This is the metric to track and score yourself to, and hold your VP Marketing and VP Demand Generation team(s) to. LVR measures your growth in qualified leads & pipeline, measure month-over-month, every month. LVR is real-time, not lagging, and it clearly predicts your future revenues and growth – and – even better, your growth trend.

So if you created $1 million in new qualified pipeline this month, and created $1.1 million in new qualified pipeline the following month, you are growing LVR at 10% month-over-month. So, your sales should grow 10% as well after a period of an average sales cycle length.

One great thing about LVR is that while sales can vary a lot by month and quarter, there’s no reason leads can’t grow every single month like clockwork. Every. Single. Month. Follow other core business metrics of course — just understand they aren’t as good. Sales and pipeline lag. Monthly sales growth is important, but minor variations can lead to huge forecasting/modeling variances.

Know You Will Grow

As long as you are using Qualified Leads (not raw or unqualified leads) with a consistent formula and process to qualify them, you then See The Future. Hit your LVR goal every month and you’re golden. And with practice, you’ll see the future of your business 12+ months out, clear as can be…