Want to find out if you have enough (or too many) SDRs on your team?
Our free SDR Calculator if you need more sales development representatives and what your inbound to outbound SDR ratio should be.
And it’s all based on your company’s unique situation.
First, we multiply your monthly deal goal by your meeting to deal win rate. That gets the *magic* number of meetings or opportunities your sales development team needs to generate each month.
Then, considering your target tier and industry, we know how many meetings on average each type of SDR can close per month (between 8 and 25 meetings).
Then we determine outbound vs. inbound SDR distribution by estimating how many inbound requests you’ll receive monthly, based on your product category’s maturity.
Finally, depending on the recommended distribution of your team, we divide your *magic* number of monthly opportunities by the average amount of meetings generated by SDRs for your target tier and industry.
That gets the total number of SDRs.
The rule of thumb is – the less mature the market is, the more you have to rely on outbound.
To put it in perspective, lots of people are already searching for sales engagement platforms. But they might not be looking for a blockchain platform that eliminates counterfeits, yet.
How familiar your target buyers are with your product influences how much inbound traffic you can count on.
In turn, market maturity affects the ideal size and organization of your sales development team.
Outbound SDRs are responsible for cold calling and emailing prospects that haven’t opted-in or submitted their information directly to your company.
In our SDR calculator, we also classify outbound SDRs as responsible for contacting leads that have registered for a top of the funnel content piece. For example, downloading an ebook or signing up for a webinar.
We define inbound SDRs as responsible for qualifying leads and accounts that have directly requested a demo with your company through a chatbot or demo landing page.
Although their job functions are slightly different, both types of SDRs have the hefty goal of converting their prospects into qualified meetings.
Setting monthly goals for your SDR team depends on the number of deals you need to close each month to reach revenue targets.
Our SDR calculator bases the average amount of opportunities generated per SDR on inbound or outbound function, target tier, and industry.
For example, an outbound sales development rep targeting SMB SaaS should be producing between 17 and 22 opportunities per month.
Yep! Once we know how many deals you need to close each month, we can determine the optimal SDR to AE ratio. We’ll send you that info in your personalized Sales Success Formula report if you decide to opt-in.
The average SDR:AE ratio as cited by the Sales Development Benchmark Report is as follows:
Once you know your ideal SDR team size, it’s much easier to set realistic goals for your reps. Figuring out the ideal amount of leads or accounts each rep should handle is near impossible if you don’t have enough (or too many) reps on your team.
Finally, the additional PDF report breaks down appropriate SDR activity benchmarks based on your target tier, deal win rate, and revenue goals.
Check out other useful B2B sales content here.