The Old Demand Generation Model Versus The New

Many Companies still feel that the optimal approach for generating revenue is to have the Account Executive be responsible for managing the data, hunting for prospects, qualifying the prospect, presenting and closing. This outdated concept is not only ineffective but results in an anemic pipeline as well as lower revenues.

The main reason companies are hiring account executives is to close business. Often these AE’s come with extensive sales training in various methodologies, none of which is prospecting or qualifying. The unsuspecting AE is brought in and dazzled by the companies portrayal of their product and how “simple” it is to not only garner interest in the product but to sell it.

With dollar signs in their eyes the AE’s accept the position only to find out later that prospecting and maintaining a healthy pipeline is a lot harder then they anticipated.

The outcome is:

The AE does not utilize the internal systems, cleanse the Data, or adhere to the standard process. Why? Because they were not hired to be data managers or note takers and NO system will ever be good enough.

The AE focuses their time on the “hot” prospects as they feel that they have a better chance to get revenue. The Result? The “warm” leads receive no attention and fade away. The demand pipeline is low and cannot sustain the rep or the company growth.

The AE makes on average 15-20 calls per day as they have no scrutiny on their phone efforts only on their revenue and pipeline. Result? You are only prospecting to a small percent of your overall Database so you are missing deals that your competitors will gladly take.

The AE accepts any inbound lead and immediately looks for a “deal or no deal” situation. The Result? There is no true nurture stream so the only business you will receive are the “lay ups” which are very hard to come by in today’s world. In addition whomever generated the inbound lead (marketing) might not be happy with such a quick and final response from sales.

So what are companies to do? How can they enter the 21^st Century and deploy a process that is not only scalable but takes into account the expertise of the separate yet synergistic entities within their company. It is actually quite simple and has been proven time and time again in different Industries with different Products …………… Enter the BDR.

The BDR (Business Development Representative) is hired to perform a specific task, hunt, prospect and qualify leads to increase the pipeline and ultimately revenue. They have a special skill set which allows them to continually produce beginning stage, qualified pipeline opportunities to sales. With a very specific set of criteria and process, the BDR reps are able to very quickly shift the company from a “sales does all” method to a “BDR Tee up / Sales knock it on the green” practice.

The Outcome is:

BDR’s continually cleanse the data within the system and contact hot, warm and cold Accounts. Result? You will ensure that all companies are being contacted, nurtured, or qualified and passed to Sales as applicable.

BDR’s can be allocated to specific verticals or company segments. Result? You can supply different sales groups the amount of pipeline they need to hit their targets. Additionally the BDR will gain experience in that area and results will continue to increase over time.

BDR’s can provide specific feedback on the “market pulse” and campaigns. Result? The company will very quickly see efficiency increases and lower spend as a result of the “feet on the ground” feedback and direction the BDR can provide to Marketing.

AE’s can focus on their expertise, accelerating pipeline and closing business. Result? The company will see an increase in their Pipeline and ultimately their revenue

The first thing we have to understand is that we ALWAYS need a flow or a stream of Opportunities. We cannot focus on the Pipeline at the end of our cycle and forget about the beginning. The BDR allows for a simple yet fluid process whereby each group can hone their skills and expertise in a synergistic Program. The BDR handles a wide range of Tactics from Outbound Calling to Webinars to Events, and their customer is always Sales. This combination of talent will lead any Company to see greater Revenue and success in the “NEW” Future.

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