Key Takeaways
- Deal velocity = (Deals x Value x Win Rate) / Cycle Length. Improving any variable accelerates revenue.
- The highest-leverage variable depends on your situation: early-stage companies should focus on more deals, mature companies on win rate.
- CRM-tracked deal velocity by rep and segment reveals coaching opportunities and process improvements.
Optimizing Each Velocity Component
| Component | How to Improve | Impact |
|---|---|---|
| Number of deals | Better lead gen, higher MQL volume, partner referrals | Linear: 2x deals = 2x velocity |
| Deal value | Upselling, multi-year contracts, bundling | Linear: 2x value = 2x velocity |
| Win rate | Better qualification, sales training, competitive intel | Linear: 2x rate = 2x velocity |
| Cycle length | Streamline approvals, eliminate stalls, better demo/trial | Inverse: 50% shorter = 2x velocity |
Reducing cycle length is often the quickest win. Identify where deals stall most frequently (usually awaiting internal approvals or legal review) and streamline those stages with standardized processes and pre-approved templates.
Frequently Asked Questions
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