What's Wrong with AI SDRs?

Product
September 19, 2024
Sanjeeth Kumar
Lazy Sales Reps is a myth

It's no secret that the rise of AI-powered Sales Development Representatives (SDRs) was meant to revolutionize outreach and make the SDR function more effective. However, we seem to be heading in the opposite direction. Rather than solving the problem, AI SDRs have, in many cases, simply amplified the noise.

AI SDR agent disadv

Here are the three core issues that stand out:

1. AISDRs Mimic the Base SDR—Doing Minimal Work

Today's AISDR agents have become little more than glorified automation tools, armed with a generic ChatGPT prompt. Instead of adding value, they often replicate the bare minimum efforts of the average SDR. The result? More spam. Rather than crafting meaningful, targeted messages, AI SDRs pump out cookie-cutter emails that barely scratch the surface of personalization or genuine engagement.

It’s ironic. AI was supposed to elevate the quality of outreach, but instead, it's just bulked up the quantity, filling inboxes with more noise rather than delivering thoughtful, engaging messages. In reality, even the above-average SDRs, let alone the best ones, can outperform these run-of-the-mill AI SDRs by a mile. They bring creativity, nuance, and genuine human touch to their outreach—qualities that current AI SDR tools are sorely lacking.

2. Burning Through Your TAM

With the rise of AI SDRs, it’s become all too easy to download a lead list, feed it into an AI tool, and unleash a flood of generic emails. Initially, this scattergun approach might yield some low-hanging fruit—a few replies here and there. But the downside is much steeper. You’re burning through your Total Addressable Market (TAM) at an alarming rate.

By blasting out these uninspired emails, you might get some early wins, but you're also leaving a sour taste with many potential customers. Once that pool is exhausted, it's an uphill battle. You've tarnished the brand's reputation, making it harder to engage in meaningful conversations down the line.

3. Fake Personalization

AI personalization is getting cringier by the day. You get an email from someone sitting in Ohio, referencing the weather in Melbourne as if it's a natural conversation starter. It's not how humans talk. This kind of faux personalization can feel forced, if not outright creepy.

Most tools either lean into this irrelevant small talk or mine data to the point of making recipients uncomfortable. Neither approach is working. Rather than creating a sense of connection, it often has the opposite effect—alienating the very people you aim to engage. (I'll write more about what works in personalization later.)

The Paradox: AI SDRs Were Supposed to Solve These Problems

The core promise of AISDRs was to make outreach smarter, not noisier. Yet, here we are, with tools that have exacerbated the issues they were meant to solve. Why? Because the current state of AI SDRs misunderstands the strengths and limitations of both humans and AI.

Humans excel in creativity and strategy; AI shines in processing large volumes of data and handling repetitive tasks. The ideal approach is not to let AI run wild but to keep a human in the loop. This involves understanding the nuances—industry, decision-maker personas, product-specific contexts—and crafting messaging that resonates on a personal level. A one-size-fits-all approach simply doesn’t cut it.

AI SDRs Done Right: A Human-in-the-Loop Approach

The role of AI SDRs should be to augment human capabilities, not replace them outright. Machines should do what they are good at—processing, analyzing, and automating the tedious parts of outreach—while humans focus on what they excel at: building relationships, crafting strategy, and creating compelling narratives. Unfortunately, most tools miss this mark, resulting in a disjointed and often counterproductive approach.

ai sdr cons with human in the loop

Additionally, not all AI sales agents tools are created equal. The well-trained Large Language Models (LLMs) and Small Language Models (SLMs) specifically designed for outbound emails can work wonders. However, most AI SDR tools on the market are merely ChatGPT prompt wrappers, lacking the sophistication and nuanced understanding needed to truly enhance the SDR function.

Despite this, I disagree with the notion that all outreach must be human-driven. This role is tailor-made for AI—it just hasn't been done right by most tools. At Luru, we're taking a different approach. We're building AI that performs like your best SDR. We are clear about what humans should do and what AI should do. As technology advances the what might change.

AI has the potential to revolutionize outreach, but only if we get the balance right. It’s time to let machines handle what they do best, allowing humans to shine in what they love and excel at. We don't need more emails, but better ones.

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