Sales Playbook Step 3: Sales Metrics That Matter: Build a Scoreboard Your Reps Can Actually Win

Does this sound familiar?

You finally decided to hire a salesperson. You interviewed, vetted, and picked the one who seemed like the perfect fit to sell your solution. You trained them, gave them what they needed, and set them loose in the market. Then you waited. Weeks go by. Then months.

You’re meeting with them regularly, and they’re doing what you ask, but the sales metrics you hoped for just aren’t there. Eventually, you cut your losses. You’re out of time and money—and worse, you still don’t know what went wrong. Now you’re stuck at square one and unsure how to avoid making the same mistake again.

Why Sales Hiring Feels Like a Gamble

Most business owners rely on gut feel, industry experience, or “years in sales” when hiring. You try to make the right call, but it’s still a roll of the dice. You can’t eliminate risk entirely, but you can improve your odds dramatically by setting key sales metrics before the hire is even made.

In this article, we’ll break down the sales metrics that matter. These are the numbers that will help you measure performance, guide coaching, and ensure your team is always moving in the right direction.

Start with Revenue Goals—But Break Them Down

Most companies assign representatives a yearly revenue target, broken down into quarterly or monthly goals. That’s a start—but it’s not enough. You need to understand what drives those numbers.

1. New vs. Existing Customer Revenue: Are you hiring this rep to bring in new business, grow existing accounts, or both? Be specific. Set clear expectations for how much revenue should come from: 

   • New customer acquisition 

   • Existing customer upsell or cross-sell

2. Product or Solution Mix: If you sell multiple products or services, set revenue goals per offering. This ensures reps aren’t just selling what’s easy, but what’s strategically valuable to your business.

3. Average Deal Size

 Once product-level targets are set, determine the average deal size for each. This lets you work backward:

 Revenue Goal ÷ Average Deal Size = # of Deals Needed

 Now, every rep can see the exact volume they need to close.

Model the Sales Process to Track Progress

Once you know how many deals are needed, build a sales KPI dashboard that tracks activities and outcomes across the sales process.

4. Set Target Close Rates: Use your historical data to set reasonable closing ratios. Need ten deals at a 25 % close rate? Then, forty proposals must go out.

5. Track Activity & Effectiveness by Sales Stage: A solid model tracks both activity (how much they’re doing) and effectiveness (how well they’re doing it).

   • Activity Goals (quantitative):

     • of outbound calls

     • of meetings booked

     • of demos or presentations

     • of proposals sent

   • Effectiveness Goals (conversion rates):

     • % of leads that convert to qualified opportunities

     • % of meetings that turn into proposals

     • Proposal-to-close win rate

• 
  

  This dual tracking lets you see instantly whether a rep is working hard and smart.

How to Use Sales Metrics to Drive Performance

Once your metrics are in place, use them regularly to assess, coach, and improve performance. Here’s how:

Quarterly Product Mix Review

Compare the actual sales mix to the target. A mismatch could mean the rep is targeting the wrong customers or struggling to sell a specific solution.

Average Deal Size Check

If deal sizes are trending lower than expected, you may need to:

• Adjust the number of deals required

• Coach the rep on how to sell the complete solution

• Re-evaluate whether they’re targeting ideal customers

Analyze Closing Ratios

A low close rate? Time to dive deeper. Examine each step in the sales process to identify where deals are being stalled. Is it the pitch? The proposal? Perhaps the representative needs additional product training.

Monitor Early Activity Metrics

Especially in a rep’s first 90 days, activity metrics are vital. If call volumes or meetings are low, it's a red flag. Address it quickly and clearly. If they can’t meet baseline activity expectations, it may not be the right fit.

Final Thought: Sales Metrics Are Your Roadmap

You wouldn’t plan a road trip without a map. The same goes for sales.

Clear, well-defined success metrics give both you and your reps the direction needed to stay on course. For reps, they offer clarity and confidence. For you, they make performance easier to measure, manage, and improve.

Hiring will always carry some risk—but with the right metrics in place, you can make smarter decisions and build a stronger sales team.

Ready to Build a Metrics-Driven Sales Team?

If you're tired of guessing and ready to take control of your sales outcomes, start by putting the right success metrics in place. Whether you're hiring your first salesperson or leading an established team, we can help you define, implement, and track the KPIs that drive real results.

Let’s talk. Contact us today for a free consultation and get a custom roadmap to improve your sales performance. Schedule Your Free Sales Metrics Review →