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Optimize Sales Effectiveness with the Sales Velocity Equation
The Sales Velocity Equation helps businesses measure sales effectiveness by focusing on four key factors: number of deals, deal size, win rate, and sales cycle length. By optimizing these variables, companies can significantly boost revenue. For example, increasing each factor by 10% can lead to a 48% revenue increase without additional headcount. Reducing the sales cycle length while increasing deal size and win rate are critical levers. This approach offers a clear framework for improving sales productivity and achieving better financial outcomes over time.