How To Calculate Lead Velocity Rate (LVR) in Excel or Sheets
Introduction
In today's competitive business landscape, it's more important than ever to track and measure your sales pipeline. One key metric that can help you do this is Lead Velocity Rate (LVR). LVR measures the rate at which your qualified leads are moving through your sales pipeline. A high LVR indicates that you're generating and qualifying leads quickly, while a low LVR suggests that there may be bottlenecks in your sales process.
Why it's Important
LVR is a valuable metric for sales and marketing teams for several reasons. First, it can help you identify areas for improvement in your sales process. For example, if your LVR is low, it could be a sign that your lead generation efforts are not effective, or that your sales team is not following up with leads quickly enough. Second, LVR can help you forecast future sales. By tracking your LVR over time, you can start to see trends and patterns that can help you predict how many sales you are likely to close in the future. Finally, LVR can help you benchmark your performance against other companies in your industry. This can help you identify areas where you need to improve in order to stay competitive.
How to Calculate LVR in Excel or Sheets
The formula for calculating LVR is simple:
LVR = ((QLm - QLm-1) / QLm-1) * 100
Where:
- QLm is the number of qualified leads in the current month
- QLm-1 is the number of qualified leads in the previous month
To calculate LVR in Excel or Sheets, you can simply enter this formula into a cell. For example, if you had 100 qualified leads in December and 120 qualified leads in January, your LVR would be 20%.
Summary
LVR is a valuable metric that can help sales and marketing teams track and measure the effectiveness of their sales pipeline. By calculating and tracking your LVR, you can identify areas for improvement, forecast future sales, and benchmark your performance against other companies in your industry.
