6 Business Development Metrics for Life Sciences
- Claudio Rota, Ph.D.
- May 24
- 4 min read
Updated: May 24
A good business developer isn't measured by how much money they bring in.
Yes, revenue matters. Of course it does. But judging a business developer (or Sales Development Representative, SDR) solely on the deals they close — or the meetings they book — is shortsighted. And misleading.
Why? Because if those wins keep coming from the same familiar accounts, if no new territories are being explored, if future deals aren’t being nurtured, then we’re not building growth. We’re just getting by.
Here’s what the real world data tells us — and why we need smarter metrics:
Meetings are just the beginning
In our 2024 analysis of 20 lead generation campaigns across life sciences — including CROs, CDMOs, and SaaS providers — 2,061 companies were targeted. From that effort:
290 scheduled meetings were secured
Average deal size: $50,000
Conversion rate from meeting to deal: ~33%
Projected near-term revenue (3-6 months): ~$5 million
This is the visible success. The part that’s easy to track and celebrate. But it’s only the tip of the iceberg.
“Not right now” doesn’t mean “No”
Out of the same outreach pool, 683 companies responded with some variation of: "We’re interested, but not at this time." Too often, these leads are ignored — but they may be the most valuable part of your future pipeline.
Projected long-term revenue (12-24 months): $10–$17 million (assuming a 30–50% conversion rate).
These aren’t dead ends — they’re 12–24 month opportunities. If you’re not tracking and nurturing them, you’re leaving serious money on the table.
Saying “No” early saves time and money
Then there’s the “no” camp: 1,771 companies who either didn’t respond or said they’re not interested. At first glance, this may seem like wasted effort. But in reality, it’s a major efficiency gain.
Let's do a quick example:
Average time spent per company: 5 hours
Hourly rate of business developer: $60/hour
Total resource savings: $531,300
Disqualifying poor-fit leads early isn’t failure — it’s resource optimization. It frees your team to focus on higher-potential targets.
6 Business Development Metrics To Track
Money matters. But true performance includes activity that builds future value. Here are six business development metrics (KPIs) every business developer should be measured against.
Meaningful conversations
Relationships precede revenue. If your business developer is always in the office, something isn’t working. Business development is relationship bulding. While video calls are useful, in-person meetings open doors and deepen bonds in ways that digital can’t fully replace. A reasonable benchmark for a full-time business developer is 120 to 150 face-to-face meetings per year. But if someone is doing 300 or more, it shows exceptional proactivity and dedication to relationship-building.
Percentage of net-new accounts engaged
Growth comes from new logos — not just deeper penetration. If 100 meetings happen but most are with the same set of familiar prospects, the pipeline isn’t expanding. Ideally, at least 50–60% of meetings should be with brand-new companies or contacts. This ensures your business developer is continuously evolving and broadening market reach.
Tailored proposals delivered
Are you translating interest into action? Meetings are important, but the ultimate goal is converting interest into action. A key measure of effectiveness is the number of customized proposals sent out — each one representing a concrete step toward closing a deal. Tracking proposals helps assess whether discussions are progressing beyond initial conversations and into tangible business opportunities.
New customers acquired
Success is not just about landing one massive contract. It’s equally important to win a mix of quick wins and strategically valuable accounts. A single $1 million deal is impressive, but so are 20 new customers each generating $50,000. A diversified customer base reduces risk, balances revenue streams, and positions the company for steady growth.
Total deal value (short- and long-term)
Don’t evaluate deal value in isolation. Consider the full context — including near-term wins and long-term pipeline potential. This broader perspective encourages nurturing prospects who may not buy immediately but represent substantial future revenue. Combining short- and long-term deal values paints a more complete picture of pipeline health and business developer impact.
"Assists” that led to pipeline progress
Give credit to teammates who helped move deals forward — marketing, product, scientists, manufacturing. Good BD is a team sport. This is how you build a “culture” of business development across the organization. If everyone is awarded, everyone wins. It is a team sport.
Final words
Selling in life sciences isn’t like selling in other industries. It’s slower, more complex, and full of decision-makers — from scientists to procurement to compliance. Deals can take months, sometimes even years, to close.
Business development isn’t a transaction. It’s an investment — one that pays off in phases. If you judge success purely by short-term revenue or meetings booked this quarter, you miss other important metrics such as (1) the cost savings of early disqualification, (2) the long-term value of “not yet” leads, and (3) the brand equity and relationships built over time
The smartest companies know a good business developer isn’t measured by how much money they bring in.
They’re measured by how well they build the future.
At Outbound Pharma, we help you measure and maximize the full value of your business development efforts. Ready to grow smarter and build lasting success?
