Want Stronger AEs? Start by Rethinking Your SDR Strategy
Yesterday, I learned that Vanta is hiring dozens of SDRs across multiple locations.
This caught my attention because there has been much recent conversation about replacing the SDR role with AI and automation.
Yet, one of today's leading software companies is investing heavily in human SDRs.
I'm incredibly excited because my old friend and former LinkedIn colleague, Clement, now works there as a sales manager.
I'm rooting for him and the entire Vanta team. 😍
But Vanta isn't alone.
Multiple companies across our Inscaler clients are actively hiring SDRs.
This tells me something important: despite all the talk about AI taking over, businesses still value SDRs.
SDRs Are Seen as a Cost, Not an Investment
One key challenge is that many companies treat SDRs as pure expenses.
Because AEs have clear revenue targets, they're seen as revenue generators.
On the other hand, SDRs set meetings, some of which convert into revenue, ideally at a 30%+ rate.
However, the math can look scary when you factor SDR salaries into Customer Acquisition Costs (CAC).
Many SDRs view the role as a short-term stepping stone. They often do it for a year, hoping to move to a more closing role, such as an AE or an Account Manager.
SDRs leave just as they start to get good.
Founders often get nervous considering this aspect.
Redefine SDRs as Future AEs
Instead of seeing SDRs as a cost, we should treat them as a training ground for our next generation of AEs and AMs.
SDRs should fill our sales talent pool.
Think about it:
SDRs learn the company's product inside and out.
They develop resilience from handling daily rejections.
They build critical sales skills from day one.
Why wouldn't we invest in their growth, give them a clear path forward, and turn them into top performers?
Retain and Develop SDRs
Imagine you have an ambitious SDR named Maria.
On day one, you sit down together and map out a 12 to 16-month career path that shows precisely how to move from SDR to AE if performance meets specific goals.
Here's what that plan could include:
✅ Structured Coaching: Regular 1:1 sessions with managers and mentors.
✅ Role-Play Scenarios: Hands-on practice to improve sales conversations.
✅ Clear Performance Metrics: Defined goals tied to promotions.
✅ Ongoing Feedback: Continuous guidance, weekly 1:1's, to help them in their professional life but help them also grow personally.
Maria is now set for success and will manage her daily job, including her rejections, much better. Trust me on this.
Hiring Right
Another critical piece is the hiring process.
Some companies rush through SDR recruitment because it's considered a junior role, but that's a big mistake.
An intense hiring process should include:
🔹 A well-defined compensation structure.
🔹 A clear list of A-player skills we are hiring for.
🔹 A structured interview process.
🔹 A robust onboarding program.
One of the hiring structures we have built and executed with one of our clients
Invest in SDRs, Build Future Sales Leaders
I'm delighted to see SDR roles making a comeback.
This means that companies are investing in people rather than blindly chasing automation. But simply hiring SDRs isn't enough.
If we rethink how we train, develop, and retain SDRs, they will no longer be another cost centre but a robust talent pool for all sales roles within our company.
Thanks for reading this far. I will see you all next week.