Sales KPIs help sales teams measure performance, identify bottlenecks and track progress toward revenue goals.
The right KPIs show which activities drive growth and which deals need attention. They also improve forecasting accuracy, conversion rates and customer retention.
In this article, you’ll learn about 20 sales KPIs for sales managers and revenue leaders to track, and how to choose the right ones for your team.
Key takeaways from sales KPIs
Sales KPIs help teams track revenue growth, pipeline performance, customer retention and overall sales effectiveness across the sales process.
The right mix of leading and lagging KPIs helps sales managers identify bottlenecks, improve forecasting and support better decision-making.
Grouping sales KPIs by revenue, customer value, sales activity and pipeline performance makes tracking and reporting easier for teams.
Pipedrive’s CRM dashboards help sales teams monitor KPIs in real time and forecast revenue with customizable insights.
What are KPIs for sales?
Sales KPIs (key performance indicators) measure how effectively your sales team achieves specific goals and targets.
They help you assess the effectiveness of your sales strategy, monitor pipeline health and identify which sales activities are working.
The right KPIs also support better decision-making around forecasting, resource allocation and revenue growth.
Some sales KPIs track outcomes, such as closed deals or monthly recurring revenue, while others measure the activities that lead to those results, including sales demo calls and lead response time.
The challenge is deciding which KPIs actually move your business forward rather than just creating noise in your dashboard.
How to choose the right sales KPIs
The right sales KPIs connect directly to your business goals and sales objectives.
Sales KPIs generally fall into two categories:
Activity KPIs track the actions your sales team takes, like calls made or demos held
Outcome KPIs measure results like closed deals or sales revenue
Sales teams also use both leading and lagging indicators.
Leading indicators, such as lead response time and qualified leads, help predict future sales performance. Lagging indicators, such as churn rate or monthly recurring revenue (MRR), measure past results.
Tracking both gives teams a clearer picture of what’s working and where to optimize.
A vague goal like “sell as much as you can” makes it difficult to measure whether the team, or individual sales reps, are succeeding. Likewise, a sales manager tracking only “deals closed” may miss where the sales process slows down if they aren’t also monitoring activities like demos held or proposals sent.
Each company will have its own unique goals. Two companies may offer the same product, but one may focus on expanding its territories while the other aims to acquire more local customers.
Tracking too many sales KPIs can also create confusion. Focus on the metrics most closely tied to your current sales goals and stage of growth.
Align KPIs with activity and performance-based goals
Sales goals often fall into two categories:
Activity goals are based on your team’s actions, such as increasing initial calls for a specific buyer persona
Performance-based goals are based on results – for instance, increasing annual sales revenue by 25%
Once you’ve chosen your sales goals, make them even more effective and eliminate guesswork by creating a SMART goal (specific, measurable, achievable, relevant and time-bound).
SMART goal example: By the end of Q4, the sales team will increase the average deal value by 20% from the previous year.
The sales objective is the planned action to achieve that goal, and KPIs are the metrics you’ll use to track progress.
Here’s an example of each sales goal and its objectives, including the sales KPI examples that match:
Goal | Objectives and KPIs |
Activity goal example: Increase new customers in the south-county region by 10% by the end of Q3. | Objective: Increase sales calls and demos in the south-county region by 40%. KPIs to track:
|
Performance-based goal example: Increase sales revenue by 5% by fiscal year-end. | Objective: Grow monthly revenue by $190,000. KPIs to track:
|
The right objectives for your team will depend on your sales and broader business goals, as well as your team’s performance and sales cycle length.
Consider this example: a software-as-a-service (SaaS) company and a bakery both want to increase their sales growth rates. The bakery aims for a 10% increase after a local radio ad spot, while the SaaS company’s goal is a 25% increase with a massive marketing push.
When you’ve specified your goals and objectives, it’s time to pick the KPIs that will help your team perform well and keep improving.
20 sales KPIs for sales teams
The best sales KPIs measure different parts of sales performance, from revenue growth and customer retention to sales activities and pipeline efficiency.
Grouping sales KPIs into categories makes it easier to choose the right metrics for your sales goals, sales cycle and stage of growth.
This article organizes 20 KPIs into four categories:
Revenue and profitability KPIs
Customer and recurring revenue KPIs
Sales activity and productivity KPIs
Pipeline and conversion KPIs
Here are the metrics that measure revenue growth and profitability.
