Small and Medium-sized Enterprises (SMEs) in Taiwan, generally want to handle processes like the sales development process, from prospecting to finding leads/opportunities to closing deals, internally by the company sales team. However, foreign companies or those of a certain scale have a more detailed division of labor in their business development efforts. The initial front-end work, involving reaching the target market, is often delegated to the marketing department or outsourced to business development teams like Enspyre. Subsequently, the sales department takes over to close deals.
Why do they adopt this approach, and what is the strategic logic behind it?
In this article, we will draw from 20 years of experience in the B2B market and more than 10 years of collaboration with Oracle, the world’s second-largest technology company, to share insights into the blind spots in the business development processes of Taiwanese companies and how to internalize the strategies of global enterprises.
The Most Common Business Development Blind Spots for SMEs in Taiwan: Reluctance to Outsource and Lack of Strategy when allocating Human Resources
Based on Enspyre‘s long-term observations of the Taiwanese market, several common phenomena show up in the business development strategies adopted by Taiwanese companies and startups.
▋”Do Everything In-House” Business Culture
According to an article in Manager Today, “a survey published by the 104 Corporation revealed that only 40% of companies in Taiwan have outsourcing experience, while another survey indicated that 90% of American companies have at least one outsourced business function.”
Many Taiwanese bosses are concerned that “outsourcing” will increase costs and risks, making it challenging to control resources. However, they often overlook the benefits of reducing management costs, increasing execution efficiency, and improving performance.
▋ Lack of Strategy when allocating Human Resources
Most sales teams are more skilled at in-person visits and presenting proposals than prospecting through phone calls. Many sales people even strongly dislike making cold calls. Yet, companies often demand that their sales teams handle the entire development process, which decreases the time they can dedicate to closing deals, where their expertise is the most valuable. This approach results in additional costs for training sales teams in telephone prospecting skills, leading to overall inefficiency and a lower return on investment. It might even lead to skilled closers leaving because they do not want to spend their time prospecting on the phone.
The phenomena mentioned above limit the business development efficiency of many Taiwanese companies. Let’s take a look at Oracle, the world’s second-largest software company, and how they allocate human resources to develop the Taiwanese market. How do they maximize the benefits at each stage of the business development?
Utilizing Specialization and Outsourcing to Reduce Risk and Management Costs
In developing the Taiwanese market, Oracle and hundreds of other foreign tech giants have chosen to delegate the front-end work of market outreach and prospecting to the Enspyre team, which boasts more than 20 years of business development experience in the Taiwanese market. They then leave the in-person meetings and deal closing to their in-house sales teams.
What are the risks and rewards of such an outsourcing and work division strategy? How can startups and SMEs in Taiwan apply this approach to enhance efficiency and reduce costs?
▋ Saving Time and Development Costs, Allowing Companies to Focus on Tasks with Higher Return
The role of sales is to close sales orders, and while making phone calls and conducting visits are critical and necessary, the process from prospecting to deal closing can take months or even years, and the cost relating to this time investment should not be underestimated.
By outsourcing the front-end development work, sales teams can spend their valuable time together with customers who have been qualified to have suitable needs, budgets, and time schedules in place. This enables companies to shift development risks, reducing their internal human resource and time costs.
▋ Let Professionals Do What They’re Good At
“Hand over what you’re not good at to those who excel in it; that’s how I’ve done things my whole life,” said Glenn Bryant, worth US$2.2 billion, while sharing his top management principles in the TV show Undercover Billionaire. This philosophy emphasizes that experience and expertise are valuable resources, and their correct utilization can yield great value.
The reason foreign companies like Oracle choose to collaborate with Enspyre is largely due to our more than 20 years of experience and professional skills, combined with our powerful company database, consistent performance, accuracy, and high execution efficiency.
“When revenue declines, many small and medium-sized enterprises seek more business or training courses. However, the issue isn’t about who should do the development work, but about who can help you reach the right people and communicate with them,” says Sam Lee, the Telemarketing Manager at Enspyre, who has two decades of business development experience.
Oracle Taiwan’s High-Level Executives Highly Appreciate our Development Efficiency – Turning Lead Generation into Outstanding B2B Business Development Results
For over a decade, Oracle has been collaborating with Enspyre to develop the Taiwanese market. The key to their success lies in their division of labor, which helped them achieve exceptional development efficiency. Enspyre handles the front-end development tasks, such as event/seminar invitations and customer data updates, while Oracle’s marketing and sales teams closes the deals.
Adapting to the domestic COVID-19 outbreak in May 2020, Oracle shifted its focus to online seminars, maintaining the excellent performance previously seen from physical events. Enspyre successfully assisted Oracle in inviting hundreds of attendees, consistently meeting the target enrollment rate of 100%, with an actual attendance rate of over 70%.
“Enspyre has collaborated with Oracle for over a decade, nurturing excellent teamwork. Whether it’s online or physical events, when there’s a target audience to invite, Enspyre always strives to meet the goals. Our development capabilities and execution efficiency have also received high praise from Oracle Taiwan’s high-level executives,” says Stella Chen, a Project Manager at Enspyre.
SME’s Harnessing Outsourcing Advantages and Resources – Winning the Business Development Race
Business development is a continuous process that requires the accumulation of experience and real-world expertise over the years. Even well-known brands cannot achieve instant success. The key is to think strategically, understand needs and goals, and specialize in business and marketing tasks to achieve good results. This is especially crucial for high-value B2B products with long sales cycles, where identifying and solving problems early is essential. Taiwanese Startups and SME’s should learn from Oracle that outsourcing marketing and sales services, perceived by some as high-cost and high-risk, actually leads to optimizing sales processes and efficiency.
Do you want to achieve better lead development results? Whether you’re struggling with poor prospecting, lack of leads to develop, or difficulty scheduling customer meetings, feel free to contact us. We will design tailored solutions to boost your performance and reduce costs!