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“The Dial Gap” & The ROI of ConnectAndSell

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ActOn, InfusionSoft, Marketo, RingCentral – what do they have in common?  ANSWER: They all have large markets to go after, and have a fixed amount of resources available to penetrate these markets, and with their existing SDR team manual dialing, they have no way to achieve the number of dials needed to cover the market.  In an effort to help ConnectAndSell determine the best approach to penetrating their market, we created the “Dial Gap Analysis”.

The first part of the dial gap analysis is to determine a companies addressable market.  Is it 5,000 or 50,000 or 500,000?  Second, how many unscheduled conversations are required to create an opportunity? Is it 1, 3, 10?  Next, the dials needed per conversation.

The rest is math – conversations needed per year to meet the coverage goal multipled by the number of dials needed per conversation = dials needed per year to meet the coverage goal.

Then, it’s important to get a handle on what the TRUE costs are to staff an SDR team including (fully burdened labor cost, cost of CRM, capital costs, and real estate cost per SDR.  And don’t forget the cost of management overhead (see below).

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Once a company has determined how many dials are required to cover the market, and the costs of internal SDR resources, there are three options to choose from (see below).

The bottom line is that to get the same market coverage, a company can invest $2,839,943/year, $856,800/year, or $811,227/year.

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Aaron Ross, Author of Predictable Revenue, recognized many years ago, that a two tier selling model was the way to go to build a scalable sales organization.  By leveraging Advanced Sales Acceleration Technology from ConnectAndSell, an SDR team is now capable of delivering 10X more dials/conversations and market coverage than ever before.

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