Lead Velocity Rate
But there’s a better metric, your Key Metric, you should track and score yourself to, and hold your VP Marketing and marketing team to – Qualified Lead Velocity Rate (LVR),
your growth in qualified leads, measure month-over-month, every month. It’s real time, not lagging, and it clearly predicts your future revenues and growth.
And it’s more important strategically than your revenue growth this month or this quarter.
- If you set as a top corporate metric growing your LVR about 10-20% greater than your desired MRR growth — and you have a consistent sales team — you’ll hit your revenue goals.
- And the great thing about LVR is while sales may ultimately have a quarterly variance, and while a lost renewal can hurt — there’s no reason leads can’t grow every single month like clockwork. Every single month.
- If your leads are growing faster than sales, then an upgrade in sales will almost always lead to higher growth. Often, much higher growth.
As long as you are using Qualified Leads, and you use a consistent formula and process to qualify them, you can then See The Future:
Most relevant during:
PMF phase
GTM Fit phase
Scale phase
Most relevant for:
ACVs < $15K
ACVs $15K-$50K
ACVs > $50K