The Metrics That Actually Drive Sales Efficiency

Most sales teams track too many metrics and too few that matter. Here's how to identify the KPIs that drive revenue decisions.

The Problem with Vanity Metrics

Many sales teams fall into the trap of tracking metrics that look good but don't drive decisions. Activity metrics like calls made, emails sent, and meetings booked can be useful, but they don't tell you if you're on track to hit revenue goals.

Leading vs. Lagging Indicators

The key is to focus on leading indicators—metrics that predict future outcomes—rather than lagging indicators that tell you what already happened.

Leading indicators for sales efficiency include: - Pipeline velocity - Win rate by stage - Time in each stage - Conversion rates between stages

Building Your Metrics Framework

Start with your revenue goal and work backwards. What metrics need to be true for you to hit that goal? Those are the metrics you should track and optimize.

Conclusion

Focus on metrics that drive decisions, not metrics that look impressive. When you track the right metrics, you make better decisions, and revenue follows.