BY Jessica Helinski
Sales velocity helps sellers refuel a sale, pushing talks past the finish line to a deal. But do you know how to create it?
Why do sellers need sales velocity?
Andy Springer, RAIN Group, reports that stalled deals are a common challenge for reps. 44% of sales leaders say more opportunities are being lost to “no decision.” And 43% report longer sales cycles.
And it's primarily due to a lack of urgency.
“Buyers delay because they don’t perceive enough immediate value in making a change today versus staying the same,” he writes.
Sales velocity measures how quickly deals move through the pipeline. And to uncover it requires just a bit of simple math.
It is calculated by multiplying the number of opportunities, average deal size and win rate, then dividing by the sales cycle length. Springer shares the following formula:
Deal/Sales Velocity = (# of Opportunities x Average Deal Size x Win Rate) / Sales Cycle Length
As Donny Kelwig writes for Zendesk, sellers simply input their own data points.
- Number of opportunities: This is the number of leads in the pipeline.
- Deal value: Use the average deal size to gauge how much each prospect typically spends.
- Win rate: Calculate your win rate by dividing won deals by total opportunities; better lead qualification improves this rate.
- Sales cycle length: A shorter sales cycle allows reps to close deals faster and move on to new prospects.
Note that sellers should consider using digital tools, like a CRM, to formulate and track this data. For advice on using one, take a look at these tips.
Boosting urgency via a blueprint
To help sellers increase their sales velocity, Springer introduces what he calls the “Buyer Change Blueprint.”
This framework, or “BCB,” accelerates buyer readiness by proactively mapping their journey. It begins with their current state and leads them to their desired outcome, positioning your solution as the path to get there. The result? Sales velocity.
The BCB includes three distinct sections:
- Current State: Summarizes the buyer’s key pain points and challenges identified during discovery.
- New Reality: Paints a clear picture of the improved future once those issues are addressed.
- Your Solution: Explains how your product or service connects the buyer’s current struggles to their ideal future outcome.
Sellers can immediately start building a BCB following discovery, and refinements can be made along the way.
“It serves as a collaborative tool…” Springer writes. “…ultimately shaping a proposal that aligns with their priorities.”
Presenting your blueprint
Sharing the BCB with the prospect is the next step to driving sales velocity. And how you present your outline has a big influence on how it’s received.
Springer suggests the following presentation framework:
- Begin with insights. Introduce the prospect to your analysis of their Current State. Doing so not only demonstrates your knowledge about them but also establishes trust. Be detailed, pulling in insights from past conversations to illustrate their situation.
- Present the New Reality. This is where you “paint a picture” for the prospect. Show them what their future could look like using your solution. And as Springer adds, focus on “terms of business outcomes, not just features.”
- Compare the two. Clearly contrast their Current State and New Reality. This is a prime opportunity to instill a sense of urgency. So be sure to emphasize the importance of quick action.
- Ask for input. Finally, take time to encourage feedback and collaboration. Remember, you want to position yourself as a trusted advisor and partner.
With this strategy, sellers can effectively harness the power of sales velocity. They’ll see faster proposal creation, greater buyer engagement and higher close rates—all while helping prospects achieve their goals.
