HubSpot‘s 2024 State of Sales Report: How 1400+ Pros Will Navigate AI & Other Trends

Imagine this: A sales rep connects with a prospect for the first time, only to realize the buyer already knows everything about their product, pricing, and competitors. In fact, the buyer used AI to exhaustively research solutions, compare vendors, and get recommendations – all before ever speaking to a human. Welcome to the future of sales in 2024.

To better understand how artificial intelligence (AI) and other major economic and cultural forces are transforming the sales profession, HubSpot surveyed over 1,400 sales leaders and reps across the globe. The resulting 2024 State of Sales Report reveals the goals, challenges, and tactics teams are focusing on as they adapt to an AI-powered buyer and uncertain business climate.

Let‘s dive into the key insights and takeaways that every sales professional must know to hit their number in 2024 and beyond.

The AI-Powered Buyer Takes Control

Perhaps the most disruptive trend in sales is the rise of the self-educated, AI-enabled buyer. Even before the emergence of AI, 96% of reps said that prospects had already researched their product or service before the first call. Now, AI is supercharging the buyer‘s ability to navigate the purchase process solo:

• 71% of consumers prefer gathering information on their own vs. engaging with a sales rep
• By 2026, 85% of buyer-seller interactions will occur via self-service options (chatbots, intelligent search, etc.) or independent research (Gartner)
• AI-powered chatbots can already handle up to 69% of customer inquiries from start to finish (Ameyo)

This begs the question – what role do human sales reps play when buyers can lean on AI to self-serve? The data shows that top reps are pivoting from being walking brochures to serving as trusted advisors:

• 66% of reps say AI helps them better understand customer needs and deliver a personalized experience
• Reps using AI are 52% more likely to exceed quota and 83% more effective at responding to buyer emotions
• 81% of buyers say trusting their rep is a major factor in purchase decisions (LinkedIn)

In practice, this means reps must sharpen their soft skills (empathy, communication, problem-solving) and leverage AI themselves to provide hyper-relevant insights and recommendations. Sales is no longer about pushing products, but rather collaborating with buyers to solve business problems.

Sales Teams Feel the Squeeze of Economic Uncertainty

At a macro level, sales teams are feeling the pressure of budget cuts, layoffs, and a potential recession. 54% of reps say selling got harder in 2023, largely due to economic factors:

• Inflation and supply chain disruption rank as the top external challenge impacting sales
• 70% of sales leaders say their budgets are being scrutinized more closely
• 62% report their company is taking a more risk-averse approach to spending

These financial headwinds are coinciding with more complex and elongated deal cycles. On average, reps say there are 5 decision-makers involved on the buyer side and 28% attribute stalled deals to a longer sales process.

Despite this perfect storm, top reps are still finding ways to hit quota:

• 56% of reps surpassed their goals in 2023, while only 15% underperformed
• High performers are 19% more likely to regularly analyze deal and pipeline data
• 63% of sales leaders believe AI enables them to better compete in their industry

The takeaway? While you can‘t control the economy, you can control your approach. Successful sellers make data their best friend and proactively seek out technologies like AI to work smarter and faster.

Why Efficiency Is the Top Priority for Sales Leaders

With financial belts tightening, it‘s no surprise that sales leaders rank improving efficiency as their #2 priority behind hitting revenue targets. But what exactly does efficiency mean in practice?

For starters, the average rep only spends 30% of their day actually selling. The rest is eaten up by tasks like CRM data entry, searching for content, and scheduling meetings. Automating or eliminating low-value activities is critical:

• AI saves reps 2 hours per day on average, mostly by reducing manual data input
• 81% say AI allows them to spend less time on repetitive work
• Highspot finds that reps waste over 2 hours per week searching for or creating content

Another drain on efficiency is disconnected or difficult to use technology. While the average sales tech stack has ballooned to 14 tools, many are going underutilized:

• 45% of reps feel overwhelmed by the number of tools they‘re asked to use
• 1 in 4 sales leaders think their team has too many tools
• Over 25% of reps believe streamlining their tech stack would make them more productive

Moving forward, consolidation will be key. Rather than cobbling together dozens of point solutions, sales orgs should look for unified platforms that combine AI, automation, and CRM to streamline workflows. Increasingly, we‘ll see all-in-one "sales operating systems" become the center of gravity.

Hybrid Is the New Normal for Sales, But In-Person Still Rules

COVID-19 forever transformed the world of work and B2B sales is no exception. 71% of sales reps now operate in a hybrid model, up from 45% in 2022. Another 20% are in-office full-time, while only 10% are fully remote.

