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💷 Sales development guide

How to design an SDR or BDR compensation plan (with 2026 OTE benchmarks)

A comp plan tells your SDRs what you really value, whatever the kick-off deck says. Pay on bookings and you'll get bookings. Pay on meetings that turn into pipeline and you'll get pipeline.

SDR (sales development representative) and BDR (business development representative) are the same job at most companies: the reps who create first meetings for account executives. Some firms use SDR for inbound and BDR for outbound. Everything here applies to both.

SDR and BDR pay benchmarks: UK, US and Europe

MarketBaseOTESource
UK SaaS, average£33K£49KSales Recruit UK, 2026
UK, broader range£28K-£45K (London +15-20%)£40K-£70KCitrus Connect, 2026
US, survey median$55K$80K (68:32 split)Bridge Group, 2025
US, rep-reported median$60K$85K-$90KRepVue, 2025
Germany, B2B SaaS€40K-€58K€55K-€85KSkipcall, 2026
Netherlands, B2B SaaS€36K-€58K€48K-€80KSkipcall, 2026
France, B2B SaaS€30K-€50K€38K-€70KSkipcall, 2026
📉 Watch out: US SDR OTE has grown just 0.56% a year in a decade while prices rose sharply (Bridge Group, 2025). If you haven't benchmarked pay recently, you may be losing people to better-paid roles.

What to pay on

Companies split roughly three ways: about 43% pay on introductory meetings, 42% on semi-qualified opportunities and 15% on fully qualified opportunities (Bridge Group data, via CaptivateIQ). Our view:

Six design rules ✅

  1. Three components or fewer. If a rep can't work out their pay on a napkin, it won't motivate them.
  2. Split base and variable around 70/30. That's the norm in the UK and Europe; US plans run a little more variable.
  3. Use 2-4 accelerator tiers. More creates confusion.
  4. Aim for 60-70% of reps at quota. Much lower and the quota maths or lead supply is broken.
  5. Model the cost at 50%, 100% and 150% attainment before launch, and again after the first quarter.
  6. Publish the crediting rules with the plan: what counts as held, who accepts and by when.

Worked example (illustrative)

ItemValue
OTE£50,000 (£35,000 base, £15,000 variable)
Monthly variable at 100%£1,250
Monthly quota10 held and accepted meetings
Rate per meeting£125
Accelerator above 100%1.5x, so £187.50 per extra meeting
Payout at 12 meetings£1,250 + (2 x £187.50) = £1,625

For new hires, guarantee most of the variable in month one, then pay the greater of a floor or actual earnings in month two, and move to the full plan by month four.

Sources

Questions

What is a typical SDR or BDR OTE in the UK?

Around £49K on average for UK SaaS (Sales Recruit UK, 2026), with a wider range of £40K-£70K and a 15-20% London premium on base.

What is the usual base to variable split for SDRs and BDRs?

About 70/30 in the UK and Europe. The Bridge Group 2025 US median is 68/32.

Should SDRs be paid on closed-won revenue?

Only a small share, if any. SDRs cannot control the close, and the Bridge Group has cautioned against tying more than 20% of SDR variable pay to won deals.

🚀 The SDR Programme Playbook

Turn this into a programme you can run

14 Notion modules and 6 working trackers for SDR leaders: KPI library, comp calculator, cadence builder, interview scorecard, tool scorecard and a 90-day roadmap. £49, one payment.

Benchmarks are starting points, not targets. Every figure shows its source and year; tune them to your market, deal size and sales cycle.