Sales Development Representatives and Pipeline Generation

About this report

Data collection: July 18th - August 1st, 2023

Respondents: 100 sales managers, directors, VPs and C level executives

The frontline of outreach to potential new customers, Sales development representatives (SDRs) take on the pivotal role of helping turn leads into consistent revenue. How do sales professionals rate the effectiveness of the SDRs on their sales team? Where did the best ones come from, and what criteria determines their best leads?

One minute insights:

  • path iconOverall, organizational pipeline generation efforts are rated very or somewhat effective.
  • person iconThe vast majority of SDRs report to sales, followed by marketing.
  • Chat iconLinkedIn messages account for just 17% of net-new leads.
  • Hut with flag mountain iconMarket competition is the most commonly cited challenge to generating new pipeline.
  • group people iconSales managers report that the best SDRs at their organization came from a similar SDR job at another company.

Most managers rate their organizational pipeline generation and SDR prospecting as effective

92% of respondents rate the effectiveness of their sales pipeline generation efforts as very or somewhat effective.

How do you personally rate the overall effectiveness of your organization’s sales teams’ current pipeline generation efforts?

How do you personally rate the overall effectiveness of your organization’s sales teams’ current pipeline generation efforts?
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Question: Is there anything else you would like to share about the SDR lead generation process on your sales team?

Motivation is most powerful when the benefits are received in the short term. Try to keep the time between activity and compensation to within 3 months.

Director, Retail, North America, 10,000+ employees

How do you personally rate the effectiveness of your organization’s SDR teams’ prospecting activities to generate new pipelines?

How do you personally rate the effectiveness of your organization’s SDR teams’ prospecting activities to generate new pipelines?

Similarly, 88% rate their organization’s SDR teams’ prospecting activities as very or somewhat effective.

| Very ineffective 0% | Not sure 0% |

n = 100

On average, how many SDRs report to each manager at your organization?

On average, how many SDRs report to each manager at your organization?

Two-thirds (66%) of respondents report that managers at their organization have three to six SDRs who report to them.

Not sure 0% | None 0% |

n = 100

Which team(s) do your organization’s SDRs report to? Select all that apply.

Which team(s) do your organization’s SDRs report to? Select all that apply.

The most commonly cited team that SDRs report to is sales (92%), followed by marketing (72%).

Other responses: “Dev Rel”, “Management”

n = 100

Question: What is the best way to respond to, and coach up, an SDR after receiving a low-quality lead?

A lead score doesn't need to be set in stone and often works best when there's a regular cadence for bi-directional feedback. That way, the SDR team has a productive outlet to discuss lead quality and marketing can monitor follow-up time and follow-up content.

Director, Retail, North America, 10,000+ employees

Email is still generating the most new leads, but phone calls aren’t dead

For more than half (56%) of respondents the best SDRs at their organization came from an SDR job at another company. 23% came directly from college/university.

Before their current role, what were the best SDRs on your organization’s sales teams doing?

Before their current role, what were the best SDRs on your organization’s sales teams doing?

n = 100

Other 0%

At your organization, where do SDRs generate the MOST net-new leads?

At your organization, where do SDRs generate the MOST net-new leads?

n = 100

Not sure 0%

Understanding prospect pain points (68%) and the prospect confirming interest (61%) are the two most commonly selected criteria used to determine if a lead gets passed to a sales representative.

What are the top criteria used to determine if a lead gets passed to a Sales Representative? Select all that apply.

What are the top criteria used to determine if a lead gets passed to a Sales Representative? Select all that apply.

n = 100

Other 0% | Not sure 0%

Question: Is there anything else you would like to share about the SDR lead generation process on your sales team?

SDRs need to have a clear understanding of the target audience they should be focusing on. Defining specific customer profiles helps them qualify leads effectively.

Director, Finance, Banking & Insurance, North America, 10,000+ employees

Question: What is the best way to respond to, and coach up, an SDR after receiving a low-quality lead?

Asking more specific questions to customers and actively listening to their needs and clarifying expectations will help identify those high-quality leads and avoid those unlikely to convert.

Manager, Professional Services, North America, 10,000+ employees

What are the biggest challenges your organization’s SDRs face when generating new leads? Select all that apply.

What are the biggest challenges your organization’s SDRs face when generating new leads? Select all that apply.

58% of respondents report that market competition is the biggest challenge SDRs at their organization face when generating new leads. 50% cite inadequate technology (e.g. no LinkedIn Sales Navigator or prospecting tools).

Poorly managed CRM 28% | Lack of manager support 8% | Other 2% | Not sure 0%

Other responses: “In a complex sale, it is hard to meet that buyer at the moment they will be looking for a big investment.”, “Getting a response from a prospect.”

n = 100

Question: Is there anything else you would like to share about the SDR lead generation process on your sales team?

[The] SDR world is tough with complicated and highly technical sales. Customers will not talk to an SDR if they aren't consultative. Yet their role is to set up appointments for reps. It is a no win most of the time. This is why we will get tools for the Territory managers to actually do their own hunting.

Director, Telecommunications, North America, 1,001-5,000 employees
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Respondent Breakdown

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