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Why $35M AI Sales Startups Still Can't Replace Your SDR Team

· 5 min read
MarketBetter Team
Content Team, marketbetter.ai

Monaco just raised $35M. 11x raised $74M. Artisan raised $12M. Billions are flowing into AI sales tools with one implied promise: your human SDR team is about to become obsolete.

Except it's not.

And here's the thing — the smartest founders in the space know this. Sam Blond, Monaco's CEO, specifically designed his platform with human-in-the-loop guidance. He ran sales at Brex. He's seen what works. And he chose not to promise full automation.

So why does the "replace your SDRs" narrative persist? And why is it wrong?

The Automation Fallacy

There's a persistent belief in tech that if you throw enough money and compute at a problem, you can automate it away. It works for some things — data entry, scheduling, report generation.

But sales isn't data entry.

What AI Can Automate

  • ✅ Finding prospects in databases
  • ✅ Writing initial email drafts
  • ✅ Scheduling meetings
  • ✅ Logging CRM data
  • ✅ Researching companies
  • ✅ Prioritizing lead lists
  • ✅ Following up on sequences

What AI Can't Automate (Yet)

  • ❌ Building trust with a stranger
  • ❌ Reading the room on a discovery call
  • ❌ Adapting a pitch in real-time based on subtle cues
  • ❌ Navigating office politics to reach the decision maker
  • ❌ Knowing when to push and when to pull back
  • ❌ Genuine empathy when a prospect shares a problem
  • ❌ Creative problem-solving for unique objections
  • ❌ Relationship-building over months of a sales cycle

The first list is grunt work. The second list is what actually closes deals.

The Results Speak

11x.ai, the most well-funded "replace your SDR" company, has a ~3.5/5 rating on G2 after more than a year in market. Multiple reviewers cite generic-sounding outreach and lack of nuance.

Meanwhile, human-in-the-loop platforms like MarketBetter (4.97/5 on G2) consistently outperform on customer satisfaction. Why? Because they augment humans instead of replacing them.

The data is clear: AI that makes SDRs more productive beats AI that tries to replace them.

What $35M Buys You (and What It Doesn't)

Monaco's $35M buys:

  • World-class engineering talent
  • An impressive AI-native CRM
  • A built-from-scratch prospect database
  • AI-powered email outbound with human oversight
  • A meeting notetaker

What it doesn't buy:

  • The ability to replace human judgment in complex sales
  • Magic that makes email-only outreach compete with multichannel
  • Website visitor identification (Monaco doesn't have it)
  • An AI chatbot for inbound leads (Monaco doesn't have it)
  • A smart dialer for phone outreach (Monaco doesn't have it)
  • Instant credibility (they're still in public beta)

Monaco is smart to embrace human-in-the-loop. But even their approach outsources the human element to Monaco's own experts — rather than empowering your team.

The Right Way to Think About AI + SDRs

The question isn't "Can AI replace my SDRs?" The question is "Can AI make each SDR 3-5x more productive?"

The answer is yes. Here's what that looks like:

Without AI SDR Tools

A typical SDR's day:

  • 30 min researching prospects manually
  • 45 min writing and personalizing emails
  • 20 min logging CRM data
  • 30 min figuring out who to call first
  • 15 min looking up prospect context before calls
  • = 2+ hours of admin before any real selling

With AI SDR Tools (MarketBetter)

  • Daily Playbook: Opens to a prioritized task list — no figuring out what to do
  • Visitor identification: Warm leads surfaced automatically — no cold list building
  • AI email drafts: Personalized sequences ready to review and send — no starting from scratch
  • Pre-meeting intel: Auto-generated briefs — no manual research
  • Smart dialer: AI-powered scripts and call intelligence — more effective calls
  • AI chatbot: Inbound leads captured 24/7 — no leads slipping through

Time saved: 2+ hours per SDR per day. That's 2+ hours of additional selling time. Multiply by your team size. That's the ROI of AI — not replacement, but augmentation.

