Sales Velocity

Sales velocity is the speed at which the leads move through your pipeline to bring revenue.

Also referred to as pipeline velocity, this metric shows how fast you're making money.

It is calculated by multiplying the number of opportunities by the average deal size and conversion rate and dividing the total by the sales cycle length.

Sales velocity = (Opportunities x Avg. deal size x Conversion rate) / Sales cycle length

Knowing your sales velocity also helps forecast your future revenue.