Should Startups Outsource Lead Generation


Like every business owner knows – there are positive and negative sides to any business decision. Same goes for outsourcing – you are transferring part of your company’s work to a third party that may or may not be expert in your industry. You have no idea how they manage their employees, will they deliver the expected result and what will be the quality of it.

Lead generation is one of the most outsourced services. Simply because some companies don’t have sufficient time to invest in generating leads, some don’t know how to do it and some just don’t want to be bothered with it (i.e. they have money).

As a startup beginning with or just growing your sales – you definitely need lead generation. The only question is – how will you collect those leads?

So, for all of the startup owners out there, hoping that you aren’t considering cheap web scraped lists, we give you pros and cons of outsourcing your lead generation efforts.


Saving Time To Focus On Sales

We already mentioned this in our blogs before, but lead generation takes a lot of time. Market Republic, as a specialized B2B lead generation agency, for example, has a team of full-time employees that only collect leads. 

Sure, you can take some time of your work day to generate leads, but every hour you spend takes you away from your core business. However, those hours do not necessarily mean that you will find more than 2 or 5 leads. You may think that is enough, but only 7% of all collected B2B leads actually convert.

By outsourcing your lead generation you are giving your marketing and sales teams an opportunity to focus on what they do best – create valuable converting content and sell, respectively.

Source: Smart Insights

Overloading your marketing team with lead generation may result in quantity, but will soon backfire in your sales which will be wasting their time with a certain number of leads that simply don’t convert, because those leads were collected inbound

No Money Spent On New Hires

Hiring new people in your sales or marketing team or even establishing your own lead generation team costs a lot of money. Aside from paychecks, you have to pay taxes and everything else that comes with employment. Including searching for a bigger office to fit your new expanded company. 

Unfortunately, sales is one of the most fluent departments in any company meaning people change jobs every 6 to 12 months. This inevitably means more money and time for you to spend on training new employees that will probably leave in a few months. 

And there is no guarantee that your own employees will actually deliver. They will have their own goals, problems, sick days, limitations, etc.

Once you outsource your lead generation you are only paying for the service delivered. 

And what happens during periods of time when you don’t need lead gen? You still have to pay your employees if they stay or go through the exhausting firing and hiring process over and over again.

Paying For The Result Only

Different lead generation companies operate on a different level. Some will charge you per number or bundle of leads, some will charge you per hour. It’s up to you to decide which model suits you best and pays off.

You are not paying for anything else unless you specifically ask. For example, in Market Republic, we offer services like writing your email threads, organizing and executing your email campaigns, and even replying to your potential customers. But those are all additional services, that you may or may not need.


Nobody Can Sell Your Product Better Than You Can

The fact is – nobody can sell a product better than the people inside the company. They know the product/service inside-out and sometimes have information that they can’t share to any third party.

Outside agencies can try and learn about your product, but they can never sell it as good as you can.

If, however, you decide to outsource, you can try to give as much information as possible to the agency, help them with messaging and sales threads or try to educate them about your own industry and company.

Creating A Lead Generation Experts In-House

Lead generation is something that you will always need, so having a team of experts or just an expert will always come in handy. 

Your own lead generation team will have all the necessary information, know exactly who to target and how to sell product/service of the company they work for.

They will be well informed once the company decides to introduce new products, offers and services and easily catch up with all the changes in the approach to the customer.

Supervising The Employees

Having your in-house team collect leads, you can always keep an eye on them. In time you will know how much leads they can gather in an hour or a day, which leads from which industry are harder to find, and who are the best researchers.

This is something you cannot know when you’re outsourcing, simply because it’s someone else’s company. 

Could you be getting more leads? Are there enough researchers included? Did they hire only the most skilled researchers? How much time does it take to find 100 leads for the digital marketing agency?

So, Should You Outsource Your Lead Generation?

As an expert lead generation agency, we would always say - yes!

You will save an enormous amount of time and get fill your plate with highly targeted leads that are most likely to convert. Sorted out and handpicked like cherry tomatoes in the finest Italian restaurant.

You can buy your leads for a single project, product or service. You can gather leads from any location in the world. You can hire an agency for a month or an entire year. You can collect all the leads you need now and outsource again in a year or two when you make a new product or a service. There are no commitments (unlike when hiring new sales employees).

For example, Market Republic worked for startup Wiredrive some time ago and now they have a new project and we are looking forward to generating some new leads for them.

In case you decide to outsource – contact us. You can even try our free lead sample to see what a walk in the park outsourcing lead generation will be for your sales team.


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