No part of this publication may be reproduced, …...5 PIPELINE To understand and provide...

72
1

Transcript of No part of this publication may be reproduced, …...5 PIPELINE To understand and provide...

Page 1: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

1

Page 2: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

2

.

No part of this publication may be reproduced, stored in a retrieval system, or transmitted

in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or

otherwise, except as permitted under section 107 or 108 of the 1976 United States

Copyright Act, without the prior written permission of InsideSales.com. Requests for

permission should be addressed to the Legal Department, InsideSales.com, 1712 South

East Bay Boulevard, Suite #100, Provo, Utah 84606.

© 2017 InsideSales.com

All rights reserved, including the right of reproduction in whole or in part or in any form.

Page 3: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

3

EXECUTIVE SUMMARY

Sales development is one of the more misunderstood roles in sales. Many people debate

the definition of sales development while others argue which department it should report

into or how much sales development reps should be compensated. Either way, the sales

development role is here to stay. In an effort to understand the sales development

function and its role in the sales process, InsideSales.com Labs led a study in partnership

with Tenbound, SalesForLife, BridgeGroup, Drift, Datanyze, and OneMob. The study

focused on 1000+ companies and reviewed the structure, systems, people, and pipeline

of their respective sales development organizations. In addition, the report highlights the

typical four steps a sales development rep takes to be successful (identify, contact, qualify,

and pass).

STRUCTURE

Using US census data, the estimated number of professional sales people in the U.S. in

2017 is 5.7 million and that number is expected to grow to 5.9 million by 2024. According

to the research, inside sales professionals (reps who primarily sell remotely) represent

47.2% of the 5.7 million (2.7 million reps) and outside sales professionals (reps who

primarily sell face-to-face) represent 52.8% (3.1 million reps). Based on the survey

responses, sales development reps are 25.1% of the 47.2% inside sales professionals

making the ratio equal to one sales development rep for every three account executives.

The total number of sales development reps is estimated to be 677,479. Examining the

data revealed that not every sales development rep is the same. The primary difference in

sales development reps is the characteristic of inbound (reps who reach out to someone

who knows your company) and the characteristic of outbound (reps who reach out to

someone who doesn’t know your company). Of the 677,479, inbound sales development

made up 17.1% (115,849 reps), outbound made up 28.8% (195,114 reps) and 54.1%

(366,516 reps) were a blend of both. Another difference in sales development reps is the

go-to-market strategy of high-velocity versus account-based. 12.4% of companies

reported they run a high-velocity model while 43.0% reported they run an account-based

approach and 44.6% said they used both.

Page 4: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

4

SYSTEMS

Because of the nature of the sales development role, it often lends itself to more

automation than other roles in the sales department. Examining the data revealed the

overall estimated spend on sales development technology is $1.4 billion of the overall

estimated 14.9 billion sales technology industry. Companies reported the average annual

spend on sales technology was $3,827 per rep per year or $318.92 per month – which is

19.7% lower than the spend on sales technology for account executives.

The $3,827 covers an average of 4.9 tools per rep with the most popular tools being:

1. CRM

2. Social prospecting

3. Data/list services

4. Email engagement

5. Phone

6. Sales Cadence

PEOPLE

The career path for sales development reps differs across companies and industries but

one thing is for sure, not understanding and paying market rates for top talent will hurt

companies in the long run. The study revealed the average base salary for sales

development reps is $43,499 with an average on-target-earnings (OTE) of $83,484 – a

60/40 split on average.

On average, companies used 2.6 metrics to calculate variable compensation. The most

common metrics used were closed revenue (37.3%) with an average quota of $89,333,

number of opportunities accepted (19.2%) with an average quota of 15.2 opportunities,

and number of appointments held (12.6%) with an average quota of 19.2 appointments.

Considering all quotas, companies report 63.8% attainment for SDRs. With these

compensation structures in place, the average tenure of a sales development rep is 2.7

years which includes a 4.0-month average ramp time.

Page 5: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

5

PIPELINE

To understand and provide benchmarking capabilities, companies reported sales pipeline

numbers. Sales development reps did an average of 93.8 daily activities including an

average of 37.2 phone calls (39.7%), 36.2 emails (38.6%), 15.2 voicemail messages

(15.2%), and 7.7 social media touches (8.2%). These activities led to an average of 13.6

meaningful conversations a day—14.5% conversation rate. The 13.6 conversations per

day resulted in an average of 22.5 appointments set per month--5.5% appointment rate.

73.2% of appointments set become opportunities passed to account executives and the

typical sales development rep had 12.3 opportunities accepted per month--74.8%

opportunity acceptance rate. Of the opportunities accepted, 33.2% closed, which means

that the average sales development rep is responsible for about 12.3 deals per quarter.

Page 6: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

6

SALES DEVELOPMENT STRATEGY

STRUCTURE

SALES DEVELOPMENT REPS MAKE UP 10.7% OF SALES REPS IN THE US

Overall, it is estimated that there are 611,933 SDRs in the US, making up 10.7% of the

5.7 million professional sales reps. The typical sales organization studied has 12.9 sales

development reps.

SDR10.7%

Inside AE32.8%

Outside AE56.5%

SDRs Percentage of Sales Organization

Page 7: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

7

SDRS MAKE UP NEARLY A QUARTER (24.6%) OF THE INSIDE SALES ORGANIZATION

In the study, there were multiple types of SDRs identified.

• Inbound – a team that reaches out to someone who knows your company • Outbound – a team that reach out to someone who doesn’t know your company • Blended– a team that does both

Blended SDRs make up the biggest proportion of SDRs and represent nearly 1 in 10

remote sales reps (9.8%). SDRs in total make up nearly a quarter (24.6%) of remote or

inside sales reps.

Inbound SDR6.1% Outbound SDR

8.6%

Blended SDR9.8%

Inside AE75.4%

Inside Sales Roles

Total SDR24.6%

Page 8: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

8

56.0% OF COMPANIES REPORTED USING A HIGH-VELOCITY SALES MODEL AND 86.9% OF

COMPANIES REPORTED USING AN ACCOUNT-BASED SALES MODEL

Respondents were not given a definition of different sales models but were simply asked

what type of sales model they operated. Account-based sales models were by far the

most popular option (86.9%), though a large portion (42.9%) reported having teams of

both a high-velocity and account-based models depending on need.

