Average Time to Close Won

The average duration in days it takes to close a won opportunity for all opportunities closed during the period.

What is Average Time to Close Won?

Average Time to Close Won measures the average number of days that opportunities were in active development before they were won. It covers the entire process of managing a sales opportunity from when it was opened to when it was successfully closed as won. This metric presents the average cycle length of opportunities won during a specific time period.

Why is Average Time to Close Won Important to Measure?

Speed is a crucial factor in the success and efficiency of a sales pipeline. Sales leaders aim to minimize the average length of the sales cycle to increase their team's efficiency. A shorter sales cycle is often associated with improved pipeline conversion rates and higher opportunity win rates.

How is Average Time to Close Won Calculated?

For each time period, the Average Time to Close Won is calculated by dividing the total sales cycle duration (in days) of all the opportunities won during that period by the total count of these opportunities.

Formula

Average Time to Close Won =Total Sales Cycle Duration (in days) of Won OpportunitiesTotal Number of Won Opportunities You can use this metric to gain insights into the efficiency of your sales process and identify opportunities for improvement.