Sales company

[YD1]

I have found a sales company who can manage all my sales. They are local and have been refered by a friend. I am selling adverting to buisnesses. This company will telephone buisness and do cold call walk ins. They will vist the client 2-3 times to close the deal. The total time spent with each client may take up 90 minutes.

They are charging £2500 (discounted from £5000) as a intial payment and then 20% per sale (average sale £500). They have a target of 100 sales if they dont get 100 then they get no commison.

What do yo think? There current client base incluses Britsh gas.

 

[YD1]

Just ato they themselves put across the idea of not gtting commsion unless they hit the target.
Only downside is that they have no experince in selling to advertising.

 

[jamieclick]

To be honest i would say no to them. I had a company start sales for me last week on commission only and they haven't sold anything yet. I'm not saying any names as i'm still confident they will turn it round as i were selling 10/14 a week of the product but just dont have the time to do it now. I would give them 20% commission on whatever they sell and forget the getting to the 100 before they get anything but also forget the 2500 set up, if they dont sell a thing then you have lost £2500 for nothing. Hope this helps a bit and if any other sales teams reading this would be interested in selling my product on commission only give me a shout

 

[GeorgeM]

There is a cost associated with selling whether you do it or get another business to do it on your behalf - and those costs have to be covered.

I would suggest you may be better with someone who is experienced in selling into your target sector.

The figures you have quoted for commission seem reasonable. The upfront cost will depend on the effort needed to prepare the sales campaign, source the leads etc. And if they are also doing the sales visits - again there are costs to be met.

One way to test out the supplier is to do a small pilot campaign to see if the arrangement is going to work.

Regards

 

[YD1]

The pilot idea seems like a great idea. thanks

 

[telemax]

I have found a sales company who can manage all my sales. They are local and have been refered by a friend. I am selling adverting to buisnesses. This company will telephone buisness and do cold call walk ins. They will vist the client 2-3 times to close the deal. The total time spent with each client may take up 90 minutes.

They are charging £2500 (discounted from £5000) as a intial payment and then 20% per sale (average sale £500). They have a target of 100 sales if they dont get 100 then they get no commison.

What do yo think? There current client base incluses Britsh gas.

Can you tell us more about your product?

You are in fact talking about this company generating £50,000 worth of sales for you, this is not something to be taken lightly and doesn't sound at all realistic. It sounds like a lot of big talk to me

The first question I'd ask is how many have you sold?

Jonathan

 

[YD1]

The £2500 is refunable should the sales compnay not hit the traget of securing a 100 sales from visting 350 business in one specific sector.

 

[BITS]

You might have a hard time getting the money back, it doesn't sound right.

If they are so good get them to do it on commision only no deposit, even if you have to pay a higher commision.

 

[GreatSEO]

How many prospects will they start with?

Dave

 

[David White]

You can list advertising on our site for free and just pay a commission on sales, we do telephone work too but only on higher value ads. Are you getting incoming calls at the moment or is most of the work they are doing self generated? There are a lot of other telemarketing companies who don't charge big set-up fees, a few of the guys on here do it actually.

 

[YD1]

Like evryone said it ws too good to be true

 

[jamieclick]

:-( why was on the catch?

 

[YD1]

£2500 upfront to cover costs but it is supposed to be refundable so it sounded like they did not have any money in their pot to cover their costs so how would they give my money back.