High-velocity13.1%

Account-based44.0%

Both42.9%

Inside Sales Models

Page 9: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

9

38.3% OF COMPANIES WHO HAD SMALL DEAL SIZES REPORTED HAVING AN ACCOUNT

BASED SALES MODEL WHILE 8.15% OF COMPANIES WITH LARGE DEAL SIZES REPORTED

HAVING A HIGH-VELOCITY MODEL

Generally, account-based sales models should be reserved for companies who close large

deals with multiple decision makers. However, with the popularity of account-based sales,

many teams have switched models potentially prematurely as 38.3% of companies who

have small deal sizes report using an account-based model. On the other hand, 8.15%

companies working larger, more complex deals have implemented a high-velocity sales

model, an approach normally best suited for companies who close small deal sizes with

only a few decision makers.

Account-Based38.3%

Account-Based46.7%

High-Velocity18.1%

High-Velocity8.1%

0%

10%

20%

30%

40%

50%

60%

Small Deal Sizes Large Deal Sizes

% o

f re

spo

nd

en

ts

Sales Model by Deal Type

Page 10: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

10

COMPANIES WITH HIGH-VELOCITY SALES MODELS RELY MORE HEAVILY ON MARKETING TO

GENERATE PIPELINE (39.4% OF PIPELINE) THAN ACCOUNT-BASED SALES TEAMS (26.6% OF

PIPELINE)

While SDRs contributed a similar proportion of pipeline in each sales model, high-velocity

sales models received 48.1% more pipeline from marketing than teams who operated an

account-based model. The role of marketing has been traditionally one of the key

differences in an account-based model versus a high-velocity model. Because of the lower

production of marketing in an account-based model, sales reps must make up the

difference accounting for 36.1% more pipeline in an account-based approach versus high-

velocity.

30.8% 29.3%

26.6%39.4%

42.6%31.3%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Account-based High-velocity

% o

f p

ipelin

e

Source of Pipeline by Sales Model

Sales

Marketing

SDR

Page 11: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

11

A MAJORITY OF COMPANIES (61.1%) HAD A TEAM THAT HANDLED THE ROLES OF BOTH

INBOUND AND OUTBOUND SDRS

Having a dedicated inbound team was the least common type of sales development

structure at 28.7%. Outbound teams were the second most common with 36.9%. Blended

teams were by far the most common with 61.1% of companies reporting having this team.

28.7%

36.9%

61.1%

0%

10%

20%

30%

40%

50%

60%

70%

Inbound Outbound Blended

% o

f re

spo

nd

en

ts

SDR Teams

Page 12: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

12

HAVING ONE TYPE OF AN SDR TEAM WAS THE MOST COMMON PRACTICE (78.8%), BUT

21.2% OF COMPANIES HAD TEAMS OF AT LEAST TWO TYPES

While it was very common to have teams that served inbound and outbound SDR

functions, it wasn’t as common to have both as separate teams. The majority of

companies (78.8%) had only one type of SDR team.

78.8%

15.7%

5.5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

1 Team 2 Teams 3 Teams

% o

f re

spo

nd

en

ts

Number of SDR Team Types

Page 13: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

13

SYSTEMS

COMPANIES SPEND AN AVERAGE OF $2,027 PER SDR PER YEAR ON SALES TECHNOLOGY

Companies spend an average of $2,027 per SDR per year on sales technology but this

does not include CRM spend. Companies report they expect the overall amount to

increase by 3.8% in 2018. This equates to $169 per month per rep in 2017 and $175 per

month per rep in 2018.

The average sales development rep uses an average of 4.9 sales technologies for their

SDRs.

$2,027.00 $2,103.00

$0.0

$500.0

$1,000.0

$1,500.0

$2,000.0

2017 2018

SDR Tech Spend Growth

Page 14: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

14

COMPANIES WITH BLENDED SDR TEAMS UTILIZE 20.7% MORE SALES TOOLS THAN THOSE

WHO ONLY HAVE INBOUND OR OUTBOUND TEAMS

A blended sales development team means the reps respond to inbound leads and reach

out to ‘cold’ prospects. These blended teams adopt 29.7% more technology (1.1 more

tools) than inbound focused teams and 11.6% more technology (0.5 more tools) than

outbound teams.

3.7

4.3

4.8

0

1

2

3

4

5

Inbound Outbound Blended

Nu

mb

er

of

too

ls

Technology Tools Adopted by Team Type

Page 15: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

15

BIGGER DEALS ARE ASSOCIATED WITH A 17.0% HIGHER AVERAGE TECHNOLOGY

UTILIZATION COMPARED WITH COMPANIES WITH SMALLER DEAL SIZES

Companies who focused on larger deals utilize more technology than companies who

focus on smaller deals by 17% (.8 more tools). Larger deals often come with more decision

makers and more complexity, so companies may be more inclined to use sales

technologies to assist their SDRs.

4.7

5.5

0

1

2

3

4

5

6

Small Deal Sizes Large Deal Sizes

Nu

mb

er

of

too

ls

Technology Tools Adopted by Team Type

17.0%

Page 16: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

16

SOCIAL PROSPECTING (82.5%) IS THE HIGHEST ADOPTED TOOL FOR SALES DEVELOPMENT

REPS AND GAMIFICATION IS THE TOOL WITH HIGHEST EXPECTED GROWTH IN 2018 (83.1%)

The highest adopted sales technologies for SDRs were social prospecting (82.5%) tools

like LinkedIn Navigator, data and list services (58.5%) like ZoomInfo, and email

engagement (55.3%) like InsideSales.com. New to the list was sales cadence tools (37%

adoption) that combine phone and email to allow reps to manage their follow up strategy

effectively.

