How it works
You can count dozens of things: emails sent, calls made, deals open, average deal size. Those are metrics. A metric becomes a KPI when you give it a target and check it on a schedule.
Sales KPIs come in two kinds. Lagging ones, like revenue, win rate and quota attainment, tell you how a month went once it's over. Leading ones, like calls, conversations and meetings held, tell you mid-month where it's heading. You're paid on the lagging ones, and you can only move the leading ones.
Worked example, with made-up rates: your target is $40,000 a month and your average deal is $4,000, so you need 10 deals. If you win 1 in 4 opportunities, that's 40 opportunities. If half your meetings turn into an opportunity, that's 80 meetings, or 20 a week. So the KPI you check each week is meetings held. If it reads 6 with days still to go, you can still fix it.
Keep the list short. A rep needs a handful of KPIs, and at least one should be something you can move today.
Where it shows up in your week
A leading KPI only helps if someone looks at it while the week can still change. With Palby Sales Tracker for sales managers, your reps log calls in one tap, and you see who's gone quiet during the week. The sales KPIs guide covers which ones to check and how to set their targets.
Related terms
Questions reps ask
A metric is anything you count. A KPI is a metric with a target and a date, and you'd act if it slipped.
Revenue against quota, win rate, average deal size, sales cycle length, and activity counts such as calls and meetings held.
A handful. Enough to cover the result you're paid on and the activity that produces it, and few enough to check every week.
They're a leading one, and they're useful once you know how many calls a meeting takes. On their own, a high call count only tells you someone was busy.