Solving Sales

The hidden sales bottleneck: Why AEs can’t get the best SEs on every deal

The AE:SE ratio bottlenecks sales success. Learn how GenAI boosts efficiency, accelerates sales cycles, and enhances deal execution.

4:1.

That’s the median ratio of AEs to SEs. However, in some companies, the AE:SE ratio can be as drastic as 10:1

Now, that’s concerning. 

This means that for every 10 AEs, there’s only one SE available to provide technical support. In B2B sales, the right expertise at the right moment can mean the difference between closing a deal and losing out to the competition. 

While companies feel that this structure may be cost-efficient, the lopsided AE:SE ratio does create a significant sales engineering bottleneck in resource allocation. The ground reality is that for account executives, sales engineer availability remains a persistent challenge, especially if the target accounts are mid-market or enterprise. 

With SEs stretched thin, AEs have no option but to navigate complex technical questions and customer-specific needs on their own, increasing their workload and reducing their effectiveness, not to mention the negative impact on morale. This significant sales engineering bottleneck not only causes sales cycle delays but can also impact win rates and deal sizes. 

What is the cost of the skewed AE:SE ratio? 

When the best SEs are not available for key deals, the impact of this sales engineering bottleneck is felt across multiple areas:

  • Big-ticket deals: Large, high-value deals require SEs to demonstrate the product’s value and address detailed technical concerns, making their involvement crucial.
  • New product introductions: SEs play a key role in educating both customers and internal sales teams about new products, ensuring a smoother go-to-market strategy.
  • Expanding SE Responsibilities: As SEs engage across various stages of the sales process, from pre-sales to post-sales support, their workload is stretched thin. This limits their availability for high-value deals, leading to slower response times and missed opportunities. 
  • Sales cycle delays: The longer a deal takes to close, the more SEs remain occupied, limiting their availability for new opportunities. This sales engineering bottleneck might result in lower win rates and relatively smaller deal sizes. 

To maximize the efficiency of solutions engineers and overcome the sales engineering bottleneck, companies should harness data-driven insights. Analytics can highlight SEs’ contributions to sales, such as their role in successful demonstrations and lead conversions, thereby highlighting their impact on revenue generation.

Understanding workload patterns is crucial as it allows for the effective allocation of SEs, ensuring improved sales engineer availability during peak periods and reducing bottlenecks in the sales process. By analyzing these workloads, organizations can also make informed hiring decisions, determining when additional SEs are necessary to meet demand. 

Activity tracking can pinpoint inefficiencies, suggesting areas where automation could help with routine tasks, freeing SEs to focus on high-value customer engagements. Enhanced AE and SE collaboration through data-driven insights can significantly improve team performance. 

Measuring the revenue generated per SE provides a clear metric for assessing their financial impact and supporting decisions related to team expansion. On average, sales teams with a 1:5 ratio (1 SE for 5 reps) have revenue per rep of $2M, while sales teams with a 1:1 ratio average $3.2M per rep. Companies must strategically bridge this gap by bringing in/building the right GenAI for sales solutions to address the sales engineering bottleneck.

Source: Alexander Group

How can the right GenAI solution help bridge the AE:SE ratio? 

Approximately 85 percent of sales leaders said they believe solution selling will be a core sales capability, requiring strong product knowledge, solution design, and account-planning skills.

In situations where sales engineer availability is limited and AEs can’t get the best SEs on every deal, AI sales engineer platforms can help boost productivity, improve response times, and ensure access to accurate information. GenAI can provide solutions to overcome the sales engineering bottleneck, including: 

Accelerated response times

AI sales engineer platforms can enable faster response times by allowing AEs to respond to client queries quickly without waiting for SE input. By providing instant access to structured company knowledge within their workflow, say on Slack, AEs can deliver accurate, well-crafted responses in seconds. This reduces sales cycle delays and ensures prospects receive timely, informed answers. According to Hubspot, among the top 'timing saving' uses of AI is enabling a deeper understanding of prospect needs.

Enhanced productivity

By automating tasks such as the analysis of discovery calls, crafting unique solution stories, and questionnaire completion, AI-powered sales engineering allows both AEs and SEs to focus on higher-value activities. This leads to significant sales team productivity and improves AE and SE collaboration. 

Improved personalization

One can customize responses based on the context of each deal, considering factors like prospect interactions, industry, tone, and length with GenAI. This ensures that AEs can deliver tailored solutions, even without the direct involvement of a specialized SE.

Better knowledge visibility and real-time access

With GenAI, companies can provide AEs with a centralized, consistently updated knowledge base that ensures instant access to relevant information. AI-powered sales engineering solutions can supply pre-approved answers, allowing AEs to confidently address client queries in real time, whether during a sales call or follow-up. This eliminates delays caused by waiting for SE input and ensures responses are accurate, up-to-date, and aligned with company messaging.

Streamlined knowledge search

AI-powered contextual search functionality can help improve AE and SE collaboration by helping them quickly find the information they need, cutting through clutter and improving efficiency. AI-powered intelligent search can help AEs and SEs quickly find the information they need, like stakeholder research, executive summaries, and competitive intelligence, cutting through clutter and improving efficiency.

Modern collaboration

GenAI for sales platforms can integrate with workplace applications, streamlining workflows and facilitating AE and SE collaboration. Project management tools within these platforms can help track progress and automate task creation, ensuring seamless teamwork on complex deals and alleviating the sales engineering bottleneck. 

By leveraging these AI capabilities, sales teams can mitigate the challenges of sales engineer availability, ensuring that AEs are equipped to handle a wider range of deals effectively and reducing sales cycle delays. 

Additionally, data encryption, rigid access control, and a guarantee that customer data is not used to train the LLMs can give the user peace of mind. The use of RAG (Retrieval Augmented Generation) technology and fine-tuned LLMs can allow for the generation of personalized responses with zero hallucinations, making AI-powered sales engineering a reliable solution. 

Final thoughts

The reality is that SEs are a limited resource, and companies need to be strategic about their deployment to overcome the sales engineering bottleneck.

While AEs will always play a central role in deal execution, ensuring they have timely access to SEs is critical for driving sales success. By optimizing SE allocation and leveraging the right AI-powered sales engineering technology to fill gaps and improve AE and SE collaboration, businesses can improve win rates, reduce sales cycle delays, and close bigger deals, all without overloading their teams.

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