The expected growth of sales technologies for sales development reps provided many

interesting findings. Although gamification has been available to reps for years, it is one of

the lowest-adopted technologies (12.0%) but it expected to see the biggest growth

(84.1%). Video capability in emails (30.9%) as well as direct mailers (11.4%) as part of the

prospecting strategy are both relatively new to the sales development world round out

the top five tools expected to see the biggest growth in 2018. These two tools provide

reps the ability to differentiate and fit nicely into the popular account-based approach, so

it may not be surprising to see them high on the growth list.

Adoption

Tool Categories 2017

Social Prospecting 82.5%

Data/list services 58.5%

Email Engagement 55.3%

Phone 43.4%

Sales Cadence 37.0%

Chat 28.7%

Lead/Account Scoring 28.5%

Sales Intelligence 28.2%

Reporting 22.9%

Lead Routing 19.2%

Sales Coaching 16.5%

Video Outreach 16.0%

Direct Mailer 13.8%

Gamification 12.0%

Sales Signals 9.6%

SMS 9.3%

Growth

Tool Categories 17-18 Growth

Gamification 83.1%

Video Outreach 30.9%

Sales Coaching 22.5%

Sales Signals 14.5%

Direct Mailer 11.4%

Lead/Account Scoring 4.7%

SMS -0.7%

Sales Cadence -0.9%

Reporting -1.2%

Lead Routing -5.2%

Chat -8.2%

Email Engagement -9.0%

Social Prospecting -9.9%

Phone -11.5%

Data/list services -11.6%

Sales Intelligence -15.0%

Page 17: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

17

Page 18: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

18

TEAM TYPE AFFECTED WHICH SALES TOOLS HAD THE HIGHEST ADOPTION RATE

The highest-adopted sales tools were different depending on the type of team a company

used. Inbound teams focused on data/list services while outbound teams and blended

teams had the highest adopted in social prospecting tools.

Adoption

Tool Categories Inbound Outbound Blended

Data/list services 93.2% 91.4% 89.7%

Social Prospecting 92.8% 93.8% 94.2%

Email Engagement 91.7% 93.2% 92.6%

Phone 89.7% 88.7% 92.7%

Sales Intelligence 88.6% 86.7% 79.7%

Sales Cadence 86.4% 88.2% 77.8%

Reporting 84.1% 85.7% 85.0%

Lead/Account Scoring

80.0% 79.3% 73.8%

Lead Routing 77.8% 75.0% 86.5%

SMS 76.5% 81.0% 74.1%

Sales Coaching 71.4% 75.7% 66.7%

Sales Signals 68.8% 80.0% 65.6%

Direct Mailer 68.0% 74.2% 72.7%

Video Outreach 65.5% 71.1% 57.9%

Gamification 63.6% 61.5% 45.8%

Page 19: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

19

WHILE SOCIAL PROSPECTING WAS THE HIGHEST ADOPTED TOOL FOR BOTH SMALL AND

LARGE DEALS, ADOPTION WAS 7.8% HIGHER IN COMPANIES WITH LARGER AVERAGE DEAL

SIZES

Adoption of technology tools was generally higher for companies with larger deal sizes.

The only exception was sales coaching, which had 10.9% higher adoption in companies

with smaller deal sizes.

The biggest difference between companies that focus on small deal sizes and large deal

sizes, is the use of sales intelligence tools (18.5% higher adoption for larger deal sizes) and

direct mail tools (20.2% higher adoption for larger deal sizes).

Adoption

Tool Categories Smaller Deal Sizes Larger Deal Sizes % Difference

Social Prospecting 89.6% 96.6% 7.8%

Data/list services 89.2% 89.2% 0.0%

Email Engagement 89.2% 94.0% 5.4%

Phone 86.2% 91.8% 6.5%

Chat 83.1% 85.7% 3.1%

Sales Cadence 80.0% 84.1% 5.1%

Reporting 76.9% 90.5% 17.7%

Lead Routing 73.8% 87.2% 18.2%

SMS 73.3% 75.0% 2.3%

Sales Intelligence 72.1% 90.6% 25.7%

Lead/Account Scoring 71.3% 72.5% 1.7%

Sales Coaching 68.0% 61.3% -9.9%

Direct Mailer 63.6% 83.9% 31.9%

Video Outreach 63.3% 55.6% -12.2%

Sales Signals 61.3% 63.2% 3.1%

Gamification 45.2% 53.1% 17.5%

Page 20: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

20

PEOPLE

THE AVERAGE BASE SALARY FOR SALES DEVELOPMENT REPS WAS $43,499 WITH AN

AVERAGE OTE OF $83,484.

Salary for sales reps varies significantly by location but across all companies surveyed, the

average base salary was $43,499 with an OTE of $83,484.

The balance between base and variable salary averaged close to 60/40 split (56%

base/44% variable).

$43,499

$83,484

$-

$25,000

$50,000

$75,000

$100,000

Base Salary OTE

Average Salary

Base Salary

OTE

56%

Page 21: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

21

BLENDED SDR TEAMS TENDED TO HAVE HIGHER BASE AND VARIABLE SALARIES THAN BOTH

INBOUND AND OUTBOUND TEAMS

The on-target-earnings (OTE) of blended SDR teams was 16.2% higher than the average

OTE for inbound and outbound teams.

$41,238

$33,524

$48,027

$75,510 $77,049

$88,319

$0

$25,000

$50,000

$75,000

$100,000

Inbound Outbound Blended

Average Salary by Team Type

Base Salary

OTE16.2%

Page 22: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

22

OTE FOR SDRS IN AN ACCOUNT-BASED SALES MODEL IS 10.9% HIGHER THAN FOR THOSE

IN A HIGH-VELOCITY MODEL

Companies who practice an account-based approach pay their reps more than companies

who operate a high-velocity model both on base (12.5% higher) and overall OTE (10.9%

higher).

While account-based SDRs tend to make more money on average, the mix of base and

variable is similar (around a 60/40 split).

