3 key benchmarks for sales funnel performance (live from Del Mar!)
I was at the Del Mar Fairgrounds last week in San Diego, where the surf meets the turf! Inspired by the athleticism of these highly tuned thoroughbreds, I wanted to write a post about speed, velocity, things that GO FAST. In my business (and possibly horse racing too), we measure by the numbers, percentages and dollars at every stage, every day. I am constantly inspecting my clients’ sales process and find ways to increase the velocity and volume of their sales funnels. This week’s blog provides best practice statistics that you can apply to your own sales organization to determine the velocity of your sales process (and an attempt to get your sales funnel looking like American Pharaoh).
Measuring yourself against the clock at various stages of the sales funnel will give you an idea of where you stand today. Once you’ve set the benchmark for your sales organization, you can apply best practice tactics to any stage of the funnel and then test, measure, and re-deploy those applications until you find one that beats the clock.
Sales funnels can be easily broken down into 3 main categories:
- Prospects: These contacts come through the demand generation campaigns, also known as Marketing Qualified Leads.
- Leads: These contacts are nurtured through the lead generation phase, also known as Sales Qualified Leads.
- Sales: These contacts are either Net New Accounts or Renewal/LTV Accounts, also known as Close Rates.
At InsideOut, we like to go fast and break sales records. I inspect speed as a key measurement of sales funnel performance for my clients, allowing me to gather data on everything from data quality to touch strategies. Since there is a lot to measure, I broke down some of the key metrics that allow any sales and marketing professionals to inspect their own funnel velocity. Here are metrics we use at InsideOut to make our clients’ sales funnels go fast.