We use 10 sales stages for our opps here, and 2 of these are lets call milestone stages - Stage 2 & Stage 5.
Our team are interested in finding out what our S2 to S5 Rate conversion rate is. I understand how to create the neccasary reports/formula's within salesforce reports but my question is this.
What is the best calculaltion to figure this out.
i.e. 100 S2's - 20 make it to S5. but lets say 70 are still active at stage 2-3-4. and 10 opps were closed lost at S2.
option 1: 20 S5 / 100 S2's = 20% conversion rate.
option 2: 20 S5s / 30 (20 S5s + 10 Closed Lost) = 66% conversion rate. (more of a win rate)
option 3: ?
Is there a particular way to figure our the above, are both metrics useful but for differnt things? any advice would be great! thanks.
1 answer
for me it's option 1- how many opps of your total funnel have converted.
Option 2 is not your conversion rate, it's is your success to failure ratio - which is a different measure.