$43,680 $38,835

$83,950

$75,669

$0

$25,000

$50,000

$75,000

$100,000

Account-Based High-Velocity

Average Salary by Sales Model

Base Salary

OTE

10.9%

Page 23: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

23

WORKING BIGGER DEALS MEAN 4.3% BIGGER PAYCHECKS FOR SDRS ON AVERAGE

This statement may seem obvious in most compensation structures, but it isn’t just saying

that an individual SDR closing bigger deals will earn more commission. On average, if a

company has larger deals, SDR salary—both base and variable—tends to be higher by an

average of 4.3%.

$39,960 $44,549

$80,394 $83,921

$0

$25,000

$50,000

$75,000

$100,000

Small deal sizes Large deal sizes

Average Salary by Deal Type

Base Salary

OTE

4.3%

Page 24: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

24

AMOUNT OF CLOSED REVENUE IS BY FAR THE MOST COMMON FACTOR IN DETERMINING

SDR VARIABLE COMPENSATION

In general, it seems that metrics further down the pipeline were more popular for

determining SDR compensation. Close revenue (37.3%) and opportunities accepted

(19.2%) were the most popular metrics. Activities (5.3%) and contacts (2.0%) were the

least common factors used.

There is a big differentiation between appointments being held and appointments being

set. Held appointments were used 96.9% more often than appointments’ being set.

37.3%

19.2%

12.6%9.4% 7.8% 6.4% 5.3%

2.0%

0%

5%

10%

15%

20%

25%

30%

35%

40%

% o

f R

esp

on

den

ts

Variable Compensation Factors

Page 25: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

25

44.8% OF COMPANIES REPORTED ONLY USING ONE FACTOR IN THEIR VARIABLE

COMPENSATION FOR SDRS

44.8%

24.2%

8.8%6.2%

0.5% 1.0% 1.0%

13.4%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

1 2 3 4 5 6 7 8

% o

f re

spo

nd

en

ts

Number of Factors in Variable Compensation

Page 26: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

26

OUTBOUND SDR TEAMS TENDED TO HAVE 55.6% MORE COMPENSATION FACTORS THAN

INBOUND TEAMS

Inbound variable compensation structures tended to be simpler, only employing one to

two factors while outbound and blended teams tended to average closer to three factors.

1.8

2.82.6

0

1

2

3

Inbound Outbound Blended

Number of Variable Compensation Factors by Team Type

55.6%

Page 27: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

27

INBOUND TEAMS HAD THE HIGHEST AVERAGE QUOTA ATTAINMENT—16.5% HIGHER THAN

OUTBOUND TEAMS

The overall quota attainment was 63.5% across all SDRs with both outbound and blended

teams close to that average, but inbound teams had a significantly higher attainment rate

(16.5%).

76.4%

65.6%61.8%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Inbound Outbound Blended

Quota Attainment by Team Type

16.5%

Page 28: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

28

SDRS WORKING ON LARGER DEAL SIZES HAD A QUOTA ATTAINMENT RATE 4.6% HIGHER

THAN SDRS WHO WORK ON SMALLER DEALS

Whether this is a result of different quota strategies or rep ability is unclear, but larger

deal sizes did tend to be associated with higher quota attainment.

63.3%66.2%

0%

10%

20%

30%

40%

50%

60%

70%

Smaller Deal Sizes Larger Deal Sizes

Quota Attainment by Deal Type

4.6%

Page 29: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

29

OUTBOUND SDRS TEND TO HAVE THE LONGEST TIME AT FULL PRODUCTIVITY IN THEIR

POSITION

The overall average tenure for SDRs was 2.8 years with an average ramp time of 4.0

months.

Outbound teams tended to have a slightly longer average tenure (3.0 years) with a slightly

shorter ramp time (3.8 months) than other types of SDR teams, meaning that outbound

SDRs may have a significantly longer time at full productivity in their role than other SDRs.

Inbound teams were the opposite—they had the longest ramp time (6.4 months) and the

shortest average tenure (2.6 years).

2.6 years

3.0 years2.9 years

6.4 months3.8 months 4.0 months

0

1

2

3

Inbound Outbound Blended

Tim

e (Y

ear

s)

SDR Tenure by Team Type

Tenure

Ramp

Page 30: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

30

SDRS IN AN ACCOUNT-BASED MODEL HAVE A LONGER TENURE (BY TWO MONTHS) BUT

ALSO A LONGER RAMP TIME (BY TWO MONTHS)

Because the tenure (2.7 years) and ramp time (4.6 months) are both longer for account-

based SDRs than high-velocity SDRs (2.5-year tenure, 2.6-month ramp time), the time at

full productivity ends up being similar for the two sales models.

2.7 years2.5 years

4.6 months2.6 months

0

1

2

3

Account-Based High-Velocity

SDR Tenure by Sales Model

Page 31: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

31

PIPELINE

Sales development reps did an average of 93.8 daily activities including an average of 37.2

phone calls (39.7%), 36.2 emails (38.6%), 15.2 voicemail messages (15.2%), and 7.7 social

media touches (8.2%). These activities led to an average of 13.6 meaningful conversations

a day—14.5% conversation rate. These 13.6 conversations per day resulted in an average

of 22.5 appointments set per month—a 5.5% appointment rate. 73.2% of appointments

set become opportunities passed to account executives and the typical sales development

rep had 12.3 opportunities accepted per month--74.8% opportunity acceptance rate. Of

the opportunities accepted, 33.2% closed, which means that the average sales

development rep is responsible for about 12.3 deals per quarter.

From start to finish of the sales pipeline, it’s interesting to note that it takes roughly 458

activities on average to close 1 deal per quarter (assuming 60 work days per quarter). This

is an interesting benchmark for SDRs to see how the potential clients they’re pursuing are

moving through the pipeline.

Page 32: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

32

PHONE CALLS ARE THE MOST POPULAR ACTIVITY PERFORMED BY SALES DEVELOPMENT REPS

(37.2 PER DAY)

Using the phone is slightly more popular than using email (37.2 calls per day versus 36.3

emails per day). While email is used by 96.0% of SDRs, it only represents about a third

(37.6%) of SDR’s activities. 63.9% reported using social media for prospecting in their daily

routine, but it only represented 8.0% of daily activities.

