Sales metrics are key indicators for the success of a sales strategy. They show how your team is performing and whether your marketing and sales actions are delivering results.
What I mean is: with these numbers in hand, you can make accurate adjustments and make decisions based on facts, not guesses.
And I know that, for a sales manager, knowing which sales metrics to track is quite a challenge! But choosing the right one can be the difference between the success and failure of a campaign.
Once you’ve defined which indicators make sense for your company, the next step is to turn these raw numbers into practical actions. And that’s where good managers shine: when it comes to interpreting data and using this information strategically.
In this article, I will show you the most important parameters and what to do to apply the information obtained to change and improve your sales results.
Let’s go?
What are the main sales metrics?
Sales metrics are numbers that help you measure how your sales team is performing at each stage of the process. They cover everything from the first contact with the customer to after-sales, giving you a complete view of how your business is doing.
To improve your strategy and achieve better results, it is important to know which sales Key Performance Indicators ( KPIs) make the most sense for your company.
Below, I have listed the main data that every manager should monitor to make the business grow and make a profit. Check it out!
Conversion rate
Conversion rate is an index that reveals your business’s ability to convert leads into customers. It is like a thermometer for your Marketing and Sales Strategies, helping you see what is working and what needs improvement.
When you look at the conversion rate at each stage of the sales funnel, it becomes easier to understand where your team is excelling and where they are struggling.
For example, if you track the progression from Marketing Qualified Lead (MQL) to Sales Accepted Lead (SAL), then to Sales Qualified Lead (SQL), and finally to completed sales, you can clearly see where the bottlenecks are for improvement.
A great tip is to use Cohort Analysis. Let’s say you launched a new campaign in January. With this analysis, you can compare the results with those of previous months and see the real impact of the campaign at each stage of the funnel.
This metric is also used to count how many new opportunities appeared in a month, for example, and how much each one is worth.
An “opportunity created” is when you have a chance to move the prospect one step further down the sales funnel. This happens if your company presents solutions that match the customer’s needs.
Remember: quality trumps quantity! What shouldn’t count as an opportunity generated are some actions — like sending the same email to 50 people on a list.
So, focus on personalized and relevant interactions to increase your chances of conversion!
With conversion rate, you can predict — with a good margin of accuracy — how your sales will behave. Combine this with your sales history and current traffic data, and you have a powerful tool for predicting and improving future performance.
Customer Acquisition Cost (CAC)
Customer Acquisition Cost (CAC) is an indicator that reveals how much your company invests to acquire a new consumer. It is calculated by dividing the total Marketing and Sales expenses by the number of new followers acquired in a specific period.
CAC = (cost of sales + cost of marketing) ÷ number of new customers
A well-managed CAC will contribute greatly to the financial health of your business. To do this, consider:
- Optimize your Marketing Campaigns: analyze the performance of each channel and focus your efforts on the most profitable ones;
- Improve your sales process: train your team to convert leads more efficiently, reducing the time and resources needed to close a deal;
- Invest in customer retention: when satisfied, they can become advocates for your brand, attracting new business at a lower cost;
- Automate processes: Use marketing automation tools to nurture leads in a scalable way and reduce the need for manual intervention.
To make it clearer, look at the following example: your company spent R$50,000 on Marketing and Sales in the last quarter and, as a result, acquired 100 new customers.
In this case, your CAC would be $500 per person (50,000 ÷ 100). If each person generates an average revenue of $1,500, you have a healthy margin.
However, if the average income was R$600, it would be time to reevaluate your plans to reduce CAC or increase the amount for each individual. Do you understand the logic?
That’s why you need to monitor this metric and be prepared to adjust it along the way.
Average ticket
The average ticket is a metric that reveals the average sales value of an employee or team as a whole. To calculate this, simply divide the total revenue generated by the number of sales made in a specific period.
Average Ticket = revenue ÷ orders
This metric is a tool for evaluating sales performance, which will help you identify which team members are generating the most value for the company.
Furthermore, with it, you will understand the effectiveness of strategies and the positioning of products in the market.
See what to do to increase the average value per purchase :
- Cross-selling: offer complementary products that add value to the main purchase;
- Upselling: encourage the customer to opt for premium versions or more complete packages.
An advanced technique for analyzing average spending per customer is audience segmentation, which means you group them by common characteristics, such as industry or company size. This way, you can identify patterns and market opportunities.
