Salesforce on Salesforce: Sales Development

Leah Muller, VP Sales Development

Our Organization

~20%1,000$2B+

Sales Development Global Value

Global pipeline last fiscal year People Globally of total pipeline

Values in Sales Development

Hire the Right People

Ramp Reps Faster

Retain and Promote

Top Talent

Align Teams with V2MOM and KPIs

Sales Development Roles

Sales Development Representative (SDR)

Business Development Representative (BDR)

Inbound Leads

Qualifies Opportunities

Face of Salesforce

Training ground for future BDRs

Outbound Prospecting

Aligned with Account Executives

Generate net-new & x-sell Opportunities

Training ground for future AEs

Salesforce Specialized Sales Development Model

Sales Development

Account ExecutivesBy Segment

Inbound Leads

Qualified Opportunities

Closed Deals

BDRs: Outbound

SDRs: Inbound

Customer Success

Mapping Inside Sales to AE Segmentation

Motivation in Sales Development: Career Path

Incentives

Compensation

CareerBDA

3-6 months

SDR10-12

months

BDR12-14 months

AE SMB24-36

months

AE CMRCL36-48

months

AEENTR

48+ months

Sales Dev Academy

Spiffs and Contests:

• High Energy and Results

• Change Behavior on Process or Product

• Current Sales Programs

Compensation:

• SDR: 75% fixed / 25% commission

• BDR: 65% fixed / 35% commission

• Commission based on sourced ACV

Sales Development Academy:

SDRThe Lead Process

An SDR’s Day - By the Numbers

30+ Inbound Leads

~15Workable

Leads

65+Calls 4

Opportunities created

Value drivers and design fundamentals the SDR machine

1. “The Fundamental Theorem of SDR speed” + Cadence

2. Generalist SDR model is better than a Specialist for SDR

3. “Uniform Accountability Model” for SDRs and Managers/Teams

4. SDR ACV is correlated to lead flow

Speed-to-LeadThe faster you call on a new lead, the higher your chance of connecting & flipping

1

Calling a lead back in < 30 mins give you a 25% higher chance of flipping it than if the call back was > 60 min

Speed-in-CadencePrioritizing leads that are still early in cadence maximizes your chance of a flip

2

• 70%+ of total opptys are flipped within the first 2 call attempts

• Attempts on calls 1, 2, 3 are 2-3x more likely to flip than attempts on call 4+, given higher call-to-connect and connect-to-flip rates earlier in cadence

Calls and Opptys by Call Attempt, FY18; excludes 1-800 & Chat

Speed-to-MeetingThe sooner the AE has their discovery call, the higher the win rates

3

Win rates are 2x higher when AE disco call happens within a day of initial SDR qual.

FY18 SDR flips by time until AE disco call*

Call + Email Call + Email Call + Email Call + Email Call + Email

SDR SLAs: Speed-to-Lead + Call CadenceSDRs are quick-to-call and “politely persistent”

Archive LeadDay 1 Day 3 Day 5 Day 12 Day 19

Marketing Nurture

First call: Target is 60 min average response team (can be as quick as 0 to 15 mins)

Form Completes (Contact Me,

demos, trials, etc.)

Marketing Automation:Routes leads based on ROE and

automates some deduping

SDRs work leads from 5 channels, subject to Rules of Engagement (ROE)Lead Routing Overview

1-800-NO-SOFTWARE & CHAT

ROE

SDR

BDRWebinars& Events

ROE

Work

Work

Stage 4 Stage 5Stage 3 Stage 6 Stage 7 Stage 8

Stage 1 Criteria (SDR creates) Stage 2 Criteria (AE to progress)

• Business need/interest• Compelling reason• Timeline

• Business need/interest• Mutual commitment for next step in the

evaluation after the intro call• Budget

SDR creates Stage 1 oppty in AE’s name(note: Stage 1 is omitted from sales forecast)

Stage 1 Stage 2

SDR opportunity creation and progression (acceptance) criteria

BDR: The Outbound Engine

An BDR’s Day/Month - By the Numbers

40-50+ Daily Cold

Calls140+

“Connects”15+

Meetings 7Opportunities

created

Outbound Prospecting Goals

Brand Evangelists

Hunt for New Logos

Coverage by Region/Segment

Pipe to Revenue (ACV)

