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Sales Analytics

This document explains how sales analytics transforms raw data into actionable insights. It breaks down 10 key sales metrics (like conversion rate, CAC, and churn), their formulas, and why they matter. It also outlines what to look for in an analytics tool and how platforms like Telecrm simplify data tracking and performance monitoring. Perfect for sales leaders who want to make data-driven decisions.

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Sales Analytics

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  1. What Is Sales Analytics? Benefits, Metrics and Key Features [2025] You’ve got numbers, reports, dashboards — but turning all that raw data into real, actionable sales decisions? That’s where sales analytics steps in. Sales analytics is the key to transforming guesswork into precision. By collecting, analysing and interpreting your sales data, you can spot patterns, refine strategies and ultimately drive more revenue. What is sales analytics? Sales analytics is the process of examining your sales data to understand what’s working, what’s not, and where you can improve. It covers everything from conversion rates and deal size to response time and customer churn. Rather than relying on gut feelings, you make decisions backed by facts. Whether it’s identifying which reps are closing faster or figuring out which product line sells best in Q2, sales analytics gives you the clarity you need to act. Why it matters: Identify trends: Learn which strategies bring results, and scale them. Understand customer behaviour: See what makes them buy — and what turns them away. Improve efficiency: Focus your efforts where they matter most. Predict outcomes: Plan better with realistic forecasts. Strengthen marketing-sales alignment: Use shared data to unify goals and messaging. 10 must-know sales analytics metrics

  2. 1. Conversion rate The percentage of leads that become paying customers. Formula: (Number of Sales / Number of Leads) * 100

  3. Why it matters: A high conversion rate means your sales process is effective. A low one? Time to rework your pitch or qualify leads better. 2. Average deal size The average revenue earned from each closed deal. Formula: Total Revenue / Number of Deals Why it matters: It tells you if you’re landing big-ticket clients or lots of small deals. Useful for revenue planning and targeting higher-value customers. 3. Customer lifetime value (CLV) Total revenue a customer is expected to bring over their entire relationship with you. Formula: Avg. Order Value x Repeat Purchases x Retention Time Why it matters: High CLV means your customers are loyal and profitable. It helps you budget better for customer acquisition. 4. Customer acquisition cost (CAC) How much do you spend to acquire one customer? Formula: Total Marketing + Sales Spend / New Customers Acquired Why it matters: You want a CAC that’s much lower than your CLV. If it’s too high, your growth isn’t sustainable. 5. Sales growth Measures how much your sales have increased over time. Formula: ((Current Sales - Previous Sales) / Previous Sales) * 100 Why it matters: It reflects your business momentum. Flat or declining numbers mean something needs fixing. 6. Lead response time Time taken to respond to a new lead. Formula: Time of Response - Time of Inquiry Why it matters: The faster you respond, the better your chances of converting. Long delays kill interest. 7. Quote-to-close ratio How many quotes or proposals result in a closed deal?

  4. Formula: (Number of Sales / Number of Quotes Sent) * 100 Why it matters: A low ratio may mean weak proposals or poor targeting. 8. Sales cycle length Time from first contact to deal closure. Formula: Close Date - Initial Contact Date Why it matters: Shorter cycles mean faster cash flow. Longer ones can drain resources. 9. Revenue per sales rep Revenue generated by each salesperson. Formula: Total Revenue / Number of Sales Reps Why it matters: Helps identify top performers and training needs. 10. Churn rate Percentage of customers who stop buying over time. Formula: (Lost Customers / Starting Customers) * 100 Why it matters: High churn is a red flag for product, service or onboarding issues. What to look for in a sales analytics tool To really make sense of your data, you need a tool that delivers insights quickly and clearly. Here’s what to prioritise: Customisable reporting: Slice and dice your data to get the answers you need. Real-time tracking: Make fast decisions with live insights. Seamless integrations: Sync with your CRM, marketing tools and more. User-friendly design: No need for a data science degree to understand the dashboards. How Telecrm can help Telecrm, built for Indian sales teams, makes sales analytics simple, visual and effective. Track real-time metrics across calls, deals and tasks Generate fully custom reports for any duration Measure individual rep performance with ease Get instant insights to refine your sales process Whether you want to reduce your CAC, improve your conversion rate or lower your churn, Telecrm has the tools to help.

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