For example, if the average ticket is higher in a segment, it is worth directing more Marketing efforts towards that group.
To illustrate, imagine the sales of two employees at your company:
- Ana closed 20 sales, totaling R$100,000;
- Bruno made 10 sales, totaling R$80,000.
Although Ana generated more total revenue, Bruno’s average ticket (R$8,000) exceeded Ana’s (R$5,000). This indicates that Bruno had good results using upselling or focusing on higher potential consumers, even with fewer transactions. Got it?
Monthly Recurring Revenue (MRR)
Monthly Recurring Revenue (MRR) is a metric that shows the total value of a company’s recurring subscriptions or contracts in a given month. It is particularly relevant for businesses based on subscription models or ongoing services.
Basically, this indicator assesses the stability and growth potential of the business. In other words, a growing MRR indicates that the company is gaining new customers and retaining existing ones — a positive sign of satisfaction and loyalty.
So, if you want to maintain a good MRR (and you want to!), consider:
- Focus on retention: have excellent service and loyalty programs;
- Offer upgrades and premium plans: encourage users to upgrade to more complete plans;
- Implement value-based pricing: see if your prices reflect the real value delivered;
- Reduce Churn: quickly identify and resolve the reasons why customers cancel their subscriptions.
For example, imagine a software company that offers three subscription plans: Basic ($50/month), Pro ($100/month), and Enterprise ($200/month).
With 100 users on the Basic plan, 50 on the Pro plan, and 25 on the Enterprise plan, your MRR would be: (100 x R$50) + (50 x R$100) + (25 x R$200). When doing the math, we would have: R$5,000 + R$5,000 + R$5,000 = R$15,000
Now, if the company manages to get 10 Basic plan members to migrate to Pro, and 5 from Pro to Enterprise, keeping the same total number of customers, the new MRR would be:
(90 x R$50) + (55 x R$100) + (30 x R$200) = R$4,500 + R$5,500 + R$6,000 = R$16,000
This R$1,000 increase in MRR, without the need to acquire new buyers, demonstrates the power of Upselling and offering added value.
Revenue per salesperson
This criterion measures the total value of sales generated by each member of your sales team in a specific period. In practice, it evaluates individual performance and identifies the professionals who are putting the most money in your pocket.
By calculating revenue by salesperson, you can see patterns of success, areas for improvement, and training opportunities for employees.
Furthermore, this data serves as a basis for creating much more realistic and tangible goals, and even creating incentive programs within the company.
And of course I have some tips for you to do this. Write them down:
- Offer personalized training to map the skills that high-performance salespeople have and develop training programs focused on these skills;
- Implement a mentoring system, pairing experienced salespeople with newcomers to share knowledge and successful sales techniques;
- Optimize lead distribution, ensuring that salespeople are receiving the most qualified leads that are aligned with their skills and experience;
- Set challenging but achievable individual goals. This helps keep your sales force engaged and focused on improving.
Win rate (Business Closing Rate)
The win rate, also known as the deal closing rate, measures the proportion of sales opportunities that result in closed deals. In other words, it reveals the team’s ability to convert qualified leads into effective customers.
Therefore, a high win rate suggests that the sales team is targeting the right audience and using appropriate sales strategies. On the other hand, a low rate may indicate problems in the process of qualifying potential customers or in the sales approach.
But don’t worry! To improve this benchmark, it is important to refine the process, that is, identify the characteristics of the ideal audience and focus efforts on those with the greatest conversion potential.
Additionally, improving your negotiation skills can also make a big difference.
Another strategy that can be considered is to personalize the sales approach for each client, understanding the needs of each prospect and adapting the value proposition to increase the chances of closing the deal.
Likewise, a structured follow-up process also improves your win rate. So, don’t leave anyone waiting to be contacted, okay? Answer their questions promptly to maintain a relationship of trust with your potential customers.
Finally, analyzing the reasons behind lost sales makes it possible to identify bottlenecks and adjust sales strategies to continually improve the process.
Average time to close (sales cycle)
Average time to close is a sales KPI that measures the time between the first contact with a lead and the completion of the transaction. In general, this value reveals the speed at which prospects are converted into customers.
The shorter the time, the more likely it is to indicate an optimized sales process and that your sales team is well prepared. The opposite may suggest obstacles in the process or noise in communicating the value of the product or service.
