Traditionally, the sales process was envisioned as a funnel. Put raw leads in the top, qualify as you go, and eventually money comes out the bottom (or that’s the hope). The challenge with this approach is that it ignores the relative impact of a whole lot of things that are going on in that funnel. That’s where the Sales Velocity Equation comes in. It’s basically a simple way to calculate the relative impact of the four key metrics of pipeline health:
- Increasing the # of sales opportunities
- Increasing the average $ per deal
- Increasing the win rate %
- Reducing the length of the sales cycle
The problem is, most sellers still give disproportionate attention to increasing the number of opportunities in the pipeline, and ignore the other three parts of the equation, leading to less than optimal results. This white paper provides a guide to optimize sales effectiveness and ideas on what you can do with the deals you have in your pipeline to impact your deal size, win rate, and sales cycle duration. You might be surprised at the results.