Which sales metrics are most critical to keep track of?
A sales dashboard gives you a valuable overview of your sales team’s performance. It helps you to measure key metrics, individual team members’ activities and overall sales activities; but to build an effective sales dashboard, you need to understand which metrics to track.
As a sales manager, you must ensure your team is empowered with the right tools and an understanding of how they’re performing against specific sales metrics. But which metrics are vital to track and report back on at each sales meeting?
Keren Rosenfeld, Marketing Director at SimilarTech says, ““Not all metrics are important to track and depending on your business some will be more important than the others. That being said, there are several that every startup should track.”
You can split your metrics into two categories:
Key metrics will vary based on job title and goals. For sales managers, results-oriented metrics could include:
- Number of deals in the pipeline
- Win rate: The percentage of deals won vs. deals lost
- Average deal size: Amount of revenue each new deal generates on average
- Average time to close: The length of time it takes to close a deal
- Sales revenue: Total revenue generated across a specific time-frame
- Lead response time: How long it takes for reps to respond to new inquiries and leads
- Follow-up rate: How persistent your salespeople are being with follow ups.
Activity-based metrics include:
- Lead response time: How quickly your team responds to new opportunities is an indicator of proactiveness and action.
- Emails sent: How well your team perform at outreach, for both warm and cold leads
- Calls made: Number of calls your team are making throughout the day.
Which results and activity-based metrics are most critical to your sales team success and why?