When should you hire a BDR?
What is Business Development?
When should your company hire a BDR?
A Gartner study found that corporations with entry-level business developers (BDR) converted 40% of leads, and those without BDR resources converted less than 5% of leads.
You don't typically need a BDR if your company sells products with:
- Self-evident and sustainable perception of quality
- Quality perceptions that can be fully automated or systematized
BDRs are required when:
- Employee-to-prospect communication is necessary to sell your product
- BDRs are required to augment automated or systematized activities.
The need for BDRs also depends on the stage of corporate growth.
Startup Phase....LOW need for BDR
The startup seeks product-market fit with early adopter customers, and the leadership team also starts creating their Business Development Integration Activity processes.
Growth Phase...HIGH need for BDR
The corporation exploits a proven viable market(s) for rapid growth. They hire BDRs when leadership determines the corporation can't maximize market penetration without direct employee-to-prospect communication. The corporation must also have sufficient Business Development Integration Activity processes to maximize ROI of BDR human resources.
Expansion Phase...HIGH need for BDR
The corporation seeks to exploit new markets. Like the startup phase, entry level business developers are not required until the new market is viable. In addition, Business Development Integration Activity processes are adopted and adapted for the new market.
Maturity Phase...MEDIUM need for BDR
At this point, the corporation maximized market penetration to meet the corporation's campaign or business plan. BDR requirements may be reduced or eliminated as they cease to provide meaningful ROI.
Tony Gray, BDP
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Learn more in the “Business Development Body of Knowledge (BD-BOK).”
Get your copy of the BD-BOK on Amazon today!
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