep

Inside sales reps often face challenges such as maintaining the same level of engagement and connection as their outside counterparts due to the lack of face-to-face interaction.

They need to work extra hard to build and sustain relationships virtually.

The ability to handle objections over a call or email and keep the conversation engaging can be quite challenging.

On the other hand, obstacles for outside sales reps include coping with the constant travel and adapting to different environments and cultures.

The high amount of travel can be physically and mentally exhausting, and they may have to deal with unexpected situations, such as cancellations or reschedules.

In addition, outside sales reps must deliver effective product demos and be comfortable closing deals in person, which can add pressure.

Remember, both roles come with their own unique challenges, and the key is to find the one that aligns best with your skills, personality, and career goals.

Analysis of Average Salary in Inside Sales

Inside sales professionals’ salaries can vary widely depending on the industry, the complexity of the product or service being sold, and the individual’s level of experience.

On average, an inside sales rep in the United States can expect to earn $51,948 in base salary. [1]

However, when factoring in commissions and bonuses, which are a big part of the compensation structure in sales, the total annual income can go up to $65,000 or even higher. [1]

Employees in tech industries or in companies that sell high-value products or services can earn significantly more.

Analysis of Average Salary in Outside Sales

Outside sales representatives, similar to their inside sales counterparts, also see wide salary ranges depending on various factors such as the industry, product or service complexity, and personal experience.

The average base salary of an outside salesperson in the United States is approximately $97,527. [2]

However, their compensation package often includes commissions and bonuses, pushing their total annual income typically above $150,000. [2]

Employees working in fields like tech or pharmaceuticals, or those selling high-ticket items tend to earn more.

Additionally, outside sales reps often have their travel and entertainment expenses covered by the company, further adding to their overall compensation.

Outside sales representatives typically prioritize high-value deals, often resulting in higher salaries.

However, it’s worth noting that in some cases, inside sales roles can offer comparable compensation, especially with commission structures, such as those in IT software sales.

Inside Sales vs Field Sales: Which One to Pursue?

Several factors can influence your decision between inside and outside sales. Here are some of them:

1. Commute and Travel: Inside sales roles are typically office-based or remote, which negates the need for a commute or any significant travel. Outside sales, on the other hand, often require extensive travel and frequent face-to-face meetings with customers or clients.
2. Work-life Balance: If you value a predictable schedule and work-life balance, inside sales might be a better fit. Outside sales can involve irregular hours and the need to be available outside standard business hours to meet client needs.
3. Technological Skills: Inside sales can often require a higher degree of technical skills, as most communication and sales happen over the phone or through email, utilizing CRM systems. So, if you’re tech-savvy, this might be an advantage.
4. Autonomy: If you prefer a high degree of autonomy and independence, outside sales could be a good choice. You’ll often be managing your own schedule and making strategic decisions about client meetings and sales approaches.

When choosing between inside and outside sales, it’s important to consider your personal preferences and career goals.

If you prefer a structured environment, thrive on direct customer interaction via phone or video calls, and enjoy leveraging technology, inside sales could be an excellent fit.

On the other hand, if you enjoy the freedom of being on the road, building relationships with clients in person, and don’t mind irregular hours, outside sales might be more your speed.

Both roles offer ample opportunities for success – it’s all about finding the right fit for your personality and professional aspirations!

Promotion Opportunities in Both Fields

The promotion opportunities in both inside and outside sales are robust and offer ample room for growth.

Both inside and outside sales representatives have similar pathways for advancement. 

Starting as a Sales Representative, they can work their way up to become a Senior Sales Representative, then a Sales Manager, followed by a Regional Sales Manager, and then a VP of Sales.

Inside sales reps, with their experience in utilizing CRM systems, often find themselves well-prepared for managing sales teams and operations. 

On the other hand, outside sales reps, with their extensive field experience and client relationship skills, may excel in strategic sales roles.

Ultimately, both inside and outside sales roles offer a lot of promotion opportunities. 

The key to advancement is consistent performance, continuous learning, and the ability to adapt to new sales strategies and technologies.

Skills and Strategies

Inside Sales

1. Mastering the art of telephone and email communication since most of the interaction with clients is remote. Clear, concise, and persuasive communication is key.
2. Proficiency in using Customer Relationship Management (CRM) tools is essential to manage and analyze customer interactions and data throughout the customer lifecycle. This helps improve business relationships with customers, assist in customer retention and drive sales growth.
3. Understanding the product or service you’re selling is also paramount. This helps you answer any questions or concerns a potential customer may have confidently and accurately.
4. Lastly, time management and organization are critical. You need to juggle multiple clients and tasks at once, so being organized and efficient with your time is a must. ⏳

Outside Sales

1. Being a proficient negotiator can be your secret weapon in outside sales. The ability to negotiate terms and close deals is crucial.
2. Being resilient and adaptable is important, as you’ll face numerous challenges and need to adjust your strategy on the spot based on the client’s needs and the competitive landscape.
3. Utilizing CRM and sales analytics tools is equally important for outside sales. However, it should be noted that outside sales reps mostly utilize them on mobile devices. These tools provide valuable insights into customer behavior and market trends, helping you to strategize and tailor your approach effectively.
4. Lastly, an outside sales rep should be self-motivated and goal-driven, as the nature of this role requires a high degree of autonomy. Keep these strategies in mind, stay persistent, and you’ll surely excel in outside sales.

How to Break Into Sales

Whether you’re considering a career in inside or outside sales, the first step toward a successful sales career is to gain a solid understanding of sales methodologies and processes.

This can be achieved through reading sales literature, attending sales workshops, or even enrolling in sales-related courses.

Next, it’s important to work on your communication and negotiation skills. These are the cornerstones of any sales role. You can improve these through practice, role-playing exercises, or by receiving feedback from mentors or more experienced salespeople.

A deep understanding of the product or service you’re selling is equally important. The more knowledgeable you are, the more confident you’ll be when dealing with prospects.

Try to gain hands-on experience with the products or services, and always stay up-to-date with industry trends and news.

Finally, apply for entry-level sales positions or internships to gain practical experience.

This will expose you to real-world sales scenarios and give you the opportunity to apply the skills and knowledge you’ve acquired.

And remember, persistence and resilience are key. Rejection is part and parcel of a sales career, but it’s how you bounce back that will truly define your success in this field.

And that’s it! You’re now ready to embark on your sales journey.

Conclusion

In summary, both inside sales and outside sales play crucial roles in business development and have their unique set of responsibilities.

Inside sales involve remote selling, while outside sales revolve around face-to-face interactions and in-person demonstrations.

Whether you choose inside sales or outside sales, remember that adaptability is your best ally.

Each sales method will present its unique set of challenges, but your ability to adjust, evolve, and innovate your strategies will determine your level of success.

Keep yourself updated with industry trends, learn from the best practices of fellow salespeople and even competitors, and never shy away from exploring new techniques.

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