Sales Velocity- Guides & eBooks| edge CRM

What is in this guide?

Sales Velocity is a term used to measure the speed at which your business is growing. However, there is a way to calculate any sales organization’s sales velocity.

Here’s your comprehensive guide on everything about Sales Velocity.

Things you’ll learn in this guide:

Basics of Sales Velocity

We help you understand what “Sales Velocity” means and how you can calculate any sales organization’s sales velocity.

The Levers of Sales Velocity

Typically, there are 4 levers of Sales Velocity, namely, number of opportunities, average deal size, win rate and the average sales cycle.

Ways to increase your Sales Velocity

Sales Velocity can be increased if you pay more attention to increasing any one of the four levers of Sales Velocity.

Why Sales Velocity is important?

Sales Velocity helps in gauging the growth of any business. Hence, it is important.

Sales velocity is the measurement of how quickly deals move through your pipeline and generate revenue.

There are four levers of Sales Velocity, namely, number of opportunities, average deal size, win rate and the average sales cycle.

Calculating Sales Velocity is fairly simple. You multiply the number of sales opportunities by the average deal size (or average customer lifetime value) and your win rate and then divide that result by the length of your sales cycle.

What's a good sales velocity number? The answer depends entirely on the organization. Generally speaking, a higher sales velocity means more money in your company's pocket. An organization generating $500 per day is better than $300 per day.