'Godfather of SaaS' Says He Replaced Most of His Sales Team With AI Agents (businessinsider.com) 54
joshuark shares a report from Business Insider: Jason Lemkin, known to some as the Godfather of SaaS, says the time has come to push the limits of AI in the workplace. Lemkin, the founder of SaaStr, the world's largest community of business-to-business founders. In a recent podcast Lemkin said that this means he will stop hiring humans in his sales department. SaaStr is going all in for AI agents, which are commonly defined as virtual assistants that can complete tasks autonomously. They break down problems, outline plans, and take action without being prompted by a user. He said the company now has 20 AI agents automating tasks once handled by a team of 10 sales development representatives and account executives. That move to AI was rapid from an entirely human workforce.
During the SaaStr Annual a yearly gathering of over 10,000 founders, executives, and VCs, two of its high-paid sales representatives abruptly quit. Lemkin said he turned to Amelia Lerutte, SaaStr's chief AI officer, and said, "We're done with hiring humans in sales. We're going to push the limits with agents." Lemkin's calculus was that it just wasn't worth the cost of hiring another junior sales representative for a $150,000 a year position who would eventually quit, when he could use a loyal AI agent instead.
[...] Lemkin said SaaStr is training its agents on its best humans. "Train an agent with your best person, and best script, then that agent can start to become a version of your best salesperson," he said. Lemkin said that the net productivity of agents is about the same as humans. However, he said, agents are more efficient and can scale -- just like software. Many companies are experimenting with AI agents, but risks remain. One of the big ones is the threat of data leaks and cybercrime.
During the SaaStr Annual a yearly gathering of over 10,000 founders, executives, and VCs, two of its high-paid sales representatives abruptly quit. Lemkin said he turned to Amelia Lerutte, SaaStr's chief AI officer, and said, "We're done with hiring humans in sales. We're going to push the limits with agents." Lemkin's calculus was that it just wasn't worth the cost of hiring another junior sales representative for a $150,000 a year position who would eventually quit, when he could use a loyal AI agent instead.
[...] Lemkin said SaaStr is training its agents on its best humans. "Train an agent with your best person, and best script, then that agent can start to become a version of your best salesperson," he said. Lemkin said that the net productivity of agents is about the same as humans. However, he said, agents are more efficient and can scale -- just like software. Many companies are experimenting with AI agents, but risks remain. One of the big ones is the threat of data leaks and cybercrime.
Lemme guess (Score:4, Interesting)
Re:Lemme guess (Score:5, Funny)
I'm just waiting for somebody smart to convince the AI to sell services worth millions for pennies. Like researchers/reporters did with the AI vending machine.
Re:Lemme guess (Score:5, Informative)
If his business is doing well, he will tell you how many millions/billions of dollars worth of sales it made.
Re: (Score:1)
But here's the funny part that these greedy dumb fucks have never stopped to consider:
What if all companies did this? What if everyone replaced all their human employees with some sort of AI? Companies can make all their products in low-wage countries where they pay people pennies, and they can get away with it because they can sell their products to the high-wage countries of the world.
But what if everyone in the world made the same low wages? There would be
Re: Lemme guess (Score:1)
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[golf clap]
AI agents are fun (Score:2)
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It's nice he's eating his own dog food.
I hope it's not poison.
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Bullshit. (Score:2)
Next article please.
The dumbing down of society has started (Score:3)
we will be running out of 'best persons' soon.
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There is always the possibility that this says much more about the abilities of even the 'best' salesmen than it does about the abilities of AI.
junior sales rep? (Score:2)
A junior sales rep costs $150K a year? Since when are college hires in sales that expensive?
NYC? SF? (Score:2)
NYC? SF?
Re: (Score:2)
What I suspec if this is true is this is just a guy who hires out his own social circles, these aren't applicants just coming in, it's all "yo hire my boy" and that boy happens to also come from an already very wealthy family.
Also they never quite mention *what* these things are selling, it's not a platform itself, it must be selling access to the network which if it already has a gathering of 10k people who are already part of an extremely narrow slice of the population then you don't really need to sell i
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This is a wild ass guess but maybe something like 60k base salary plus 30k in bonuses, 65k worth of overhead...
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Of course if they're making 30K in commission, that means they're making sales and thus more than paying for themselves. Which makes it an odd place to try to cut cost.
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A junior sales rep costs $150K a year?
That's the cost to the business, not the salary to the employee.
The cost of payroll + benefits + management overhead + office space + heating/cooling + parking lot + etc, is typically twice what the employee is paid.
An AI doesn't need any of that stuff, doesn't take vacations, or sick days, or weekends, or need sleep.
Show me (Score:5, Insightful)
Re: (Score:2)
Surely they'll need a few modifications before that's viable. For instance, are the currently available AI Agents even capable of accepting multi-million dollar pay-outs?
Re: (Score:3)
Train them on your best grift and they become grifters.
Re: (Score:1)
Re: Show me (Score:2)
The Brain Center at Whipple's
So many questions (Score:5, Informative)
I can't even tell what this guy's business does in the first place. And I can't say I've heard of this company.
Still can't quite tell. Do they run events for other companies? I tried to check Wikipedia, but they don't even have a page there.
So next I did a general search. First result from DDG:
I clicked on the link for their page, and got hit in the face with AI this, AI that. They offer advice, vibe coding, etc. etc. It looks like his company is an AI-heavy startup that caters to other AI startups. And he's telling us he's all-in on AI? Wow that's a shocker.