Revenue and profitability KPIs
1. Monthly sales growth
Monthly sales growth tracks how quickly sales revenue increases over time and helps sales leaders identify trends, uncover bottlenecks and adjust sales strategies.
For example, if a car dealership sees a dip in monthly sales after the holidays, offering significant discounts may attract more buyers.
Setting monthly sales growth targets also gives your sales team measurable short-term goals to work toward in four-week sprints.
How to calculate monthly sales growth:
Monthly sales growth = ((Sales for the current month − sales for the previous month) ÷ sales for the prior month) × 100
2. Average profit margin
Average profit margin measures how much profit your company generates from sales revenue after expenses.
This KPI helps sales managers understand whether sales efforts contribute to sustainable profitability rather than just increasing sales volume.
How to calculate average profit margin:
Average profit margin = (Net income ÷ net sales) × 100
3. Average purchase value
Average purchase value is the average dollar amount customers spend per transaction.
It’s especially useful for companies focused on boosting revenue from existing customers through upselling or cross-selling.
Tracking average purchase value can also reveal which customer segments generate the highest revenue and which sales strategies lead to larger deals.
How to calculate average purchase value:
Average purchase value = Total sales ÷ number of customers or transactions
For example, if your total sales equal $3,000,000 and you have 3,000 customers, your average purchase value is $1,000.
4. Customer acquisition cost (CAC)
Customer acquisition cost measures the cost of acquiring a new customer, including sales and marketing expenses, salaries and overhead costs.
Tracking CAC helps companies optimize budgets, improve profitability and ensure customer acquisition remains sustainable as the business grows.
How to calculate CAC:
CAC = Total sales and marketing costs ÷ net new customers
5. Average customer lifetime value (CLV or CLTV)
Customer lifetime value estimates the revenue a customer generates for your business throughout their relationship with you.
CLV helps sales teams identify high-value customer segments, improve customer retention and focus sales efforts on accounts with the strongest long-term revenue potential.
How to calculate customer lifetime value:
Average CLV = Average customer value × average customer lifespan
Revenue and profitability KPIs show how efficiently your sales efforts generate growth. The next step is understanding customer retention and recurring revenue.
Customer and recurring revenue KPIs
These KPIs help sales teams measure customer retention, recurring revenue and long-term account value.
6. Customer retention rate and churn rate
Customer retention and customer churn rates measure how effectively your business keeps existing customers over time.
Customer retention rate reflects the percentage of customers who continue buying or renewing subscriptions, while churn rates track the percentage of customers who stop purchasing or cancel their accounts.
How to calculate churn rate and retention rate:
Churn rate = (Number of customers lost ÷ starting number of customers) × 100
Retention rate = 1 ÷ churn rate
7. Monthly sales bookings
Monthly sales bookings measure the value of won deals over a specific period after subtracting associated costs.
In SaaS and subscription-based businesses, tracking monthly sales bookings helps leaders forecast revenue, measure sales growth and evaluate the effectiveness of sales strategies.
How to calculate monthly sales bookings:
Monthly sales bookings = Total value of new bookings for the month − (average cost per transaction × total number of bookings)
8. Monthly recurring revenue (MRR) and annual recurring revenue (ARR)
MRR estimates predictable monthly subscription revenue, while ARR measures recurring revenue generated from longer-term contracts or annual subscriptions.
MRR gives sales teams a short-term view of recurring revenue performance, while ARR supports long-term forecasting and revenue planning.
How to calculate MRR and ARR:
MRR = Total number of paying customers in the month × average revenue per customer that month
If your customer base remains relatively stable, you can estimate ARR by multiplying MRR by 12. For businesses with fluctuating customer retention or cancellations, ARR calculations become more complex.
ARR = (Total revenue from annual subscriptions) + (Any additional ongoing revenue) − (Cancellations)
9. Average revenue per account
Average revenue per account measures the recurring revenue each customer account generates on average.
This KPI helps the sales team identify high-value customer segments, improve account-based sales strategies and focus outreach on prospects similar to their most profitable existing customers.
How to calculate average revenue per account:
Average revenue per account = MRR ÷ total number of accounts
10. Sales volume by location
Sales volume measures the revenue or number of sales generated by specific regions or territories.
Tracking this KPI helps sales teams identify high-performing markets, optimize territory planning and adjust sales strategies based on regional demand patterns.
With CRM mapping tools, sales managers can also visualize performance geographically and identify growth opportunities more easily.