The data suggests this shift is a net positive:

• Reps in a hybrid role are 28% more likely to be crushing quota vs. their in-office or remote peers
• 56% say remote work made selling easier
• 77% of reps want to work remotely at least half the time moving forward (LinkedIn)

However, a distaste for Zoom fatigue and desire for human connection means in-person selling remains most effective. Reps rank their top channels for closing revenue as:

1. In-person meetings
2. Phone calls
3. Email
4. Social media
5. Video conferencing
6. Live chat

The implication is that face-to-face interactions are far from dead, but reps must be more intentional about when and how to deploy them. For example, an enterprise rep may do initial discovery calls over Zoom but insist on an in-person workshop before delivering a proposal.

As we settle into the next normal, successful sellers will develop a hybrid mix of virtual and face-to-face touchpoints that balances efficiency with relationship-building.

The Rising Importance of Self-Service and Sales Enablement

With an overwhelming majority of buyers preferring to self-serve, easy access to helpful information is now table stakes:

• 64% of B2B reps offer self-service tools to aid the buying process, and those who do are 47% more likely to be exceeding quota
• 52% of reps say buyer usage of self-service has increased YoY
• 85% rate self-service as effective for assisting prospects

The most impactful self-service options include:

• Product demos and free trials
• Customer case studies
• User reviews and testimonials
• ROI and TCO calculators
• AI-powered chatbots to answer FAQs

On the flip side, reps also need relevant content at their fingertips to tailor conversations:

• 79% of reps say sales enablement content is important to winning deals
• Adoption of sales enablement assets surged 48% from 2022 to 2023
• Reps leveraging sales enablement are 58% more likely to be outpacing targets

The top sales enablement materials are:

• Social media posts/ads
• Vertical-specific research and insights
• Testimonials and reviews
• Competitive battle cards
• Customizable sales decks

Ultimately, self-service and sales enablement are two sides of the same coin. Together, they help buyers move seamlessly between digital and human-assisted channels as they navigate complex purchases.

Why "Smarketing" Is a Must-Have, Not a Nice-to-Have

Only 30% of reps say sales and marketing are tightly aligned at their company. But those who have cracked the code are reaping the rewards:

• Aligned teams are 107% more likely to exceed quota
• Highly aligned orgs experience 36% higher customer retention and 38% higher win rates (MarketingProfs)

43% of reps say the #1 thing they need from marketing is higher quality leads. 39% wish for more consensus on goals, metrics, and overall go-to-market strategy.

One of the best ways to get (and stay) in lockstep is through integrated tech and data. For example:

• 78% of reps rate their CRM as effective for facilitating sales/marketing alignment
• Reps using a CRM are 79% more likely to report a strong partnership with marketing
• Sharing pipeline data, lead scores, and revenue stats in a single dashboard promotes transparency

Of course, technology is only an enabler. True sales/marketing harmony requires a foundation of trust, constant communication, and shared accountability. Initiatives like quarterly leadership offsites, "smarketing" SLAs, and revenue operations functions can institutionalize collaboration.

How to Turn Existing Customers Into Revenue-Generating Advocates

While landing new logos is always exciting, the real gold mine for sales teams is right under their nose. A staggering 72% of company revenue comes from existing customers, compared to just 28% from first-time buyers.

Not only are current accounts highly profitable to grow, but delighting them also generates priceless word-of-mouth:

• Referrals are reps‘ #1 source for high-quality leads, followed by social media and email
• 78% of B2B buyers start the purchase process with a referral (Influitive)
• Referred customers have a 16% higher lifetime value than non-referred customers (Journal of Marketing)

So how can sales teams turn loyal customers into raving fans and revenue drivers?

• Add value at every interaction (proactive check-ins, sharing relevant content, recommending best practices)
• Solicit regular feedback and act on it quickly to show customers you‘re listening
• Offer exclusive benefits and experiences that make customers feel special
• Build formal advocacy programs (case studies, reference calls, online reviews, etc.)
• Develop mutual success plans to track progress and celebrate shared wins

Happy customers who feel like partners – not just dollar signs – will go to bat for you. And in an age of non-stop digital noise, a trusted referral is the holy grail.

Looking Ahead: The Future of Sales

If the past few years have taught us anything, it‘s that change is the only constant. As we look to 2024 and beyond, sales organizations must continue to adapt to the needs of AI-empowered buyers and an uncertain economic climate.

The most successful sellers will be those who embrace technology like AI and automation to become more efficient, but never lose sight of what makes them human. They see themselves not as order takers, but as strategic advisors and problem-solvers.

This means living by the new rules of modern selling:

1. Always be helping (not always be closing)
2. Personalize everything
3. Make it easy to buy from you
4. Sell with empathy and emotion
5. Never stop learning

Above all, put relationships at the center of everything you do. At the end of the day, people still buy from people they know, like, and trust.

How will your team harness the power of AI, advocate like a boss, and hit new heights next year? One thing is certain – the future of sales is anything but boring.