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The role of tracking your sales team goes beyond meeting the objectives for revenue. It helps you realise what leads to more successful activities, improve those areas and make better decisions.

By monitoring the correct Key Performance Indicators or KPIs, you will see how well your sales team operates. This blog provides the top 10 KPIs you should focus on with your sales team.

1. Lead conversion rate

This KPI shows what share of leads end up becoming paying clients. You calculate it by dividing customer acquisitions by the total number of leads. A high lead conversion rate indicates that your sales efforts are effectively convert leads into customers.

2. Sales growth

Revenue growth over a given period is an indicator of sales growth. This period can be calculated as monthly, quarterly or yearly. This sales team KPI gives you a higher level of view of whether your sales efforts are generating consistent and scalable results.

3. Target achievement rate

One of the most vital sales team KPIs, this metric shows whether your team is on track to hit their sales goals or not. Keeping an eye on goal results lets you spot if you are not doing well. It makes it easier to anticipate problems and allocate the right resources.

4. Customer acquisition cost (CAC)

CAC shows how much it costs to acquire a new customer. This metric shows the costs of sales, marketing and advertising. This KPI shows how effective your sales process is. Lowering your CAC while still closing deals showcases that your team is making more profit per customer.

5. Average deal size

It determines what the company earns, on average, for every completed deal. Having a higher average deal size usually means that people are choosing their targets more carefully or are skilled at negotiation. Organisations use financial forecasting to decide how much to sell and when.

6. Sales cycle length

It measures the timeframe a lead takes to convert leads into customers after first contact. Shorter sales cycles indicate an efficient sales funnel. If the cycle is too long, it may suggest bottlenecks in your process or poor lead nurturing.

7. Lead response time

Among other sales team KPIs, this metric shows the speed at which your team acts on new leads. The likelihood that leads will become customers increases if your staff can act quickly. To reduce the time it takes to respond to prospects, work on communication within your team.

8. Opportunity win rate

This KPI is often referred to as the close rate because it marks the proportion of deals you close, compared to all your open opportunities. A high number of won deals means your sales team is doing great at finalising deals. It demonstrates how well a company fits the needs of its clients with its abilities and offerings.

9. Sales activity metrics

This metric represents how many calls took place, emails were delivered, demos were booked and follow-ups were completed. Reviewing these activities lets you monitor the efforts and contributions of your team. These two factors directly influence the performance outcomes.

10. Customer retention rate

This KPI is seen as a way to measure results after a sale has been made. Retaining customers depends a lot on the success of your sales process. For example, continuing business with a client over time reveals that your sales staff is delivering what the client hopes for. Retaining existing customers and maintaining positive bonds with them ultimately helps in business growth.

Final thoughts

Choosing the right sales team KPIs gives a feasible outline for success. By focusing on these KPIs, you will better understand the sales team’s performance, set clearer goals and convert leads more consistently into customers.