The Sales Development Representative (SDR) is a foundational position in modern business-to-business (B2B) sales organizations. This role acts as the primary link between marketing and revenue generation, operating at the initial stages of the buying cycle. By identifying and engaging potential customers, the SDR ensures the sales process operates efficiently and helps companies build a predictable sales pipeline.
Defining the Sales Development Representative Role
The Sales Development Representative is the specialized sales function responsible for prospecting, qualification, and appointment setting. Their primary function is to filter incoming interest or generate new conversations, handing off only genuinely interested and suitable accounts to the closing team. This division ensures that Account Executives (AEs) focus exclusively on late-stage negotiations rather than initial outreach.
The SDR distinguishes between a lead and a prospect. A lead, often called a Marketing Qualified Lead (MQL), is a contact who has shown initial interest, such as downloading content or attending a webinar. The SDR converts the MQL into a Sales Qualified Lead (SQL) by validating their specific needs, budget, and purchasing timeline. Once an opportunity becomes an SQL, it is transitioned to the AE team to pursue the final deal.
Key Responsibilities and Daily Activities
The daily activities of an SDR are segmented into two categories: reacting to existing interest (inbound) or generating new interest (outbound). The SDR’s schedule involves intensive communication efforts, detailed research, and methodical data entry to maintain the integrity of the sales database. This activity ensures a steady stream of qualified opportunities flows through the top of the sales funnel.
Focusing on Inbound Leads
The inbound SDR focuses on speed and responsiveness, following up on MQLs derived from website forms, demonstration requests, or content downloads. Rapid response is important, as the odds of contacting a lead drop dramatically after the first five minutes. The initial task involves rapid communication via phone calls and personalized emails to ascertain the lead’s intent and fit.
Qualification conversations use specific criteria to determine if the lead is ready for a sales conversation. Organizations often use frameworks like BANT (Budget, Authority, Need, and Timeline) or MEDDIC (Metrics, Economic Buyer, Decision Criteria, Decision Process, Identify Pain, and Champion). Confirming these elements allows the SDR to schedule the first qualified meeting with an Account Executive.
Focusing on Outbound Prospecting
The outbound SDR, sometimes known as a Business Development Representative (BDR), operates proactively to generate new opportunities from a defined target account list. This process begins with detailed research and list building, often using tools like LinkedIn Sales Navigator to identify decision-makers and influencers within target companies. The goal is to craft a personalized message that resonates with the prospect’s business challenges.
Daily activities involve high-volume, multi-channel outreach, combining cold calling with targeted email sequences and social selling techniques. Cold calls establish rapport and uncover pain points, while emails provide value propositions relevant to the prospect’s industry or role. This role requires persistence and creativity to secure the initial introductory meeting.
How SDRs Fit into the Sales Pipeline
The SDR role is positioned as the connective tissue between the Marketing and Account Executive teams. Marketing generates the initial interest (MQLs), which the SDR nurtures and qualifies. This ensures a smooth flow of potential customers into the sales process without wasting resources on unsuitable contacts.
The pipeline relies on defined hand-off criteria, which dictates the moment an SDR transfers ownership of an opportunity to an AE. This transfer typically occurs immediately after the SDR has booked a meeting and confirmed the prospect meets the criteria of an SQL. The AE then takes ownership of the relationship, guiding the prospect through evaluation and negotiation toward a closed deal. This clear delineation of responsibilities prevents confusion and maximizes the efficiency of the revenue organization.
Essential Skills and Qualifications for Success
Success as an SDR depends on a blend of behavioral attributes and technical proficiencies. Soft skills include resilience and coachability, given the frequent rejection inherent in daily prospecting. Excellent written and verbal communication is also important, as the role requires crafting concise messages across multiple channels.
On the technical side, proficiency with sales technology is expected. This includes mastering Customer Relationship Management (CRM) platforms, such as Salesforce or HubSpot, which serve as the central repository for lead data and activity tracking. SDRs also utilize specialized sales engagement platforms that automate multi-step outreach sequences and measure performance data.
Measuring Success and Compensation
Performance for an SDR is evaluated using Key Performance Indicators (KPIs) focused on the output of qualified opportunities. The most direct metric is the number of Sales Qualified Meetings (SQMs) booked per month, which directly feeds the AE team’s calendar. Secondary KPIs include the conversion rate from initial contact to booked meeting and the total pipeline value generated.
Compensation is structured to incentivize the achievement of these targets. The typical package consists of a fixed base salary supplemented by a variable commission or bonus component. This variable portion is tied to meeting or exceeding the monthly SQM quota, ensuring the SDR’s financial success is linked to their ability to generate new sales opportunities.
Career Path and Progression
The SDR position is recognized as a structured training ground for future sales leaders, typically serving as a 12- to 24-month tenure role. The most common progression path leads to becoming an Account Executive, where the individual uses foundational knowledge of qualification to manage and close deals independently. The skills acquired in prospecting translate directly into building a full sales territory. Alternative progressions include moving into Sales Operations, leveraging technical CRM knowledge, or pursuing Sales Management by leading a team of SDRs.