The document discusses 7 data-driven sales development trends based on a presentation given at the #Rainmaker2015 conference. The trends discussed include: 1) Looser definitions of sales-qualified leads beyond the traditional BANT criteria; 2) Increased specialization of sales development roles; 3) Maintaining tight ratios of sales development representatives to sales reps; 4) High turnover rates among sales development representatives; 5) Use of multi-channel, multi-touch engagement patterns; 6) Growing importance of LinkedIn in the sales process; and 7) Increased automation in sales development technology and processes. The presentation provides data on current practices among high-growth companies and recommendations for addressing the trends.

1. 7 Data-Driven Sales
Development Trends
(and what to do about them)
Craig Rosenberg
@funnelholic
#Rainmaker2015

2. Craig Rosenberg
Chief Analyst and Co-Founder
TOPO
#Rainmaker2015

3. Sales Development is Old School
Sales Development has been
one of the key strategic
levers for high-growth
companies for longer than
we think.
#Rainmaker2015

4. Sales Development is Table Stakes
Now, every fast-growing
company has a Sales
Development team…which
brings us here today.
#Rainmaker2015

5. 7 Data-Driven Sales Dev. Trends
#Rainmaker2015
1. The State of BANT
2. The Rise of Specialization
3. Tight SDR Ratios
4. SDR Tenure
5. The Touch Pattern
6. The LinkedIn Touch
7. Technology
DEMOGRAPHIC
DATA
Growth
Rate
63%
Total
Revenue
$11.7B
Average
Revenue
<$10M
–
40.9%
$10M-­‐$100M
–
45.5%
>$100M
–
13.6%

6. The Bear Market on BANT
73% of high-growth
companies have looser SQL
definitions. Many companies
moved from BANT to
alternate definitions in
2014.
#Rainmaker2015
27.0%
35.1%
37.9%
BANT
ANUM
AN
COMMON
SQL
DEFINITIONS

7. Target Market Defines Your SQL
• Identify your ICP
• Understand how they
buy
• Build a definition that
supports this market
#Rainmaker2015
Model
Key
Dynamics
BANT
• Large
number
of
buyers
• High
volume
inbound
traffic
• Short
sales
cycles
• Mature
market
• Project-­‐centric
buying
process
ANUM
• High
ASP/LTV
• Dependent
on
outbound
• Longer
buying
cycles
• New
markets
• Narrow
target
markets
• Entry-­‐level
product
available
AN
• High
ASP/LTV
• Dependent
on
outbound
• Longer
buying
cycles
• New
markets
• Narrow
target
markets
• Entry-­‐level
product
available

8. Specialization is the New Black
60% of companies have
created specialized roles
to handle inbound versus
outbound.
#Rainmaker2015
41.3%
58.7%
Hybrid
Specialized
COMPOSITION
OF
SDR
ROLES

9. Key Considerations for Specialization
• MQL volume – 200+
• Differentiated buyers
(vertical, buyer type)
• Differentiated products
• Company size
#Rainmaker2015

10. Tight SDR-Sales Ratio = High Growth
#Rainmaker2015
50.0%
23.5%
17.6%
3.0%
5.9%
1
to
1
1
to
2
1
to
3
1
to
4-­‐5
1
to
6+
SDR
–
SALES
RATIO
UNDER
$25MM
Average:
1
to
1
50% of companies under
$25MM have a 1 to 1 ratio
of SDRs to Sales reps.
Over $25MM, the ratio is 1
to 4.4.

11. Building a Big SDR Team
• Systematic hiring
strategy
• Scalable hiring profile
• Rigorous onboarding
#Rainmaker2015

12. You Get SDRs for a Cup of Coffee
SDRs are only in the
seat for a little over a
year.
#Rainmaker2015
3.6%
40.0%
41.8%
14.6%
6
months
or
below
7-­‐12
months
13-­‐18
months
19+
months
AVERAGE
SDR
TENURE
Average:
14.2
months

13. Managing the SDR Lifecycle
• SDRs ramp = 1 month.
• Put SDRs on PIP after one
month of underperformance.
• Create certifications for
growth (e.g. sales)
#Rainmaker2015

14. The Numbers Game is Still in Vogue
The key factors driving high
touch numbers are
technology, process, training,
and management.
#Rainmaker2015
112.5
94.5
63
47.5
30.4
Total
Meaningful
Emails
Dials
Voicemails
AVERAGE
DAILY
TOUCHES
PER
SDR

15. The Multi-Channel Touch Pattern
• Develop a multi-channel,
multi-touch pattern
• Manage process with a
cadence management
solution
• Optimize over time
#Rainmaker2015
Touch
Day
Step
0
1
Research
1,
2
1
Triple
Touch
3
1
War
Dial
4,
5
2
Double
Touch
6,
7
2
War
Dial
8,
9
4
Double
Touch
10,
11
7
Double
Touch
12,
13
10
Hail
Mary
Ongoing
Ongoing
Nurture

16. The LinkedIn Touch is Here to Stay
LinkedIn has risen from a
social media site to a
critical channel in Sales
Development efforts.
#Rainmaker2015
50%
37.5%
5.6%
2.8%
2.8%
1.4%
Email,
Dial,
Voicemail,
LinkedIn
Email,
Dial,
Voicemail
Email,
Dial
Voicemail,
All
Social
Email,
Dial
Voicemail,
LinkedIn,
Chat
Email
Dial,
Voicemail
TYPES
OF
TOUCHES
USED
TOGETHER

17. LinkedIn in the Touch Pattern
• Don’t send invitations to
connect
• InMail or Messages w/
email and voice
• Like or comment on content
#Rainmaker2015

18. Quick Calls = More Pipeline
20% of companies with
looser SQL definitions
complete calls in 5
minutes or fewer.
#Rainmaker2015
16.1%
21%
32.3%
14.5%
16.1%
0-­‐5
minutes
6-­‐10
minutes
11-­‐15
minutes
16-­‐20
minutes
20+
minutes
LIVE
CALL
LENGTH
(%
OF
COMPANIES)

19. Keys to the 5 Minute Call
• Tight list alignment with your
ICP
• 30 second and 2 sentence
value props
• Turn objections into closes
#Rainmaker2015

20. The Rise of the Machines
The top Sales
Development teams
are typically the most
automated.
#Rainmaker2015
Technology
Level
1
CRM
Sales
Intelligence
Cadence
Management
Sales
Email
Tool
Data
Tools/Services
Level
2
Auto-­‐Dialer
Level
3
Prediccve
Analyccs
Gamificacon

21. Thank You!
#Rainmaker2015