Emails36.2

Calls37.2

Voicemails15.2

Social touches7.7

Total Daily Activities

Page 33: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

33

OUTBOUND TEAMS DID 61.7% MORE ACTIVITIES PER DAY THAN INBOUND TEAMS ON

AVERAGE

Outbound and blended teams had a similar number of activities per day (94.4 and 91.2

respectively). Inbound teams did much fewer prospecting activities each day. In fact,

outbound teams reported doing 61.7% more activities per day than inbound teams.

59.0

95.491.2

0

20

40

60

80

100

120

Inbound Outbound Blended

Nu

mb

er

of

acti

vit

ies

Total daily activities by Team Type

61.7%

Page 34: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

34

SDRS IN A HIGH-VELOCITY SALES MODEL TENDED TO DO 15.5% MORE ACTIVITIES THAN

THOSE IN AN ACCOUNT-BASED MODEL

High-velocity models are models where ‘quantity’ is very important while account-based

models pride themselves on focusing on ‘quality’. It’s not surprising that high-velocity

models produce 15.5% more activities per day than account-based models.

83.1

96.0

0

10

20

30

40

50

60

70

80

90

100

Account-Based High-Velocity

Nu

mb

er

of

acti

vit

ies

Total Daily Activities by Sales Model

15.5%

Page 35: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

35

INBOUND SDR TEAMS HAD 98.8% MORE CONVERSATIONS PER DAY ON AVERAGE THAN

OUTBOUND TEAMS

Outbound SDRs teams report doing 61.7% more activities than inbound teams but

inbound teams report having 98.8% more conversations than outbound teams. The higher

amount of time spent having conversations may also explain the lower numbers of overall

activities for inbound teams.

31.4

17.8

13.8

0

5

10

15

20

25

30

35

Inbound Outbound Blended

Nu

mb

er

of

con

vers

atio

ns

Total Daily Conversations by Team Type

98.8%

Page 36: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

36

SDRS WORKING SMALLER DEALS TEND TO HAVE 75.8% MORE CONVERSATIONS PER DAY

THAN THOSE WORKING LARGER DEALS

Smaller deals are more transactional in nature and have a shorter sales cycle. SDRs who

focus on smaller deals have 75.8% more conversations per day than those working larger

deals.

16.7

9.5

0

2

4

6

8

10

12

14

16

18

Smaller Deal Sizes Larger Deal Sizes

Nu

mb

er

of

con

vers

atio

ns

Total Daily Conversations by Deal Type

75.8%

Page 37: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

37

BLENDED TEAMS SET THE HIGHEST NUMBER OF APPOINTMENTS PER MONTH, FOLLOWED

CLOSELY BY INBOUND TEAMS

Blended and inbound teams were able to set a higher number of appointments per month

than outbound teams. For comparison, blended teams set 61.0% more appointments on

average than outbound teams.

23.0

15.4

24.8

0

5

10

15

20

25

30

Inbound Outbound Blended

Nu

mb

er

of

app

oin

tmen

ts

Total Appointments Set per Month by Team Type

61.0%

Page 38: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

38

SDRS WORKING SMALLER DEALS SIZES TEND TO SET 75.1% MORE APPOINTMENTS PER

MONTH THAN THOSE WORKING LARGER DEALS

As smaller deals tend to be less complex and don’t require as high-level of decision

makers, SDRs are able to set appointments more easily than those who are focused on

larger deals.

29.6

16.9

0

5

10

15

20

25

30

35

Smaller Deal Sizes Larger Deal Sizes

Nu

mb

er

of

app

oin

tmen

ts

Total Appointments Set per Month by Deal Type

75.1%

Page 39: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

39

HIGH-VELOCITY SALES MODELS ALLOWED SDRS TO SET 14.8% MORE APPOINTMENTS

EACH MONTH THAN THOSE WORKING IN AN ACCOUNT-BASED SALES MODEL

As account-based sales tends to target more decision makers per account, appointments

are more difficult to set than for SDRs in a high-velocity model.

27.0

31.0

0

5

10

15

20

25

30

35

Account-Based High-Velocity

Nu

mb

er

of

app

oin

tmen

ts

Total Appointments Set per Month by Sales Model

14.8%

Page 40: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

40

APPOINTMENTS HELD

19.2

12.9

20.5

0

5

10

15

20

25

Inbound Outbound Blended

Nu

mb

er

of

app

oin

tmen

ts

Total Appointments Held per Month by Team Type

%

Page 41: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

41

Deal type: T: 23.9, R: 14.3

23.9

14.3

0

5

10

15

20

25

30

Smaller Deal Sizes Larger Deal Sizes

Nu

mb

er

of

app

oin

tmen

ts

Total Appointments Held per Month by Team Type

%

Page 42: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

42

Sales model: AB: 18.6, HV: 26.8

18.6

26.8

0

5

10

15

20

25

30

Account-Based High-Velocity

Nu

mb

er

of

app

oin

tmen

ts

Total Appointments Held per Month by Team Type

%

Page 43: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

43

BLENDED TEAMS HAVE THE HIGHEST APPOINTMENT HELD PERCENTAGE (77.9%)

While inbound SDRs were able to do more activities per day and have more

conversations, they had a lower appointment held percentage in comparison with other

teams. Blended teams (77.9%) had a 13.1% higher hold rate than inbound teams (68.9%).

68.9%73.7%

77.9%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Inbound Outbound Blended

Appointment Hold Rate by Team Type

Page 44: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

44

SDRS WHO WORK LARGER DEALS HAVE 6.8% HIGHER HOLD RATES THAN SDRS WHO

WORK SMALLER DEALS

The hold rate between SDRs who work small and large deals is minimal. SDRs who focus

on larger deals have hold rates that are 6.8% higher than SDRs who focus on smaller

deals.