How to calculate sales volume by location:
Sales volume by location = (Number of sales in target location ÷ total number of sales) × 100
Customer and recurring revenue KPIs track long-term account value. Sales activity and productivity KPIs help you understand what your team does daily to drive those results.
Sales activity and productivity KPIs
These KPIs track the daily actions sales reps take to move deals forward, including outreach volume and response speed, as well as demo scheduling and conversion rates.
11. Calls or emails per sales rep
Calls or emails per salesperson measure sales activity and individual rep productivity over a specific period.
When paired with conversion rate or close rate metrics, this KPI helps sales managers identify which outreach activities generate the most qualified leads and sales opportunities.
For example, say your goal is to get 10 demos scheduled per rep each month, and it typically takes 100 calls to achieve that target.
Tracking calls per rep can reveal whether a sales rep needs additional support in improving outreach quality or follow-up timing.
How to calculate calls or emails per sales rep:
Calls or emails per sales rep = Total calls or emails ÷ number of sales reps
12. Sales per rep
Sales per rep measures the average number or value of sales generated by each sales rep over a given timeframe.
This KPI helps sales managers set realistic sales targets, compare sales performance across periods and identify high-performing team members.
For example, if January is consistently slower than December, managers can adjust quotas and sales goals to better align with seasonal demand patterns.
It’s important to evaluate this KPI alongside factors such as territory, product value and sales cycle length since sales opportunities vary across teams and markets.
How to calculate sales per rep:
Sales per rep = Total sales over the period ÷ number of reps
13. Monthly demo calls
Monthly sales demo calls track how many product demos your sales team schedules and delivers over time.
Since prospects in the demo stage are often closer to making a purchase decision, this KPI helps sales leaders forecast future sales volume and assess pipeline momentum.
For example, if your team typically converts 10% of demos into closed deals and schedules 100 demos this month, you can forecast roughly 10 new customers.
If conversion rates drop, sales managers can review the sales process to identify bottlenecks or improve demo quality.
Top tip: Track monthly demo calls inside a customer relationship management (CRM) system to improve sales funnel visibility, monitor forecasting and automate sales tasks like follow-ups.
How to calculate monthly demo calls:
Monthly demo calls = Total demos completed during a given period
14. Average response time
Average response time measures how quickly sales reps respond to new leads or perform outreach after a prospect expresses interest.
Fast response times improve follow-up consistency, support lead conversion and help sales teams engage prospects while purchase intent is still high.
How to calculate average response time:
Average response time = Total amount of time to respond to leads ÷ total number of leads
15. Upsell and cross-sell rates
Upsell and cross-sell rates measure how effectively sales teams increase revenue from existing customers.
Since customers already familiar with your business are often easier to convert, tracking these KPIs helps sales managers identify which sales strategies, offers or product combinations generate the most additional revenue.
For example, your team may discover that a specific feature or service consistently performs well with one customer segment. Sales reps can then prioritize similar upselling or cross-selling opportunities in future outreach.
How to calculate upsell and cross-sell rates:
Upsell rate % = Upsell revenue ÷ total revenue
Cross-sell rate % = Cross-selling revenue ÷ total revenue
Activity KPIs show what your sales team is doing. Pipeline and conversion KPIs reveal how effectively those activities turn into closed deals.
Pipeline and conversion KPIs
These KPIs measure how efficiently prospects move through your sales pipeline and convert into paying customers.
16. Lead conversion rate
Lead conversion rate measures the percentage of leads that convert to sales over a specific period.
Tracking this KPI helps sales managers determine win rates, measure sales effectiveness and identify where prospects drop off in the sales funnel.
How to calculate lead conversion rate:
Lead conversion rate = (Total number of sales ÷ total number of leads) × 100
For example, if you have 2,000 sales-qualified leads and make 200 total sales during a given period, your sales team’s win rate is 10%.
17. Sales opportunities
Sales opportunities estimate the weighted value of a lead based on the probability of closing the sale.
Sales teams assign prospects to different stages, such as proposal, qualification or negotiation, and apply weighted values to each stage.
This approach helps sales managers forecast pipeline value more accurately and prioritize high-probability deals.
How to calculate sales opportunities:
Sales opportunity = Value of sale × opportunity status
For example, if you assign proposals a 0.2 weighting and estimate a $100,000 deal, the sales opportunity would be a $20,000 deal.
18. Sales target attainment
Sales target attainment measures how well your sales team performs against quotas and revenue targets over a specific period.
