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What is sales velocity?
Sales velocity measures how quickly a company generates revenue from its sales pipeline.
Sales velocity generally combines several metrics — number of opportunities, average deal value, win rate, and sales cycle length — to provide a comprehensive view of sales efficiency that highlights how effective sales teams are at turning prospects into paying customers.
It’s important to track sales velocity because:
- Highlights inefficiencies by identifying bottlenecks in the sales process like long cycle times or low conversion rates
- Drives revenue growth by pinpointing strategies that increase deal value, win rates, or opportunity volume for faster revenue generation
- Improves forecasting by offering accurate insights into future revenue potential based on current pipeline trends
- Aligns teams by encouraging collaboration between sales and marketing to optimize pipeline performance
- Supports strategic decision-making by providing data to inform resource allocation, training needs, and goal setting.
How to calculate sales velocity?
If you’re curious about how efficiently your sales processes generate revenue, you need to pay attention to sales velocity. You might have the best sales team in the world, but if they’re taking forever to close deals, you might still miss your sales goals.
By calculating sales velocity, you gather important insights into the health of your sales pipeline and your sales team — which allows you to identify strengths and areas for improvement. Armed with that information, you can eliminate bottlenecks, ensure your team is aligned, and ultimately accelerate revenue growth.
To calculate sales velocity, use this formula:
(Number of Opportunities × Average Deal Value × Win Rate) ÷ Sales Cycle Length
For example, if you have 50 opportunities, an average deal value of $5,000, a win rate of 20%, and a 30-day sales cycle, your sales velocity is $1,667 per day.
You can then look at your sales velocity over a quarter and understand how likely you are to hit your sales goals. So if you’re winning $1,667 per day, in a 90-day sales quarter your team is likely to generate $150,030 based on current sales velocity.
If your goal is much bigger than that, you’ll need to adjust the sails of your sales team.
What is good sales velocity?
Good sales velocity varies by industry, company size, target market, deal complexity, and business model. While a SaaS startup might be trying to demonstrate a velocity that grows steadily each week, an enterprise software company might be more interested in proving they’re able to close large deals consistently.
With that being said, there is no singular “good sales velocity” number. You want to ensure that your velocity is aligned to the expectations of the quarterly close and ideally increasing every quarter as you tweak sales processes and double down on what is working.
Best practices for calculating sales velocity
If you’re keen on getting accurate insights into your sales processes and taking a data-driven approach to revenue growth, it’s critical to follow these sales velocity best practices.
1. Ensure CRM data accuracy
Clean, accurate data is the foundation of reliable sales velocity metrics. By regularly auditing your CRM, you can verify that opportunity numbers, deal values, and close dates are all accurate. Failure to do so can lead to misleading insights, causing your team to prioritize the wrong activities or misjudge performance trends.
2. Use consistent length of time (longer the better)
Sales velocity should be measured over a consistent time period — like every month or every quarter. Since short-term data can skew results due to anomalies and seasonal fluctuations, you’re best off measuring longer timeframes that yield more accurate insights for sustainable growth and strategy optimization.
3. Don’t only measure sales velocity
While sales velocity is a powerful metric, it’s not the only one that’s important. To take your sales org to the next level, you need to track several different metrics — like customer acquisition costs, customer lifetime value, and win rate trends — to get a more comprehensive view of overall performance and team efficiency.
How to increase sales velocity in 2025
Increasing sales velocity in 2025 requires a strategic approach to streamline your sales process.
By focusing on automation and personalized outreach — and assembling a purpose-built sales tech stack — your sales org can optimize sales velocity and close more deals.
As a reminder, the four factors of sales velocity are:
- Number of opportunities, the total number of potential deals currently in your sales pipeline
- Average deal size, the average revenue value of closed deals
- Win rate, the percentage of opportunities successfully converted into closed deals
- Length of sales cycle, the average time it takes to move a prospect from initial contact to a closed deal
Now that we’ve got our definitions straight, let’s take a look at what you can do to improve each of these elements.
Increase number of opportunities
Sales leaders can expand prospecting efforts by leveraging lead generation tools, investing in tools that make it easier to personalize outreach, and encouraging teams to network and share best practices. At the same time, they should also nurture partnerships and tap into existing customer referrals, ensuring a steady flow of qualified leads into the pipeline.
Increase average deal value
To increase average deal value, focus on upselling and cross-selling to existing customers with a land and expand strategy, and package products or services in a way that adds value. While you’re at it, train your team to identify customer pain points and adjust their pitches accordingly. By leading with ROI, you can also increase the chances prospects can justify larger deals internally.
Increase win rate
To close more deals, invest in targeted sales training that ensures reps know exactly what to do and when to use certain sales plays to close deals.
You can also improve lead qualification processes, using data to focus on the highest probability opportunities. To increase the chances deals close, equip reps with resources like case studies and testimonials and ensure they can overcome objections easily.
Decrease length of sales cycle
When sales cycles drag on too long, sales velocity suffers.
Speed up your sales cycle by streamlining processes with automation, eliminating unnecessary steps, and using tools that help reps cover more ground faster, with minimal context switching.
By ensuring reps are engaging qualified leads and using data to predict ideal timing — like when a champion changes jobs — you can strike while the iron is hot, increasing the chances you close faster.
LeadIQ can help increase sales velocity for B2B sales teams
LeadIQ helps B2B sales teams accelerate sales velocity by streamlining prospecting and improving pipeline efficiency. By enabling teams to quickly identify and capture high-quality leads, LeadIQ reduces the time spent on research — enabling reps to invest more energy in closing deals.
Plus, LeadIQ integrates with CRMs and other sales tools, which helps ensure records are always up to date — something that’s crucial for sales velocity calculations.
On top of this, LeadIQ ships with advanced analytics and personalized features, empowering reps to create custom outreach strategies — increasing the likelihood that messages resonate. It’s an easy way to free reps from drowning in administrative tasks so they can focus on building relationships and selling instead.
By reducing time spent on prospecting, enhancing lead quality, and improving personalization at scale, LeadIQ shortens sales cycles and can help teams boost average deal size.
Add it all up, and LeadIQ can be a game-changer for B2B sales teams looking to improve sales velocity and enjoy better business outcomes because of it.
To learn more about how LeadIQ can help your sales team soar to new heights, request a demo today. Don’t want to wait? No problem. Start your free trial today and see the power of LeadIQ with your own eyes.