76.2%81.4%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Smaller Deal Sizes Larger Deal Sizes

Appointment Hold Rate by Deal Type

6.8%

Page 45: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

45

OPPORTUNITIES PASSED

INBOUND AND BLENDED SDR TEAMS PASSED ABOUT 75% MORE OPPORTUNITIES PER

MONTH THAN OUTBOUND SDR TEAMS

Having SDRs performing an inbound motion—whether or not it’s their only focus—tends

to yield more opportunities being passed to AEs.

17.7

10.1

17.5

0

5

10

15

20

Inbound Outbound Blended

Nu

mb

er

of

op

po

rtu

nit

ies

Total Opportunities Passed per Month by Team Type

75.2% 73.3%

Page 46: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

46

SDRS WHO SELL SMALLER DEALS TEND TO PASS 34.3% MORE OPPORTUNITIES THAN THOSE

WHO SELL LARGER DEALS

Smaller deals tend to move more easily through the pipeline as they’re simpler deals with

shorter sales cycles. This difference in complexity led to a 34.3% difference in number of

opportunities passed per month.

18.8

14.0

0

5

10

15

20

Smaller Deal Sizes Larger Deal Sizes

Nu

mb

er

of

op

po

rtu

nit

ies

Total Opportunities Passed per Month by Deal Type

34.3%

Page 47: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

47

IN HIGH-VELOCITY SALES MODELS, SDRS PASS MORE THAN DOUBLE THE NUMBER OF

OPPORTUNITIES THAN THOSE IN ACCOUNT-BASED SALES

High-velocity SDRs pass 119.0% more opportunities to AEs than account-based SDRs on

average each month.

11.6

25.4

0.0

5.0

10.0

15.0

20.0

25.0

30.0

Account-Based High-Velocity

Nu

mb

er

of

op

po

rtu

nit

ies

Total Opportunities Passed per Month by Sales Model

119.0%

Page 48: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

48

AES ACCEPT 50.5% MORE OPPORTUNITIES FROM INBOUND TEAMS THAN FROM

OUTBOUND TEAMS

Inbound teams had an average of 50.5% more opportunities accepted by AEs. Blended

teams were in between inbound and outbound teams in their number of opportunities

accepted.

14.3

9.5

12.7

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

Inbound Outbound Blended

Nu

mb

er

of

op

po

rtu

nit

ies

Total Opportunities Accepted per Month by Team Type

50.5%

Page 49: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

49

COMPANIES WITH SMALLER DEALS TEND TO HAVE 71.6% MORE OPPORTUNITIES ACCEPTED

BY AES

As deals get larger, there are more moving parts with more decision makers, and it’s easier

for them to fall out of the pipeline at the handoff between SDRs and AEs. SDRs with

smaller deal sizes reported having 16.3 opportunities accepted per month while those

with larger deal sizes reported only having 9.5 accepted each month.

16.3

9.5

0

5

10

15

20

Smaller Deal Sizes Larger Deal Sizes

Nu

mb

er

of

op

po

rtu

nit

ies

Total Opportunities Accepted per Month by Deal Type

71.6%

Page 50: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

50

SDRS WORKING IN A HIGH-VELOCITY MODEL HAD 61.7% MORE OPPORTUNITIES ACCEPTED

THAN THOSE IN AN ACCOUNT-BASED MODEL

SDRs focus on simpler accounts in high-velocity sales models and a higher number of

deals move through the pipeline. 61.7% more opportunities were accepted by AEs in

high-velocity models than in account-based models.

11.5

18.6

0

5

10

15

20

Account-Based High-Velocity

Nu

mb

er

of

op

po

rtu

nit

ies

Total Opportunities Accepted per Month by Deal Type

61.7%

Page 51: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

51

BLENDED TEAMS REPORT HAVING 28.6% BETTER OPPORTUNITY ACCEPTED RATES THAN

INBOUND TEAMS

Blended teams had 83.6% of opportunities passed be accepted by account executives

compared with inbound SDRs that averaged only a 65.0% opportunity acceptance rate.

This is 28.6% better acceptance rate for blended teams compared to inbound teams.

65.0%

74.5%

83.6%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Inbound Outbound Blended

Opportunity Acceptance Rate by Team Type

28.6%

Page 52: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

52

OPPORTUNITIES WERE 7.3% MORE LIKELY TO BE ACCEPTED FROM SDRS WHEN DEAL SIZES

ARE SMALLER

Deal size had a minimal effect on opportunity acceptance rates. SDRs who work on

smaller deals have a slightly higher acceptance rate than SDRs who worked on larger deals

(7.3%).

84.1%78.4%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Smaller Deal Sizes Larger Deal Sizes

Opportunity Acceptance Rate by Deal Type

7.3%

Page 53: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

53

OPPORTUNITIES SOURCED FROM OUTBOUND TEAMS WERE 91.2% MORE LIKELY TO CLOSE

AS THOSE FROM INBOUND TEAMS

The average close rate overall was 29.3%. Outbound team’s opportunities close 91.2%

higher rate than inbound teams.

17.0%

32.5%

21.5%

0%

5%

10%

15%

20%

25%

30%

35%

Inbound Outbound Blended

Close Rate by Team Type

91.2%

Page 54: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

54

HIGH-VELOCITY SALES TEAMS TENDED TO HAVE A 5.1% HIGHER CLOSE RATE THAN THOSE

THAT WERE ACCOUNT-BASED

The close rates weren’t dramatically different by sales model, but it’s interesting to note

that high-velocity sales models yielded a slightly higher close rate (5.1%).

27.4%28.8%

0%

5%

10%

15%

20%

25%

30%

Account-Based High-Velocity

Close Rate by Sales Model

5.1%

Page 55: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

55

SALES DEVELOPMENT PROCESS

IDENTIFY

HIGH-VELOCITY SDRS HAD 68.9% MORE ACCOUNTS AT A TIME ON AVERAGE THAN

ACCOUNT-BASED SDRS

Overall, the average number of accounts an SDR works was 74.2. SDRs working in an

account-based system tend to have much fewer accounts at a time (63.5) in comparison

with high-velocity SDRs (107.3).