So, you can see that having an agile and well-structured sales process can be a competitive advantage in today’s market, right? So, to reduce the average closing time, follow these tips:
- Improve lead qualification by focusing on prospects most likely to convert;
- Automate repetitive tasks using CRM tools to free up sales team time;
- Create a well-defined sales funnel, establishing specific steps and actions for each phase;
- Offer regular training to keep your staff up to date on sales techniques and product features;
- Develop support materials with content that helps answer common consumer questions.
The importance of sales KPIs in evaluating commercial performance
Sales KPIs help identify strengths and areas for improvement within the sales department. They are necessary to align individual goals with organizational objectives.
Ultimately, you will have a more results-focused work environment.
To choose the right KPIs, you need to consider the characteristics of your business and your market.
First, start by identifying your company’s key goals, then select the metrics that best reflect progress toward those goals.
For example, if the focus is on rapid growth, the number of new customers may be a relevant KPI. On the other hand, if the priority is profitability, the average ticket or profit margin per sale may be more appropriate.
In this sense, the integration of KPIs into CRM systems helps to improve the monitoring of indicators, with real-time access to relevant data.
This way, you can make better decisions, as you will have a complete view of the sales process because the data is all in the same place.
Therefore, by using advanced algorithms to analyze historical patterns, it is possible to predict future sales trends, to anticipate changes in the market, adjust your approaches and optimize resource allocation.
Application of information obtained from sales metrics
It is not enough to simply monitor the indicators. You need to meet the necessary conditions to transform this knowledge into action:
Invest in planning and team improvement
High-performance sales teams prioritize gathering and analyzing information before interacting with prospects. I can assure you: exceptional results arise when opportunity finds those who are prepared!
Strategic planning is the foundation of this. With it, you will need to define objectives, identify the ideal target audience and create personalized approaches for each market segment.
By aligning sales targets with the company’s overall objectives, the sales team will focus its efforts on activities that truly impact business growth.
But it is also very important to train employees, through training programs and workshops with the best market practices.
Finally, the intelligent use of technology complements these efforts. To this end, CRM tools, market intelligence platforms and marketing automation solutions strengthen the sales team. They now have data on prospects, automate tasks and focus on closing deals!
Set goals
Setting business goals is just the beginning. The real challenge is ensuring that your employees understand their responsibilities and tasks. And sales metrics are essential in this context.
When each employee understands how to do their job and, more than that, how they contribute to the company’s results, engagement and productivity go way up!
Furthermore, professional training needs to be seen as an ongoing process and not as isolated events.
You and I both know how the market is constantly evolving, and how quickly the skills needed to excel in sales change.
This is where Objectives and Key Results (OKRs) can be a great partner. They provide a good framework for setting ambitious, measurable goals at both an organizational and individual level.
With this approach, employees can see, in practice, how their activities connect with the organization’s broader goals, reinforcing their sense of purpose at work.
Monitor after-sales indicators
After all this, don’t forget about after-sales! This is a critical stage in the sales cycle, and your metrics should include data specific to this stage.
Good post-purchase follow-up makes the customer more satisfied and also increases the chances of repeat purchases and recommendations. And that’s the goal!
Therefore, create a contact schedule right away, which can be done through thank you emails, phone calls and satisfaction surveys.
Use these interactions to gather customer feedback and identify opportunities for improvement.
Also, put in place a customer support system, with different communication channels and resources such as user guides, video tutorials or webinars. This will help them get the most out of your product or service.
And don’t forget to closely monitor metrics like Net Promoter Score (NPS), retention rate, and repeat purchase frequency. These metrics show you how satisfied your customers are and how likely they are to make referrals.
Every company has its own success indicators!
Throughout this article, you learned about several important sales metrics, from the average ticket to after-sales criteria. But don’t forget that each company has its own reality and challenges.
So, there’s no point in trying to copy your competitors’ approaches, as this doesn’t mean you’ll be successful. Instead, adapt the parameters and strategies to the specific context of your business!
What works for one may not be the best approach for another.
If you want to better understand which indicators are most relevant to your case and how to implement them effectively, count on a specialized Digital Marketing agency, such as Enjoy Minder.
Get a free Digital Marketing Diagnosis with us! In it, we can identify your strengths, weaknesses and opportunities for improvement, with personalized recommendations to boost your company’s results.
