Average Deal Size
What is Average Deal Size?
Average Deal Size is the average value of all closed-won opportunities during a specific period. It is calculated by dividing the total revenue from new deals by the number of deals closed.
Why It Matters
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It helps sales leaders understand the typical scale of their transactions and set realistic revenue targets.
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Changes in average deal size can indicate a shift in the company’s target market or pricing power.
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It is a vital metric for capacity planning and determining how many leads are needed to meet growth goals.