63.5

107.3

0

20

40

60

80

100

120

Account-Based High-Velocity

Nu

mb

er

of

acco

un

ts

Accounts per SDR by Sales Model

68.9%

Page 56: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

56

NEARLY A QUARTER OF ACCOUNTS THAT SDRS WORK (22.8%) HAVE 7 OR MORE

CONTACTS

The average account had 4.0 decision makers1 with a mode of 3 decision makers per

account. Over half of respondents (53.7%) reported working accounts with 3 decision

makers or less.

1 This is a trimmed mean, counting anyone who selected “7 or more” as 7

9.3%

17.9%

26.5%

10.6%12.3%

0.7%

22.8%

0%

5%

10%

15%

20%

25%

30%

1 2 3 4 5 6 7 or more

% o

f re

spo

nd

en

ts

Number of Contacts

Number of Decision Makers Per Account

Page 57: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

57

WHEN DEALS ARE LARGER, THE NUMBER OF DECISION MAKERS IS 13.1% HIGHER

While not drastically different, it’s interesting to note that when SDRs are working larger

deals, they tend to need to work with more decision makers than those who work smaller

deals (13.1%).

3.8

4.3

0

1

2

3

4

5

Smaller Deal Sizes Larger Deal Sizes

Nu

mb

er

of

con

tact

s

Contacts per Account by Deal Type

13.1%

Page 58: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

58

64.0% OF RESPONDENTS SAW LINKEDIN AS AN EFFECTIVE WAY TO RESEARCH TARGET

COMPANIES

SDRs saw LinkedIn as a research tool more than anything else (64%). Research and direct

communication like InMail were seen as more effective than traditional “social” features

like commenting and sharing posts.

64.0%

50.8%

41.4%

34.3%

19.2%

8.1%

1.0%0%

10%

20%

30%

40%

50%

60%

70%

Research ontarget

companiesand contacts

SendingLinkedInInMail

Sharingrelevant

content withnetwork

Creating andpostingrelevantcontent

Commentingon prospects'

posts

Likingprospects'

social posts

Recording andposting video

% o

f re

spo

nd

en

ts

Most Effective LinkedIn Activities

Page 59: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

59

OUTBOUND SDRS SPEND 32.1% MORE TIME ON RESEARCH PER ACCOUNT THAN INBOUND

TEAMS

Researching a company before reaching out is important. Inbound SDRs spend an average

of 4.2 fewer minutes than outbound SDRs researching before calling.

13.1

17.3 16.8

0

2

4

6

8

10

12

14

16

18

20

Inbound Outbound Blended

Tim

e (m

inu

tes)

Account Research Time by Team

Page 60: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

60

SDRS WORKING LARGER DEALS SPEND 27.6% MORE TIME PREPARING THAN THOSE

FOCUSED ON SMALLER DEALS.

The larger potential size of the deals justified more SDR time spent doing research, so the

higher research time makes sense.

13.4

17.1

0

2

4

6

8

10

12

14

16

18

Smaller Deal Sizes Larger Deal Sizes

Tim

e (m

inu

tes)

Account Research Time by Deal Type

27.6%

Page 61: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

61

A COMPANY’S SALES MODEL MADE THE BIGGEST DIFFERENCE ON ACCOUNT RESEARCH

TIME. ACCOUNT-BASED MODELS SPENT MORE THAN DOUBLE THAN HIGH VELOCITY

As companies with account-based sales models tend to have more decision makers

involved in each deal, more research is warranted. On average SDRs in account-based

models spend 130% more time preparing for a call than high velocity.

18.4

8.0

0

2

4

6

8

10

12

14

16

18

20

Account-Based High-Velocity

Tim

e (m

inu

tes)

Account Research Time by Sales Model

10 minutes,24 seconds

Page 62: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

62

CONTACT

THE AVERAGE REPORTED CADENCE OF AN SDR IS 15.4 ATTEMPTS PER CONTACT, AND IS

DOMINATED BY PHONE CALLS AND EMAILS

SDRs reported that, on average, their cadences included 15.4 attempts over an average of

29.3 days, so the average spacing between each attempt was 1.9 days.

On average, SDRs made 4.7 calls, sent 4.6 emails, left 2.9 voicemails, made 1.8 social

touches, sent 0.8 mailers, and 0.7 text messages.

Dials30.3%

Emails29.7%

Voicemails18.7%Social Touches

11.6%

Mailers5.2%

Text Messages4.5%

Breakdown of Cadence Media

Page 63: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

63

SDRS ON BLENDED TEAMS WERE THE MOST PERSISTENT IN THEIR CADENCES WITH 15.7

ATTEMPTS

Teams that exclusively worked inbound leads tended to only make 10.7 attempts to

contact each lead (46.7% less).

10.7

14.815.7

0

2

4

6

8

10

12

14

16

18

Inbound Outbound' Blended

Nu

mb

er

of

atte

mp

ts

Average Attempts in Cadence by Team

46.7%

Page 64: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

64

SDRS WORKING LARGER DEALS TENDED TO BE 14.9% MORE PERSISTENT IN THEIR SALES

CADENCE THAN THOSE WORKING SMALLER DEALS

Deal size makes a difference in how much effort an SDR is willing to put into contacting a

lead. SDRs with bigger deals tended to make 16.9 attempts while those with smaller deals

only made 14.7 attempts.

14.7

16.9

0

2

4

6

8

10

12

14

16

18

Small Deal Sizes Large Deal Sizes

Nu

mb

er

of

atte

mp

ts

Average Attempts in Cadence by Deal Type

14.9%

Page 65: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

65

SDR TEAMS THAT EMPLOY AN ACCOUNT-BASED SALES MODEL MAKE 12.4% MORE

CONTACT ATTEMPTS PER LEAD THAN THOSE WHO USE A HIGH-VELOCITY MODEL.

Account-based SDRs team makes 12.4 more attempts than high-velocity sales teams. This

lines up with the similar trend that larger deals merited more attempts than smaller deals.

The increased number of contacts being targeted in each account in an account-based

sales model makes reaching the right decision makers even more important.

