A new prospector takes two months to ramp to full quota. Each rep produces 10 new, qualified opportunities per month. Deal size is $100,000 In this case, after two months an outbound rep will be producing $1 million in new qualified pipeline per month. Now, if: Sales win rates are 20%, and Sales cycles average six months... ...then each new prospecting rep (working with their quotacarrying Account Executives) will be adding an incremental $200,000 in new revenue each month, with the flow really beginning about eight months after the outbound rep was hired (or six months after they reached full production). Does eight months seem like a long time in our world of quick-fixes? What if you had started this team or this process eight months ago, wouldn’t you love having that revenue right now? Once you get this machine rolling, like a flywheel, this predictable source of new leads will keep producing revenue.
Predictable Revenue Page 61 Page 63