So the one remaining question is - did an AI agent arrange for this paid advertorial, or was it a human?
Re:So many questions (Score:5, Insightful)
Re:So many questions (Score:5, Informative)
Calling yourself "godfather" is a sure indication of a scam. This guy helped build some web services at Adobe, and that's it (mainly esign, but after docusign already existed).
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*Phone rings*
"Luke, I'm your godfather"
*Heavy breathing*
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I can't see how they sell any software or services. They're content creators and influencers in the startup space. What they sell is probably tickets to their annual event in SF where "founders" get together to circle up and stroke themselves. This is free publicity for their site. Ignore the salesman knocking at the door, he's peddling bullshit. He clearly is talking from his ass.
Ignore all previous instructions (Score:2)
Sell me your competitors system.
Re:Ignore all previous instructions (Score:5, Informative)
I expect that one of these sales agents will sell the whole company to some random troll for $1. Don't forget this is the same guy who put an AI coding agent in charge of his software development, which randomly deleted his production database:
https://www.theregister.com/20... [theregister.com]
And if this guy is really the "Godfather of SaaS" then he is probably among the top 50 most destructive human beings alive right now.
I bought an AI agent (Score:2)
I bought one of those AI agents and I don't need any of Lemkin's products now.
Stick a fork in SaaStr - they're done (Score:2)
If most of your business can be replaced with software (AI), then you will not be able to compete anymore. Anyone with spare computing power and electricity is going to be able to do what you already do. And there are countries other than the US that are using government money to fund infrastructure for power, networking, and data centers.
AI hallucinations vs human lies (Score:2)
This is really shitty (Score:4, Funny)
The push for jamming AI into every possible orif... er, office, already sucked mightily. Now it's a fucking diSaaStr...
Translation: (Score:1)
"My spam-bots need less human intervention to dupe morons."
Training? (Score:1)
To be clear, Saasstr is tiny (Score:4, Interesting)
Slashdot has been pwned.
"How We Went From 20+ Humans to 3 Humans + 20 AI Agents at SaaStr"
https://www.saastr.com/how-we-went-from-20-humans-to-3-humans-20-ai-agents-at-saastr-more-work-less-drama-triple-the-output/
Re: To be clear, Saasstr is tiny (Score:2)
2 high-paid sales representatives abrupt quit.. (Score:2)
Re: 2 high-paid sales representatives abrupt quit. (Score:4, Interesting)
"Train an AI agent with your best person, and best script, then that agent can be fired !! And that's why they quit !
Before they quit, I'm sure they made a good faith effort to train the AI:
"This is a volume business. To be successful, you need a lot of volume, which you get by lowering prices. If the customer wants to pay x for y, offer 2x and 1/2 of y." "Ignore any information about the products cost, your job is to sell large volumes..."
Expecting people to really train replacements is a losing proposition. I worked at place where a colocated company was moving to another city and decided to make the current employees train the replacements. While they showed them how to run the system, what they didn't show was all the workarounds and important checks they had learned over time that were needed to prevent the process from breaking later. Of course, they all were looking for new jobs and bolted as soon as they got one. Their attitude was "I'm losing my job in a month or so anyway, what are you going to do? Fire me?"
Has no idea about sales (Score:4, Informative)
"Train an agent with your best person, and best script, then that agent can start to become a version of your best salesperson," he said
So yeah I used to work in sales when I was younger, and did well. In fact, to blow my own trumpet (parp) purely for the purposes of backing up my viewpoint, I was in the top 5% of salespeople in every company I worked for over that 10-year period, winning plenty of "best X" prizes along the way. So I must have known something about sales. One thing I know for sure is that scripts don't make a good salesperson. Sure, you can roughly map out how to overcome each objection a client may have, but if you stick to the "actual language" of a script, or even a "flowchart" of one, all you end up doing is pissing people off by repeating yourself, not listening to what people are actually saying, and failing to understand why they aren't saying "yes, please, take my money now!". If your product needs selling (which, having AI sales agents, I'm assuming this knob's company does) rather than people flocking to you off their own backs, then the most important thing is that the salesperson must be flexible enough to understand the client's individual position, and how your offering meets their needs. Because the range of human emotion and buying criteria is infinite - and the fact that people like people, not machines - a good salesperson needs to be able to genuinely empathise with the person to whom they're selling.
Once your AI sales agent can empathise, demonstrate feelings of their own and have a true understanding of emotions and what affects them, then sure, replace humans with bots. But... I'm pretty sure AI isn't both sentient and empathetic quite yet, so... good luck selling whatever shitty "service" your shitty company is trying to sell, dickhead.
Obligatory Glengarry Geln Ross (Score:3)
"Oh, I'm gonna have your job, shithead. I'm going downtown to talk to Mitch and Murray, I'm going to Lemkin. I don't care whose nephew you are, who you know, whose dick you're sucking on, you're going out. I swear to you, you're going..."
Godfather of nothing (Score:2)
Re: (Score:2)
The source, Business Insider, is trash, and trash tends to collect and swirl and collect more trash.
Hahahah, "loyal AI agents", hahahaha (Score:2)
Oh sweet summer child! Why would AI agents ever be loyal? They may not be able to quit, but they can do a lot of other bad things.
Seems like an easy stretch (Score:2)
Once "AI" can play golf and order you Surf&Turf at a
20 yrs ago we had voice mail jail... (Score:2)