16.3

14.5

0

2

4

6

8

10

12

14

16

18

Account-Based High-Velocity

Nu

mb

er

of

atte

mp

ts

Average Attempts in Cadence by Sales Model

12.4%

Page 66: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

66

SDRS TEND TO CONTINUE ATTEMPTING TO REACH A CONTACT 5.4 DAYS LONGER (20.2%)

FOR LARGER DEALS THAN FOR SMALLER DEALS.

While the average cadence duration was 29.3 days, it was a few days longer for larger

deals and a few days shorter for smaller deals. The difference in cadence duration

between larger and smaller deals was 20.2%.

26.7

32.1

0

5

10

15

20

25

30

35

Smaller Deal Sizes Larger Deal Sizes

Du

rati

on

(d

ays)

Cadence Duration by Deal Type

20.2%

Page 67: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

67

ACCOUNT-BASED SALES TEAMS TEND TO PURSUE CONTACTS FOR AN AVERAGE OF 10.2

DAYS LONGER (46.6%) THAN HIGH-VELOCITY SALES TEAMS

Along with being more persistent in number of attempts to make contact with potential

clients, account-based sales teams tended to also be more patient and spend 10 days

longer trying to get in contact than high-velocity teams.

32.1

21.9

0

5

10

15

20

25

30

35

Account-Based High-Velocity

Du

rati

on

(d

ays)

Cadence Duration by Sales Model

46.6%

Page 68: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

68

QUALIFY

BANT IS THE MOST COMMONLY USED QUALIFICATION MODEL USED BY SDRS, FOLLOWED

CLOSELY BY AN

BANT (Budget, Authority, Need, Timing) is the most traditional qualification model and still

reigns, but ANUM (Authority, Need, Urgency, Money) and its abbreviated form, AN

(Authority, Need) have become popular.

16.1% indicated that they used a qualification model not included in the survey. A

majority were variations of BANT and ANUM such as BANT-PEC (Partner, Environment,

Competition) and ANU. MEDDIC (Metrics, Economic buyer, Decision criteria, Decision

process, Identify pain, Champion) and similar models were also common responses.

BANT29.6%

AN22.7%

No qualification model21.8%

Other qualification model16.1%

ANUM9.8%

Qualification Model

Page 69: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

69

SDRS WITH SMALLER DEAL SIZES WERE LESS LIKELY TO HAVE AN ESTABLISHED MODEL FOR

QUALIFYING LEADS

24.1% of SDRs in companies with smaller deal sizes don’t have a qualification model while

only 15.7% of SDRs in companies with larger deal sizes reported not using one. BANT was

the most common model for both large and small companies, but had 36.5% higher

adoption in large companies. Adoption for the other qualification models were roughly the

same between small and large deal sizes.

BANT25.5%

AN23.4%

No qualification model24.1%

Other qualification model17.2%

ANUM9.7%

Smaller Deal Sizes

BANT34.8%

AN22.5%

No qualification model15.7%

Other qualification model16.9%

ANUM10.1%

Larger Deal Sizes

Page 70: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

70

PASS

78.3% OF SDRS MEET WITH AES AT LEAST ONCE A WEEK

Nearly 80% of companies (78.3%) of respondents reported that SDRs in their sales

organization meet and coordinate with account executives at least once a week.

17.9%

28.3%

32.1%

6.6% 7.6% 7.6%

0%

5%

10%

15%

20%

25%

30%

35%

Daily 2-3 times a week Once a week Every otherweek

Once a month Never

% o

f re

spo

nd

en

ts

How Often SDRs Meet with AEs

Page 71: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

71

COMPANIES WHOSE SDRS MEET WITH AES DAILY HAVE HIGHER APPOINTMENT HOLD

RATES, OPPORTUNITY ACCEPTANCE RATES, AND QUOTA ATTAINMENT THAN THOSE WHO

DON’T MEET AS OFTEN

Naturally, better coordination between SDRs and AEs tended to show higher rates of

appointments holding and opportunities successfully passing. Appointment hold rate for

SDRs and AEs who meet daily is 17.7% higher than for those who only meet once a week.

More importantly, quota attainment is 7.2% higher for those companies with daily

communication between SDRs and AEs.

73.0%

77.9%

72.2%

79.8%82.7%

70.3%

85.9%

92.2%

77.4%

50%

55%

60%

65%

70%

75%

80%

85%

90%

95%

100%

Appointment Hold Rate Opportunity Accept Rate Quota Attainment

Success Rates by Meeting with AEs

Once a week 2-3 times a week Daily

17.7%7.2%

Page 72: No part of this publication may be reproduced, …...5 PIPELINE To understand and provide benchmarking capabilities, companies reported sales pipeline numbers. Sales development reps

72

ABOUT THE RESEARCH TEAM

KEN KROGUE

Ken Krogue founded InsideSales.com with Dave Elkington in 2004. Ken has been

intimately involved in the research performed by InsideSales.com since the first landmark

speed-to-response study done with Dr. James Oldroyd while at MIT in 2007 and with

Harvard Business Review in 2011. Ken is a prominent thought leader in the inside sales

space and second ranking person nationally in social selling strategies. Ken had been out

of the research role for over a year with health concerns due to an automobile accident,

but prior to that was a weekly columnist for Forbes.com and an international speaker. Ken

attended the United States Naval Academy and holds a Bachelors of Science degree in

Psychology from the University of Utah. Ken has two new books due out.

GABE LARSEN

Gabe joined InsideSales.com with over 15 years of experience in revenue generation,

from helping financial clients price and trade complex derivatives at Goldman Sachs to

helping multinational organizations penetrate new markets at Accenture and Gallup. Gabe

co-hosts the award-winning Playmakers podcast and acts as Vice President of InsideSales

Labs, where his expertise and research have helped more than 200 clients solve their

biggest problems in the sales acceleration space.

BRYAN PARRY

Bryan Parry joined InsideSales in January 2016 as a Research Analyst. In this role, he is

responsible for performing analysis to discover insights related to sales acceleration and

the sales industry in general in order to support InsideSales’s position of innovation. Bryan

graduated with a bachelor of science in statistics from Brigham Young University.