Sales Velocity
How fast revenue moves through your pipeline, combining the number of deals, their average value, your win rate, and the sales cycle length into one figure.
Sales velocity = (opportunities x win rate x deal value) / sales cycle length
Why it matters
Sales velocity shows which lever, more deals, bigger deals, higher win rate, or faster cycles, will grow revenue fastest. It turns a vague sense of sales health into something you can optimize.
For example
With 50 open deals, a 20 percent win rate, a 2 lakh average deal, and a 60-day cycle, sales velocity works out to about 33,000 rupees of revenue per day.
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Related terms
Also in Starting Up
See how founders actually handle this on Money, pricing and metrics, part of the Starting Up hub.
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