SALES LAYOFFS

Let’s talk about the real reason for sales layoffs.

A company gets funding.

VCs set growth goals.

VCs don’t understand sales, but they think they do.

They don’t take into account TAM and market penetration.

An Excel guru creates a forecast that shows doubling SDRs will double revenue.

The company hires 2X more SDRs.

Revenue doesn’t double even though there are twice as many SDRs.

Shocking.

Sales leaders blame SDRs.
SDRs are put on a PIP.
50% of SDRs are let go.

Sales leaders are let go.

New sales leaders are hired and pump up the board with a new forecast.

18 months later, they’re let go.