Sales velocity measures how fast money moves through your pipeline. The formula: (Number of Opportunities × Win Rate × Average Deal Value) ÷ Sales Cycle Length. It's a single number that captures the health of your entire revenue engine. To increase sales velocity, you can add more opportunities, improve win rate, increase ACV, or shorten the sales cycle — these levers interact, so optimizing one can hurt another.
For example, if you have 50 active deals, a 25% win rate, $20K ACV, and a 60-day sales cycle, your sales velocity is $4,167/day — meaning you're booking about $125K in new ARR per month.
Sales velocity is one of the core metrics we track when we take over pipeline strategy — it quantifies the impact of every marketing and sales improvement.
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Book a free strategy call →Ideal Customer Profile (ICP)
Your ICP is the precise description of the company most likely to buy, stay, and expand.
Sales Development Representative (SDR)
An SDR is the outbound hunter on your sales team — their job is to generate qualified meetings, not close deals.
Business Development Representative (BDR)
A BDR is similar to an SDR but often focuses on larger, more strategic accounts or outbound into new markets rather than a defined territory.
Total Addressable Market (TAM)
TAM is the total revenue opportunity if you captured 100% of your target market.
Serviceable Addressable Market (SAM)
SAM is the portion of TAM you can actually reach with your current GTM motion.
Serviceable Obtainable Market (SOM)
SOM is the slice of SAM you can realistically capture in the next 12–24 months given your resources, competition, and execution capacity.