Sales Development Representatives (SDRs) have become integral to top-of-funnel sales cycle activities. These sales experts fill your pipeline with qualified leads, driving revenue and growth.
It makes sense why: Today’s market is highly competitive, and internal sales teams are stretched thin. Outsourced SDRs provide vital support, act as a seamless extension of your team, and take ownership of pipeline issues.
While SDRs are integral to pipeline excellence, decision-makers must prepare them for success. Part of this involves creating realistic sales goals.
This article will explain:
- Why SDR sales goals require a unique approach.
- The importance of goal parameters and data.
- How to balance ambition with reality.
Here’s everything you need to know about setting realistic (but effective) sales goals for outsourced SDRs.
Understand the Unique Dynamics of Outsourced SDR Teams
While outsourced SDRs are not part of your internal team, they should seamlessly function like one in many ways. However, the truth is that SDRs do operate in a unique space.
What are some of the unique considerations for outsourced SDRs? Firstly, they might require an initial “ramp-up” period to familiarize themselves with your product, messaging, and sales process.
Outsourced SDRs also need to adjust their strategy to meet your specific goals: Lead qualification, appointment setting, or pipeline generation. And while they should be subject matter experts in your industry, they’ll need to develop an understanding of your audience’s unique pain points and needs.
Set SMART (But Flexible) Sales Goals
The research is clear: Goal setting can positively impact employees and productivity, but these goals need to fit specific criteria. Using parameters for your sales goals, such as the SMART framework, can help.
Here’s what SMART goals stand for:
- Specific: Clearly define the objectives.
- Measurable: Set quantifiable benchmarks.
- Achievable: Ensure goals are realistic and aligned with reasonable expectations.
- Relevant: Goals should support broader sales and business objectives.
- Time-bound: Assign a specific timeframe for achieving the goals.
SMART goals are helpful for sales because they keep SDRs focused, motivated, and accountable. They also provide clear expectations while allowing leadership to track progress and make data-driven adjustments related to customer churn (unlike vague or arbitrary targets).
While SMART sales goals set a strong foundation, they should be approached flexibly and refined over time. Leaders should monitor and adjust goals based on campaign progress, feedback from SDRs and customers, performance data, and customer lifetime value.
Anchor Goals in Data, Not Assumptions
If your sales goals for SDRs are based on hunches and best guesses, then you might run into trouble. For example, you “think” your SDRs should be hitting specific numbers regarding call volume or meetings booked, but that goal isn’t rooted in any data.
Why is this problematic? Overestimating potential outcomes can lead to frustrations while underestimating can leave opportunities untapped.
Instead of guessing, anchor your goals in real numbers by leveraging historical data, KPIs, and industry benchmarks. For example, analyze past SDR campaigns to determine realistic goals and compare your expectations with standard performance metrics in your industry.
Aside from initially setting sales goals, it’s crucial to continuously monitor them. Track key areas like calls, emails, and conversations to understand performance and make informed adjustments. For example, if meetings booked aren’t turned into attended calls, the quality of the conversations needs to be improved.
Collaborate With Your SDR Partner for Goal Alignment
For SDR initiates to be successful, they need to be fully aligned with your internal sales reps and strategy. Without seamless collaboration, even the best-laid SDR plans can fall short.
How can you best collaborate with your SDR partner? To maximize performance, ensure SDR goals support your broader sales objectives, whether increasing pipeline velocity, targeting a specific segment, or improving lead quality.
Also, leverage your partner’s expertise. Your outsourced SDRs have industry knowledge, prospecting experience, and insights into what’s achievable. Incorporate their insights and feedback when shaping outreach strategies and refining goals.
Another tip is to stay agile with regular check-ins. Effective sales goals require ongoing evaluation to ensure objectives remain relevant and valid.
Hold regular review meetings (such as weekly or biweekly) to assess performance, address challenges, and adjust sales strategies. You can also analyze key metrics together (to see what’s working and what’s not).
Lastly, you should use these insights to recalibrate goals if necessary, remain flexible, and adjust goals to meet things like changing market conditions and prospect behavior.
Balance Ambition With Achievability
It can be tempting to set aggressive sales targets to drive performance. However, goals must be realistic, as unrealistic ones can do more harm than good.
Pushing outsourced SDRs beyond practical limits can lead to burnout, frustration, and, ultimately, diminishing returns. The key is to strike the right balance between ambition and achievability.
How can you create sales goals that your SDRs can actually accomplish? Focus on setting smaller, achievable goals, sustaining motivation, and leading to long-term success.
Data shows that small goals can help employees achieve significant results. When employees set small goals regularly, they’re more likely to hit performance targets and even report high morale.
This might mean:
- Breaking down large goals: Instead of setting a quarterly goal of 60 meetings, you can start with a target of 20 per month and adjust based on progress.
- Celebrating incremental wins: To motivate SDRs, acknowledge incremental achievements, such as improving email response rates or securing high-quality meetings.
- Adapting based on performance: If an SDR team consistently exceeds expectations, gradually increase targets in a manageable way.
Measure, Refine, Repeat
Setting effective sales goals for SDRs requires continuous evaluation and refinement. For long-term success, you need to regularly assess outcomes, adjust expectations, and keep SDRs engaged.
Here are some tips for continuous improvement:
- Monitor and analyze performance metrics: To identify performance trends, regularly review key SDR metrics (such as conversion rates, response rates, or meetings booked).
- Adjust based on outcomes: If a campaign falls short, quickly revisit factors like messaging, target audience, and outreach strategy before modifying goals.
- Stay agile: Your SDR sales strategy will likely evolve, even if it’s just to meet standard market fluctuations. Be ready to pivot on a dime.
- Celebrate milestones: Whether small wins or big ones, it’s important to acknowledge milestones to keep SDRs engaged and motivated. It can be anything from an individual SDR’s first meeting booked to a team-wide achievement, such as overall sales revenue.
Set the Stage for Sustainable Growth
Outsourcing SDRs can lead to big accomplishments for your internal team, but it’s important that their sales goals set the foundation for success. Remember to create realistic, data-driven sales goals anchored in performance metrics.
And don’t neglect to collaborate with your outsourced SDR partner, who has the expertise and knowledge necessary to drive results.
If you’re eager to leverage the power of outsourced SDRs for your top-of-funnel sales strategy, we’re here to help.
Connect with Inside Sales Solutions for more SDR tips and insights, and learn more about our dedicated SDR outsourcing services.