{"id":4503,"date":"2015-12-11T16:58:00","date_gmt":"2023-10-18T16:58:36","guid":{"rendered":"https:\/\/www.salesforce.com\/?p=4503"},"modified":"2023-10-18T17:36:00","modified_gmt":"2023-10-18T17:36:00","slug":"sales-deal-velocity-regression","status":"publish","type":"post","link":"https:\/\/www.salesforce.com\/ca\/blog\/sales-deal-velocity-regression\/","title":{"rendered":"How To Strike A Better Balance Between Sales Deal Velocity And Regression"},"content":{"rendered":"\n

We all know that what goes up must come down\u2014which is fine when you\u2019re talking about the law of gravity, but more painful when you\u2019re talking about sales performance.<\/p>\n

As David Taber explains, though, CRM<\/a> becomes particularly valuable for a company in helping pinpoint some of the potential holes in a given company\u2019s sales methodology, especially if they know a bit about what to look for. In a recent article on CIO.com<\/a>, the consultant and author of Salesforce Secrets of Success<\/i> outlines seven different areas to monitor within CRM to improve results. These two were particularly notable: deal velocity and deal regression.<\/p>\n

\u201cWhat you want to do is compare how many days deals spend in each stage of the pipeline, looking for differences between the winners, the losers, and the open deals,\u201d Taber writes in reference to deal velocity. \u201cYou\u2019re likely to find that winners go faster than losers, and you should be able to identify at which stage a deal is most likely to die.\u201d<\/p>\n

Deal regression, on the other hand, refers to the percentage of deals that move out in time, backwards in stage, or down in value. \u201cIf this is over a few per cent, it\u2019s an indication of \u2018bogusity\u2019 in the pipeline,\u201d Taber says.<\/p>\n

Your Pipeline, Deconstructed<\/b><\/p>\n

One way to start shifting the balance between deal velocity and deal regression was outlined in a book published earlier this year called Hacking Sales: The Playbook For Building A High-Velocity Sales Team<\/i><\/a>. The author, Max Altschuler, suggests small and medium-sized companies start by breaking down the core components of their pipeline in order to conduct the right kind of analysis. A sample of these areas would include the following:<\/p>\n