Sales Development Representatives have been crucial in bringing more business and increasing revenue creation due to their high level of expertise in bringing cold leads from the first point of contact to the moment they’re ready to be converted. A sales development representative is generally in charge of the initial phase of bringing in leads while account executives may focus on closing those deals.
The global business landscape is witnessing a profound shift towards specialization and outsourcing, a response to the increasing competition and heightened standards of work. Traditionally, Sales Development Representatives (SDRs) have been integral to business development, forging relationships with cold leads to drive growth. However, the current trend indicates a transition, as companies now favor engaging outbound agencies to convert these cold leads into potential business opportunities. This strategic change enables organizations to concentrate on their core competencies, enhancing their efficiency and productivity.
If done effectively, outsourcing your company’s lead generation may be quite successful in filling your sales funnel and improving turnover.
What will hiring an SDR look like?
Salary and Benefits
According to Glassdoor, an average SDR earns roughly $74,000 in salary and incentives. But that’s not the whole story. Companies pay far more than that. Other expenditures associated with anSDR employment include
An SDR might wind up costing your firm twice their compensation. That indicates that the average SDR might cost up to $150,000 each year.
On the other hand, an outbound agency can cost you the equivalent of $42,000 per YEAR for the entire outsourced program. That makes it a third of the cost of doing it in-house.
Costs of ramping and hiring
Nearly 75% of fast-growing businesses use SDRs with little more than a year of experience. Additionally, it takes a typical SDR three months to reach the full quota. Considering that the average SDR tenure is just 14.2 months, that doesn’t seem so awful. You’re putting in all that effort in anticipation of 11 months of quota-full sales. After that, you must be looking for a new hire to keep the sales process continuing.
With each new hire, you are guessing to add a new person to the company who may not fit into the culture. Additionally, a poor fit could result in a shorter stay.
On the contrary, it takes less than a month before the outsourced agency is ready to ramp up.
Expertise & Experience
The least preferred task for salespeople is outbounding. If an SDR is given any task that isn’t prospecting or outbounding, they will inevitably gravitate toward that task. On the contrary, an outbound agency specializes in prospecting and outbound calling. Their expertise for your outbound strategy comes through when combined with millions of data points to guide decisions and a set of patented technologies for pinpointing the ideal prospects at precisely the right moment.