This KPI helps sales managers assess whether teams are meeting forecasts, identify performance gaps and determine which sales reps may need additional onboarding, coaching or support.
How to calculate sales target attainment:
Sales target attainment = (Sales for the current period ÷ sales target) × 100
19. Quote-to-close ratio
Quote-to-close ratio measures the percentage of quotes or proposals that convert into closed deals.
Tracking this KPI helps sales managers evaluate proposal quality, assess pricing effectiveness and identify which sales reps consistently close deals at higher rates.
How to calculate quote-to-close ratio:
Quote-to-close ratio = (Number of closed and won deals ÷ number of quotes) × 100
For example, if your sales rep achieved 30 closed deals out of 150 quotes, their quote-to-close ratio would be about 20%.
20. Average sales cycle length
Average sales cycle length measures how long it takes to close a deal from first contact to signed contract.
Understanding this KPI helps sales managers optimize sales processes, compare rep performance and identify bottlenecks that slow down pipeline velocity.
For example, if reps close customers fast but those customers churn soon after, your product may need longer sales cycles to ensure a better fit and improve customer retention.
How to calculate average sales cycle length:
Average sales cycle = Length of all deals by the day ÷ total number of deals
Once you’ve selected which KPIs to track, the next step is understanding what good performance looks like for your team.
KPI benchmarks for sales teams
Sales KPI benchmarks help teams measure progress and set realistic performance targets over time.
Your team’s benchmarks will depend on several factors:
Industry
Company size
Sales cycle length
Customer base
Sales organization structure
Use industry reports and your own historical data to set realistic targets rather than chasing generic averages that may not fit your sales motion or market conditions.
Where to find benchmark data
You can find benchmarks through industry resources like reports from the Technology & Services Industry Association, government resources like the US Bureau of Labor Statistics or third-party benchmarking tools such as industry KPIs from Insider Intelligence.
Many sales teams start by measuring current performance against previous results.
For example, if your close rate was 10% last quarter, you might aim for 12% this quarter. If your team consistently achieves that target, you can gradually increase future sales goals.
If the benchmark proves difficult, reassess your sales process or pipeline strategy before raising targets further.
Tracking sales KPIs using Pipedrive’s CRM sales dashboard
Pipedrive is a CRM that helps sales teams manage pipelines, monitor leads and automate sales processes.
Pipedrive’s dashboards provide real-time insights into which sales activities drive the most sales and where bottlenecks are slowing your pipeline. They also help sales managers identify which sales reps are meeting targets, so they can improve coaching, forecasting and decision-making.
You can set goals and create sales reports in the Pipedrive KPI dashboard to track metrics like win rate, number of deals in the pipeline and sales activities.
Creating Pipedrive KPI reports
Pipedrive reports provide insights and real-time visibility into pipeline performance, deals, leads and sales rep activity.
You can also use the Insights feature to forecast projected revenue based on the deals in the sales pipeline.
Customize your dashboards to display sales data in a way that supports faster sales reporting and decision-making. Pipedrive Insights includes five chart types:
Column chart
Bar chart
Pie chart
Scorecard chart
Table chart
Arrange these charts to identify trends, uncover bottlenecks and spot sales opportunities more quickly across your pipeline.
The example below shows how different chart types can be combined in a single dashboard view to track multiple KPIs simultaneously.
Tracking KPIs by setting goals in Pipedrive
To track sales KPIs in Pipedrive, start by setting measurable sales goals so you can monitor your progress and forecast future revenue more accurately.
For example, if your goal is to generate $10,000 in monthly sales, you can track progress with the deals won vs. the forecast report.
Sales managers can also set goals for individual reps to improve accountability and track team performance more consistently.
The image below shows how Pipedrive displays individual rep goal progress over time, making it easy to identify performance trends and support reps who may need additional coaching.
Revenue forecasting helps teams monitor sales funnel conversions and identify drop-offs that may impact future sales growth.
Final thoughts
Tracking sales KPIs helps teams measure performance, improve decision-making and identify opportunities to optimize the sales process.
The most effective sales strategies balance different types of KPIs, from revenue and customer retention metrics to activity and pipeline performance indicators. Choosing the right mix helps sales teams track progress more accurately and respond to bottlenecks earlier.
CRMs like Pipedrive make it easier to analyze sales data, monitor performance in real time and forecast revenue more efficiently.
Sign up for a free trial to see how it can help your team track and improve sales KPIs.
