Pipeline Velocity Calculator Formula

Understand the math behind the pipeline velocity calculator. Each variable explained with a worked example.

Formulas Used

Pipeline Velocity ($/day)

pipeline_velocity = sales_cycle_days > 0 ? (opportunities * avg_deal_value * win_rate / 100) / sales_cycle_days : 0

Expected Revenue from Pipeline

expected_revenue = opportunities * avg_deal_value * win_rate / 100

Monthly Pipeline Velocity

monthly_velocity = sales_cycle_days > 0 ? ((opportunities * avg_deal_value * win_rate / 100) / sales_cycle_days) * 30 : 0

Variables

VariableDescriptionDefault
opportunitiesNumber of Qualified Opportunities50
avg_deal_valueAverage Deal Value(USD)10000
win_rateWin Rate(%)25
sales_cycle_daysAverage Sales Cycle (days)30

How It Works

How to Calculate Pipeline Velocity

Formula

Pipeline Velocity = (Opportunities x Deal Value x Win Rate) / Sales Cycle Length

Pipeline velocity measures the dollar value of deals flowing through your pipeline per unit of time. It combines four levers: the number of qualified opportunities, average deal size, win rate, and sales cycle length. Improving any one lever increases velocity. This metric helps sales leaders forecast revenue, identify bottlenecks, and allocate resources to the highest-impact improvements.

Worked Example

50 qualified opportunities with a $10,000 average deal value, 25% win rate, and 30-day sales cycle.

opportunities = 50avg_deal_value = 10000win_rate = 25sales_cycle_days = 30
  1. 01Expected Revenue = 50 x $10,000 x 25% = $125,000
  2. 02Pipeline Velocity = $125,000 / 30 = $4,167/day
  3. 03Monthly Velocity = $4,167 x 30 = $125,000/month

Ready to run the numbers?

Open Pipeline Velocity Calculator