#dreamjob

Maintain balance between quantity

and quality

Meeting

IdentifyAccounts

Volume of A

ctivities

Research &

AddContacts Call &

Email

Assess Needs Custom

Demo SolutionProposal Closing

AE Responsibilities:Stage 2 Opportunity to Close

Qualify

BDR Responsibilities:Prospect to Stage 1 Opportunity

5% 35% 60% 85% 100%

Value

How Far Does a BDR Take the Opportunity?

15%

KPIs & Scorecard

Activities, Meetings and Pipeline

Key Business Development Metrics

Dials

Expert Prospecting

45Calls/Day

8Connects/Day

15Meetings/Month

7Opptys/Month

Weekly 8Prospecting 101 training

(Managers 1st, then Reps)Manager call coaching

hours/Week

ACV Pipeline 160 ~15Mtgs/MonthConnects/Month

1RVP Territory Strategy

Session/Month

How do we measure?Governance and Accountability

Management & Coaching

Visibility Allows Leaders to Manage Effectively

Dashboards to Measure:

• AMP (Activity, Meetings, and Pipeline)

• Forecasting and Quota Attainment

• Spiffs and Contests

• Health of the Pipeline

• Trends in the Business

• Onboarding milestones for new hires

Have a Single Source of Truth

Track Activity + Drive Performance of RepsActivity drives pipeline acceleration

Activity Preparation and Time Management“If it’s not in Salesforce, it didn’t happen”

Prospect more intelligently and effectively by:

● knowing where you’ve been ● where you are in your cadence● when to call someone new in the Organization● when to follow up with an email

Manage Sales Follow Up

Collaboration on Salesforce

Coaching and Development

Collaboration and Best Practices

Operations and Process Documentation

Enablement/Tools We Leverage for Success

Sales Development Enablement

Weekly Enablement & Call Coaching

Sandler & BASHO Trailhead

“Better, better, never best”

How we decide which technology to useWork smarter not harder

BDR Tech Stack Step 1: Identifying Right Accounts

Handraiser Dashboard: Target customers and prospects that are actively engaging with marketing assets and showing buying intent.

AE Home: Salesforce Analytics helps segment customers/prospects by industry, product, sector and other criteria to help you prioritize within your territory

Account Intelligence: Account and prospect scores and insights. Using intent, and engagement info to highlight recent happenings on your accounts

Inside View: Gather business insights and relationships by aggregating contact data, online news, CRM data and social media.

BDR Tech StackStep 2: Engaging with Prospects

LinkedIn Navigator: Target the right buyers, increase engage with personalized outreach.

Swag IQ: Create personalized campaigns for top targets to receive Salesforce swag!

ZoomInfo: Create accurate and detailed contact lists to build targets campaigns to reach your best buyers.

Salesforce Inbox: Use templates and other efficiency tools to drive a tailored and high touch approach. Personalize your outreach to engage your buyers

Lightening Dialer: Streamline the sales process with automatic call logging, voicemail drop, and call lists you can power through to connect to your leads and contacts faster.

Lead to ACV Funnel: Expected Conversion RatesAMER SDR horse; per one ACV transaction

41%

28%

65%35%

SDR Design Fundamentals

Fixed(75%)

Variable(25%)

50% SDR’s Individual ACV

OTE

50% SDR Nation ACV

SDR Comp. Plan

Fixed(65%)

Variable(35%)

30% BDR’s Individual ACV

OTE

70% BDR Nation ACV

BDR Comp. Plan: FY19 – 30% of TI is individual ACV, 70% team

The Fundamental Theorem of SDR SpeedFast, early, soon = max ACV

Speed-to-Lead:

• The faster you call on a new lead, the higher your chance of connecting & flipping

Speed-in-Cadence:

• Earlier in your call cadence, the higher the connect & stage 1 oppty rates

Speed-to-Meeting:

