Definition
Win rate is the fraction of opportunities that convert to closed-won. It can be measured by count or by value and varies by stage definition.
Formula
Win rate = wins / opportunities (same stage definition)
How to use it
- Always specify the stage definition (e.g., SQL->Won vs Opp->Won).
- Track by segment (ACV band, channel, region) because blended win rate hides problems.
Common mistakes
- Mixing win rate from one stage definition with pipeline from another.
- Using a short window that undercounts late closes (seasonality/timing).
Why this matters
This term matters because small changes compound in SaaS metrics. Use consistent definitions by cohort and segment so you can diagnose retention, payback, and growth quality.
Practical checklist
- Write a 1-line definition for "Win Rate" that your team will use consistently.
- Keep the time window consistent (weekly/monthly/quarterly) when comparing trends.
- Segment results (channel/plan/cohort) before drawing big conclusions from blended averages.
- Use a calculator that references this term (e.g., Pipeline Coverage Calculator) to sanity-check assumptions.
- Read the related guide (e.g., Pipeline coverage: what it is, how to calculate it, and benchmarks) for context and common pitfalls.
Where to use this on MetricKit
Calculators
- Pipeline Coverage Calculator: Compute pipeline coverage ratio and expected bookings from pipeline and win rate.
- Required Pipeline Calculator: Estimate how much pipeline (and how many opportunities) you need to hit a revenue target given win rate and average deal size.
- Sales Funnel Targets Calculator: Translate a revenue target into required wins, opportunities, SQLs, MQLs, and leads using funnel conversion rates.
- Sales Quota Calculator (Team to Rep): Sales quota calculator to estimate quota per rep from a team target using expected attainment, ramp mix, and optional pipeline coverage checks.
Guides
- Pipeline coverage: what it is, how to calculate it, and benchmarks: Pipeline coverage explained: pipeline / quota, how win rate translates to required coverage, and how to avoid inflated pipeline.
- Required pipeline: how much pipeline (and how many deals) you need: Translate a revenue target into required pipeline dollars, wins, and opportunities using win rate and average deal size.
- Pipeline coverage and sales cycle math: set realistic targets (and avoid sandbagging): A practical guide to pipeline coverage: connect quota, win rate, sales cycle length, and CAC/payback constraints to set realistic growth targets.
- Sales funnel targets: leads -> MQL -> SQL -> opp -> win (how to plan): A practical guide to back-solving funnel volume targets from a revenue goal using conversion rates and average deal size.
- Quota attainment: formulas, pacing, and how to forecast safely: Learn how to calculate quota attainment and pacing, how to interpret projections, and what to pair it with (pipeline coverage, win rate).