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Guide

SaaS sales glossary: ICP, BANT, MEDDIC, OTE, ARR and more

Plain-English definitions of the SaaS sales terms you'll hear in SDR interviews and in your first weeks on the job in India.

Updated 7 November 2026 · 6 min read · By Curioversity Careers team

In short

  • Short definitions of the terms SDRs hear most, from ICP and BANT to OTE, ARR and pipeline.
  • Knowing these helps in interviews and in your first weeks on the job.
On this page

Roles

SDR (Sales Development Representative)Finds and contacts potential customers and books meetings for the sales team
BDR (Business Development Representative)Often the same as an SDR; sometimes focused on outbound outreach
AE (Account Executive)Runs demos and closes deals
CSM (Customer Success Manager)Helps customers get value after they buy, and keeps them renewing
RevOps (Revenue Operations)Runs the tools, data and processes behind sales, marketing and customer success
GTM (go-to-market)The plan for how a company reaches, sells to and keeps its customers

Customers and targeting

ICP (ideal customer profile)The type of company most likely to buy and succeed with the product
Buyer personaThe type of person inside that company who uses or buys the product
Decision-makerThe person who can approve the purchase
ChampionSomeone inside the customer company who wants the deal to happen
ABM (account-based marketing)Focusing sales and marketing effort on a chosen list of accounts

Qualification

BANTA qualification checklist: Budget, Authority, Need and Timeline
MEDDICA deeper checklist used in larger deals: Metrics, Economic buyer, Decision criteria, Decision process, Identify pain, Champion
Discovery callAn early call to understand the prospect's needs before pitching
MQL / SQLMarketing-qualified lead and sales-qualified lead: how far a lead has been checked
ObjectionA reason the prospect gives for not moving forward, like price or timing

Pipeline and metrics

PipelineAll the open opportunities, grouped by stage
Sequence (or cadence)A planned series of emails, calls and messages to one prospect
Reply rateThe share of people who reply to your outreach
Conversion rateThe share that moves from one stage to the next, for example reply to meeting
QuotaYour target for a period, such as meetings booked per month

Pay

OTE (on-target earnings)Fixed salary plus the full variable pay you'd earn at 100% of target
Variable payThe part of pay linked to results, such as incentives or commission
CommissionVariable pay calculated as a share of the revenue you help close
Accelerator (in a pay plan)A higher commission rate once you pass your target

Business terms

SaaS (software as a service)Software customers pay for by subscription and use online
B2BBusiness to business: selling to companies rather than individuals
ARR / MRRAnnual and monthly recurring revenue from subscriptions
ChurnCustomers who cancel or don't renew
CAC (customer acquisition cost)What it costs to win one new customer

Questions people ask

What does ICP mean in sales?

Ideal customer profile: the type of company most likely to buy a product and succeed with it. SDRs use it to decide which companies to contact.

What is BANT in sales?

A simple way to qualify a lead by checking Budget, Authority, Need and Timeline.

What is the difference between ARR and MRR?

MRR is monthly recurring revenue from subscriptions; ARR is the same figure over a year.

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