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Adapting Your Sales Models in a Crisis: Pipeline Coverage & Ratios

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  1. Consistency vs Volatility If you have a consistent funnel (month over month or quarter over quarter performance) in terms of deal size, velocity, and conversion rates, it's fairly straightforward. If you have inconsistent funnel performance (deal sizes swing wildly, conversion rates are unpredictable) you're not going to be able to create an accurate coverage model. Aim for 4x, and then drill into why your funnel is inconsistent to create your company's sales pipeline coverage model.

    In Funnel scenario modeling

  2. How do you model your revenue plan during a global crisis? Your sales forecast and previous funnel models are going to be wrong. How do you plan for next quarter? In normal times, you’ll hear sales leaders talk about needing 4X sales pipeline coverage, or is it 3X coverage, or is it 2X coverage for just the gap? The question is, how much pipeline coverage is actually needed?

    In Funnel scenario modeling