Internal BDR > AE

howdy

I'm at my first stop in sales career with a SAAS that is crushing (I'm on track to be AE prior to near future IPO). This time next year, I will have that opportunity to promote to AE. Is it true that you'll generally be low-balled as an internal promotion to AE? (versus leaving for AE role)
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13
buckets1
Politicker
6
AE
Yes...at my company external AE hires are paid more than those promoted into the role. This is true both of SMB AE as well as Mid Market and Enterprise. However — internal promotions often outperform their external counterparts in the first year due to better territory assignments and better knowledge of the product/industry. I wouldn’t underestimate the benefits of selling a product you already know in your first closing role.
CorpFin2SAAS
Contributor
3
Incoming AE
Noted, I’ll have to keep that in mind a year from now
CorpFin2SAAS
Contributor
1
Incoming AE
Awesome. Yea that makes sense having that competitive edge with product/territory knowledge
buckets1
Politicker
1
AE
It makes a huge difference. Everyone’s different but I won’t even proceed in speaking with a recruiter unless the role comes with a 40%+ bump in base and OTE. To me it’s not worth building product/industry knowledge and an internal reputation from scratch unless the new company gives an outsized bump in pay.
Sunbunny31
Politicker
2
Sr Sales Executive 🐰
In general, yes, external hires are often paid more.   In your case, it may just be that you will have that single year (+) of experience; an external AE may come in with years of experience, and be compensated more as a result.

Where I find the difference is over time at larger corporations.  They just haven't been as competitive with their offers, so many seasoned reps will jump to a better opportunity that is almost always external.

If this company is treating you well and your transition path is all but assured, there's no reason to jump just yet.   You really don't have a lot of experience, and there's something to be said for doing that transition from BDR- AE in a familiar environment, with familiar workflows, solution, etc., without having to learn to be an AE in addition to learning a new solution and cadence.   There's time to take that experience you'll be getting elsewhere later.   Best of luck!
CorpFin2SAAS
Contributor
1
Incoming AE
This is great! Very well said, staying home grown where I am is the right move for me. This definitely reassures my thinking, thanks 👌🏼
Sunbunny31
Politicker
1
Sr Sales Executive 🐰
Sounds like you're having a great experience there.   Looking forward to seeing your success stories!
CuriousFox
WR Officer
2
🦊
Yup. Go outside of your current company. 
CorpFin2SAAS
Contributor
1
Incoming AE
Even if this internal promotion would be my first AE experience?
Upper_Class_SaaS
Politicker
2
Account Executive
I think it comes down to negotiating during that process. You have to recognize you don't have any closing experience regardless. So it's going to be hard to go external for an AE role. Get your 6-12 months of closing experience internally then explore your options 
CorpFin2SAAS
Contributor
0
Incoming AE
🧐👌🏼 makes sense. Thanks
Beans
Big Shot
1
Enterprise Account Executive
That hasn't been my experience.

But there are so many resources to see what you should be valued, both at your own company and at competitors.

How's your culture internally to ask AE's in the position you're applying for what their comp looks like ?
CorpFin2SAAS
Contributor
2
Incoming AE
Yes very true so many resources for comps! I can definitely ask the other AEs how it is, very good culture between AEs and BDRs obviously (maybe not obvious for some companies)
GDO
Politicker
1
BDM
This happens a lot. The simple reason is that the company thinks you will accept just because of the title. 
lisa
Notable Contributor
1
Product @ Bravado
External hires are often paid more, BUT you will dramatically improve your chances of being able to get a great job offer if you spend at least a year in your current company as an AE. 

Employers highly value a track record of internal promotion (versus leaving a job to get promoted). In fact, SDRs who leave to get promoted to AE often get dinged by recruiters who assume they weren't successful enough to get promoted internally. This is true for all of the employers we have on Bravado Jobs.

My advice would be to take the internal promotion, spend 6-12 months there, then look for a higher-paying AE offer elsewhere.
justadude
Fire Starter
1
The only sales guy
We limit the %of base increase that our internal movers can jump. So generally outside joggers come in with a little higher base. That said, if it’s a juicy enough commission structure, F it the salary should be the least of your focus if you’re a good salesman/woman.
TennisandSales
Politicker
1
Head Of Sales
yes. in general, the best way to get a raise it to go somewhere else. 

But I would say that it will be easier to get a better deal as an AE after you have worked as an AE in the current job. 

If you are an AE going to be another AE at another company, you have leverage, if you are  BDR and trying to be an AE at another company they really have the leverage and may still low ball you, or not give you the job. 

its annoying

Dendirsales
1
Sr Director of Sales
I would get into closing experience as fast as you possibly can, regardless of comp. If you kill it at this company, you should be rewarded in a bump.
If they don’t, now you’ve got closing experience that you can market
TheNegotiator
Arsonist
1
VP of Sales
Yes.  Just don’t let it happen to you. Simple.
Pachacuti
Politicker
1
They call me Daddy, Sales Daddy
Yes, it is true.  

Your real leverage is actually going to another company who will value your experience and compensate you accordingly.