Why the "Replace" Companies Will Pivot

Here's a prediction: within 18 months, most "AI SDR replacement" companies will pivot to "AI SDR augmentation." The market is telling them what works:

  1. Buyers prefer human interactions for complex B2B purchases
  2. Fully autonomous outreach produces diminishing returns as every company uses it
  3. Human-in-the-loop platforms have higher customer satisfaction (G2 ratings prove it)
  4. The total addressable market for "augment SDRs" is larger than "replace SDRs" — because every company with SDRs is a prospect, not just companies that want to cut headcount

Monaco already got the memo — they embedded human guidance from day one. The question is whether their feature set will catch up to platforms like MarketBetter that deliver the complete SDR stack.

The Bottom Line

$35M doesn't replace human judgment, empathy, and relationship-building in sales. It never will.

What money CAN buy is better tools that make every SDR dramatically more effective. That's the right investment — in AI that empowers your team, not AI that replaces it.

MarketBetter gets this. Your SDRs keep their jobs. They just become superhuman at them.

Make Your SDRs Superhuman

MarketBetter doesn't replace your SDRs — it makes them 3-5x more productive. Visitor identification, daily playbook, smart dialer, AI chatbot. Book a demo and see the difference.

Why Your Next SDR Hire Should Be an AI Agent (But Your Current SDRs Are Safe) [2026]

· 7 min read
sunder
Founder, marketbetter.ai

Let's address the elephant in the room: AI is coming for your SDR team.

At least, that's what the headlines want you to believe.

The reality? After running a team of AI agents at MarketBetter for the past quarter—watching them research prospects, draft emails, monitor competitors, and analyze deals—I can tell you definitively:

AI won't replace your SDRs. But AI will make your top SDRs unstoppable—and your average SDRs obsolete.

Here's what's actually happening.

The AI Panic Is Real (And Mostly Wrong)

Every sales leader I talk to has the same question simmering beneath the surface: "Should I be worried about my team?"

The panic is understandable. When you see AI tools:

  • Researching 100 prospects in the time a human researches 3
  • Personalizing 500 emails while maintaining quality
  • Working 24/7 across every timezone without complaining

…it's easy to imagine a future where human SDRs are simply obsolete.

But here's what the "AI will replace everyone" crowd misses:

Sales isn't data processing. Sales is psychology.

McKinsey's latest research shows that 42% of B2B decision-makers are implementing AI for sales—but only 7% have AI "fully scaled" across their organization. Why the gap?

Because they learned what we learned: AI is phenomenal at preparation. AI is terrible at persuasion.

What AI Actually Does Well

Let's be honest about AI's strengths. At MarketBetter, our AI agents (yes, we named them—Zenith, Orbit, Recon, Signal) handle:

1. Research at Scale

Before AI, researching a single enterprise account took 30-45 minutes. Now Recon synthesizes:

  • Company news and hiring patterns
  • Tech stack from job postings
  • Competitor relationships
  • Pain signals from G2 reviews
  • LinkedIn activity from key stakeholders

Time to insight: 3 minutes. Not 30.

2. First Drafts That Don't Suck

Our AI writes the first draft of prospecting emails. Not generic templates—actual personalized messages referencing specific company events, tech decisions, and pain points.

Human SDRs used to spend 40% of their time writing emails. Now they spend 10% editing AI drafts—and the output is better.

3. Repetitive Task Automation

  • CRM data entry? Automated.
  • Meeting prep briefs? Generated.
  • Follow-up scheduling? Handled.
  • Competitor monitoring? Continuous.

The average SDR spends 66% of their time on non-selling activities. AI can reclaim most of that.

4. Pattern Recognition at Scale

AI doesn't get tired. It doesn't have bad days. It notices patterns humans miss:

  • "Prospects who mention 'consolidating vendors' convert 3x higher"
  • "Reaching out within 2 days of a leadership change increases response by 47%"
  • "This prospect's company just hired 3 SDRs—they're investing in outbound"

Humans spot these patterns eventually. AI spots them instantly.