• The sooner the AE has their disco. call, the higher the win rates

1

2

3

Visibility Yields Effective Coaching + Results

ManagementVisibility Results

Increased Pipeline Higher Win RatesLower Discounts

More Cross-selling More Revenue

Activity Levels Pipeline Generation

ForecastsDeal StageNext Steps

PrioritiesCollaborationMethodology

QualityCourse Correct

4 Principles to Drive Pipeline

1. Data Quality 2. Qualification 3. Operational rigor 4. Team motivation

Marketing automation and lead assignments to

ensure CRM hygiene

Implementing a sales methodology to drive

pipeline velocity

Accountability at all stages of the funnel

Incentives and career planning that drives the

right behaviour

Management team to hire, retain & promote world class talent into Sales organisation

Close collaboration with Marketing, Sales Development & Sales

Existing Account

Work by

SDR

Yes

30d BDR touch anywhere

in heirarchy?

Pass to

BDR

Yes

NoOpen oppty in same LOB as

lead?

Yes

Convert into acct (pass to

AE)

No

Work by

SDRNo

SDR Rules of Engagement SummaryROE is mainly intended to protect recent (30d) BDR touch anywhere in company

STRAT, KEY Public Sector or

Quip?

Pass to

BDR

Yes

No

Lead Type BDR with Valid Touch

MC or Krux MC

Pardot

Prospects: Core

Customers: MC

Commerce Cloud Commerce Cloud

Core (i.e., all promo codes, excluding

those listed above)Core

All of the above Retail

All of the above Non-Profit

Can SDRs work the lead? Which BDR do we pass to?

SDRs are Generalists: Qualify for all products & BUs

Form Completes (Contact Me,

demos, trials, etc.)

1-800-NO-SOFTWARE & CHAT

Webinars& Events

AMER SDR(Fully Generalist)

ServiceCloud

CommerceCloud

Lightning AnalyticsHerokuEinstein

Salesforce Platform

MarketingCloud

CommunityCloud

SalesCloud

RetailHealthcare & Life

SciencesFinancial Services

Trailhead

Manu- facturing

Public SectorQuip

Quip SDRs

Public Sector SDRs

Canada

Call open (new) leads

Call their working

leads

Call archived

(old) leads

Outbound calling (very

limited)

How does an SDR prioritize their time?

ROI of SDR effort:Highest Lowest

Dead oppty revival

Operational Oversight& Accountability

Our Ultimate DeliverablesPipeline and Revenue

Value drivers and design fundamentals the BDR machine

1. The notion of evangelising The Art of the Possible using Salesforce

2. Vertical BDR model allows us to use the Customer Voice

3. AE Alignment model that is regionalized for strategic outreach

4. Heavily focused on importance of New Business to drive future growth

The Global Sales Development Organization

897

150 SDRs will follow up with 360,000+ Leads this year

Lead Channels SDRs Account Executives

Feeding the Funnel with Inbound Interest

Lead ConversionActivities/Conversion Rate

QualificationPipe Created/Avg. Oppty Size

Deal MaturityBump Rate/DNO Rate (Dead No Oppty)

BookingsTransaction Volume/Avg Deal Size

Close Rate/Product Mix/Sales Cycle Length

Lead VolumeValid Leads/Lead Mix

Generalist model has many advantages over specializing SDRsSpecialized SDRsE.g., dedicated product or industry-specific SDRs

Generalist modelI.e., SDRs qualify a broad set of lead types (products, industries, channels)

Specialized product or industry knowledge

Speed-to-leadPooled capacity of a large 140 person team ensures leads get called back ASAP

Resource and stakeholder alignment

Lead routing (1): Poor data quality prevents accurate routing Routing fields (i.e., employee counts, state, industry) on lead forms are user-generated; they are not very accurate and we cannot trust them for routing to specific SDR teams

Lead routing (2): A large share of specialist ACV comes from agnostic pages/sourcesA massive share of ACV for each vertical, product or BU comes from lead sources that are specialist-agnostic and aren’t tooled for specialist routing, like 1-800, Chat, Contact Me Form, generic Sales Cloud demos/trials, etc.; such lead flow won’t be routed to specialists

