SaaS’s Impact on the Inside Sales Model

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Is Inside Sales in a SaaS environment really all that different from Inside Sales in traditional / licensed sales model?
Turns out yes it is.

The most interesting findings from our SaaS / Inside Sales Metrics & Compensation report highlight these key differences. (Note: for comparison we used data from our Inside Sales Metrics report)

Here are 3 areas where SaaS Inside Sales organizations differ:

  • Rep ramp time to productivity
  • % of calls in response to inbound leads generated by Marketing
  • % of Reps in a group achieving quota

 Let’s take a look at some of these metrics:

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How long does it take for a new Rep to be fully productive?

 

Average Ramp Time

  90 days

The average ramp times for Inside Sales Reps in a SaaS environment are significantly lower (approximately 30%) than for a license Inside Sales role (90 v. 135 days).

SaaS Rep Ramp

It is interesting to note that for license Inside Sales roles, 19% of companies had a ramp time of 6+ months where none of the SaaS companies surveyed reported similar experiences.

What is it about a SaaS environment that allows Reps to come up to speed that much more quickly?

———
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What % of calls are placed in response to inbound leads generated by Marketing?

 

Average Marketing-generated %

  59%

SaaS Inside Sales groups report more than double the percentage of calls placed in response to Marketing-generated leads compared to license Inside Sales (59% v. 27%).

Note that:

  • Nearly 68% of respondents had a majority of Inside Sales activity sourced by Marketing
  • 42% reported that greater than 75% of calls are placed in response to inbound leads generated by Marketing

SaaS Metrics

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What percentage of the group achieves quota?

 

In a given group, percentage of Reps making quota

  70%

Inside Sales Reps in SaaS environments are making quota at a much higher rate than their license Inside Sales counterparts (70% v. 50% at quota).

  •  41% of respondents reported more than 80% of their Reps at quota
  • Nearly 12% had greater than 95% at quota

SaaS Quota


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The SaaS delivery model is certainly impacting the results these groups achieve (lower barriers to entry, month-to-month contracts, etc.) – not to mention quicker ramp time and significant inbound lead generation.

But what do you think? Does anything in the data particularly stand out to you?

 

Get the Full Report:
SaaS / Inside Sales Metrics & Compensation

Research Report: Focusing on Inside Sales in SaaS companies.

SaaS / Inside Sales Metrics, Compensation, KPIs & trends

Based on 2010 survey of 115+ B2B companies.

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