What AI Cannot Do (And Won't Anytime Soon)

Here's where the AI-replacement narrative falls apart:

1. Build Genuine Trust

When a VP of Sales is evaluating your product, they're not just buying software. They're betting their career on a decision.

No AI can look them in the eye (metaphorically or literally) and say: "I understand. I've been there. Here's how we've helped teams like yours."

Trust is built through shared vulnerability, through admitting uncertainty, through moments of genuine human connection. AI can simulate empathy. It cannot feel it—and people can tell the difference.

2. Navigate Political Complexity

Enterprise deals involve 6-10 stakeholders with conflicting priorities:

  • The CFO wants cost reduction
  • The VP of Sales wants quota attainment
  • The IT Director wants security compliance
  • The end users want simplicity

A skilled SDR reads the room, adjusts messaging in real-time, and builds individual relationships with each stakeholder. AI sees stakeholders as data points. Humans see them as people with fears, ambitions, and hidden agendas.

3. Handle True Objections

AI can respond to common objections with pre-programmed responses. But what about:

"We tried something similar and it destroyed our team's morale."

"Our CEO's golf buddy runs your competitor."

"I'm actually getting pushed out in 3 months, so I can't champion anything."

These aren't logical objections. They're human moments requiring human intuition.

4. Create Something From Nothing

The best SDRs aren't just executing playbooks—they're inventing new approaches:

  • A creative way to get past gatekeepers
  • An unexpected angle that resonates with a specific persona
  • A referral strategy that opens doors no email ever could

AI optimizes existing patterns. Humans create new ones.

5. Adapt to the Unexpected

AI thrives on patterns. Sales is unpredictable.

When a prospect suddenly pivots the conversation, brings up an unexpected concern, or makes an off-script comment that reveals their true priority—AI flounders. Great SDRs flourish.

The Hybrid Model: 10x SDRs

Here's the insight nobody's talking about:

The future isn't AI vs. humans. It's AI + humans vs. everyone else.

The most dangerous sales teams in 2026 aren't replacing SDRs with AI. They're giving each SDR an AI co-pilot that handles:

  • 100% of research
  • 80% of first-draft writing
  • 100% of data entry
  • 100% of scheduling

This transforms what an SDR can accomplish:

MetricTraditional SDRHybrid AI+SDR
Prospects researched/day10-15100+
Personalized emails sent30-50150-200
Time on actual selling34%75%+
Response rate2-3%5-8%

That's not a marginal improvement. That's a category shift.

What This Means for Your Team

If You're a Sales Leader

Don't replace your SDRs. Augment them.

  1. Identify time sinks: Where do your SDRs waste time? Research? CRM? Scheduling? Those are AI opportunities.
  2. Invest in AI tools: Not chatbot gimmicks—real AI workflows that integrate with your stack.
  3. Upskill your team: Train SDRs on working with AI, not against it. Prompt engineering is a sales skill now.
  4. Redefine metrics: Stop measuring "activities." Start measuring "conversations" and "pipeline influence."

If You're an SDR

Your job isn't disappearing. It's getting harder—and more valuable.

The SDRs who thrive will be those who:

  • Use AI to work at 10x scale while maintaining quality
  • Focus their human time on relationship-building and complex deals
  • Develop skills AI can't replicate: empathy, creativity, strategic thinking
  • Become invaluable because they're irreplaceable, not because they're cheap

If You're a Founder (Like Me)

Your next hire might be an AI agent.

Not instead of an SDR—alongside one. At MarketBetter, our AI squad does the work of 3-4 full-time employees in research, content, and ops. The humans on our team focus exclusively on what only humans can do.

The math works. The results speak for themselves.

The Bottom Line

AI won't replace SDRs in 2026, 2027, or anytime soon.

But AI will make the gap between great SDRs and average SDRs exponentially wider.

The question isn't "Will AI take my job?"

The question is "Will I learn to work with AI before my competitor's SDRs do?"


Ready to see how AI can amplify your sales team? MarketBetter combines AI-powered research, personalization, and workflow automation to make your SDRs 10x more effective—without replacing them.

Book a Demo →


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