Cross-product attach/“Halo effect”When CRM leads come in, SDRs can inquire about secondary products (e.g., Pardot, MC)

Performance managementSpecialized SDRs/teams cannot be cleanly stack-ranked against the rest of SDR Nation because their businesses are nuanced, so productivity will likely be below their full potential

Simpler SDR operations creates many economies of scale which drives pipeline for all BUs

“Uniform Accountability Model” for SDRs and Managers/Teams

Previously, differing standards of performance

Having equal opportunity allows us to manage to equal expectations

Today, unambiguous standard for all reps & teams

No ACV quota in SDR comp plan All reps = $XXK per month

No ACV quota in Manager comp plan All managers/teams = $XXM annual

Many specialist teams (Core SDRs, Chat team, 1-800 team, Desk.com team, Pardot, MC, Service Cloud, and more…), making it difficult to compare

All SDRs/teams work all lead types

Difficult to load balance lead flow accurately with many specialist teams

All teams have exactly equal # of leads per HC

Teams would vary in size (9, 10, 11, 12 heads) All teams have exactly 10 HC

Unequal opportunity and ambiguous standard of performance; inability to stack rank or compare all teams

Equal opportunity, equal and unambiguous quota, equal standards of performance, allowing us to stack rank and performance manage effectively

During your RVP: BDR 1-1, pick a “play” to focus on and get help from Marketing through your BDR.

Great BDR Plays:• Industry• Role• AE • Target Accounts• High-Low• Competitive Campaign• Events (6 weeks advance notice)

Marketing can help with:• Assets: call down lists, direct mail, etc• Call to Actions: webinar, white paper,

ROI case studies• Enablement: product or role based

training & tools

Marketing + RVP Direction + BDR Execution = Success Pick a play with your BDR and get enabled by marketing!

Goal of the Meetings Model Activity > Meetings > Pipeline > ACV

Meeting

Goal: Get me in the door at the account! • No formal BDR Qualification call• Meeting is scheduled if:

• Title = functional leader (or higher)• Interest = willing to take a call• Meeting is confirmed by prospect

Target Accounts Research Prospect Qualification Call

(Meeting) Discovery Call Stage 2 Oppty

Pipe Progression ACV

AECBU RVP & BDR BDR BDR AE AEAE & BDR AE

AE & BDR BDREBU BDR AE & BDR AE AEBDR AE & BDR

Process: BDR to AE Hand Off

Cold Call

•BDR cold calls relevant titles in prospect accounts directed by RVP

Meeting Scheduled

•BDR schedules with AE, prospect + BDR

•Use BDR conference line

•BDR creates a Stage 1 Opp ($0 Products)

Reminder for Meeting

•BDR sends email to prospect (cc AE)

•BDR sends call preparation information to AE

Meeting(Qualification Call)

•AE & BDR attends

•BDR logs “Meeting” Activity Type

•If AE or BDR miss meeting, comments of task updated (Mgt tracks)

After meeting, Opportunity

updated

AE Not Qualified

Option 1: Nurture (BDR and/or AE)

Option 2: Dead out opportunity and move on to next account

AE QualifiedBDR logs notes

BDR Adds products

Changes Opp Owner to AE

AE updates the Opp (stage/products/etc) when needed

Meetings need to be followed up on: If AE no shows or reschedules multiple times,

SVP and AVP will be notified. Action will be taken if necessary.

Meeting Definition What do we want a “meeting” to look like?

Meeting

Goal: Qualified Meetings• BDR Qualification Call will happen; then BDR schedules meeting if:

• Title: functional leader (or higher)• Willing to evaluate and take a call• Meeting is confirmed by prospect

Lead SourceWeb traffic

Social MediaCampaigns

Trials

Lead ConversionConversion Rate

Cost per Lead

QualificationPipe Created

Avg. Deal SizeMeetings

Deal MaturitySales CycleCompetitionProduct(s)

ACVProductivity

Transaction VolumeClose RateProduct Mix

Apply Standard Metrics across the Sales Funnel

Keys to Success

Profile territory with propensity to buy data

Identify the right contacts

Hunting Execution

Targeted messaging with proven success stories