The comparison
In-house SDR or outsourced: which gets you to pipeline faster?
The same twelve months, laid side by side. A hire takes a quarter to start and a quarter to become useful; a plugged-in function is dialling in week three. The honest comparison is not the cost, which is closer than people think, but the calendar.
Samuel Parsons3 min read
An outsourced SDR function gets to pipeline faster than a first hire, and it is not close: the first dial is in week three rather than month four, and the first qualified meetings are in month two rather than month six. The cost over a year is closer than most people expect, because the hire carries a recruiter, a stack and a manager’s time that the salary line does not show. Where the hire wins is control and continuity, and that is a real advantage worth being clear about.
Here is the year, week by week, for a UK business making the decision this month.
The hire
- Weeks 0 to 6: write the role, advertise or brief a recruiter, interview. Six weeks to an offer is quick.
- Weeks 6 to 12: notice period. A good SDR is employed, and a month’s notice is normal.
- Weeks 12 to 16: onboarding. Product, market, tools, the first supervised calls. Nobody is good in month one.
- Weeks 16 to 26: the ramp. The Bridge Group puts the average at 3.0 months to full productivity. The first real meetings arrive somewhere in here, and the first real quarter is the one after.
- Throughout: somebody senior is spending a fifth of their week listening, correcting and rewriting - or nobody is, and the ramp does not end.
By month six the hire is producing. By month nine you know whether they are any good. Average tenure in the role is 1.9 years, so the process is repeated, on average, before the second anniversary.
Plugging in
- Week 0: the brief. What you sell, to whom, what a good meeting looks like, and who takes it.
- Weeks 1 to 2: the board. The market is built from signals rather than industry codes, the people are found, the messaging is written from the reason each company is on the list. You see it and argue with it before anyone is called.
- Week 3: the first dial. The rep already knows the job; they are learning your market, not the work.
- Weeks 4 to 8: the first qualified meetings, and the first numbers worth reading - connect rate, conversation rate, what the market is saying back.
- Month 3 onwards: the cadence is running across every channel and the ratios are being corrected weekly by a manager who is not you.
By month two you know whether your market responds to outbound and how. That is the question a first hire cannot answer for six months, and answers then with the result tangled up in whether the person was any good.
The cost, honestly
A first UK hire is around £85,000 in year one all in, as the previous post sets out, with the first quarter producing almost nothing. An outsourced function is a monthly fee that starts when the dialling starts and stops when you stop. We do not publish ours, because it depends on the market and on whether you want one rep or a team; what we will say is that the comparison is between a year of one person and a year of a function, and the function includes the manager, the data and the platform the hire has to buy separately.
When the hire is still right
If you already have a sales leader who has run outbound and can spend the time coaching, the management line falls away and the hire gets cheaper in real terms. If your sale needs deep domain knowledge to open a conversation - clinical, regulatory, heavily technical - and you can recruit that knowledge, hire it. And if you are past your first SDR, with a working process and a stack in place, the second and third hires are a different, easier decision.
Otherwise the calendar decides it. A business that needs pipeline this half does not have six months to find out whether the person it hired in the spring can prospect.
The order that tends to cost less is the other way round from the usual one: plug in first to learn what the market returns, then hire into a process that already works.
Fifteen minutes. No pitch.
If this describes where you are, fifteen minutes on a call will tell you what outbound would return on your market.
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