LVR stands for Lead Velocity Rate, a metric measuring the month-over-month growth rate of qualified leads in your pipeline. LVR provides a forward-looking indicator of future revenue growth, as increasing lead volume today predicts higher sales in coming months. This metric helps businesses assess whether their pipeline is growing fast enough to meet revenue targets and identify trends before they impact closed deals. Tracking LVR enables proactive adjustments to marketing and sales strategies to maintain healthy pipeline growth.
How do you calculate Lead Velocity Rate (LVR) accurately for B2B sales?
To calculate Lead Velocity Rate accurately for B2B sales, divide the number of qualified leads generated in the current month by the number from the previous month, subtract 1, and multiply by 100 to get a percentage (e.g., 120 leads this month ÷ 100 leads last month - 1 × 100 = 20% LVR). For most reliable results, ensure you're counting only qualified leads that match your ideal customer profile and have been properly vetted through your qualification process. Consistency is crucial, so maintain the same qualification criteria month-over-month to avoid skewing your calculations. Many B2B companies aim for an LVR between 10-15% for sustainable growth, though optimal targets vary by industry and business model.
How can sales teams improve their Lead Velocity Rate?
To improve Lead Velocity Rate, sales teams should first implement consistent lead qualification criteria to ensure only high-quality prospects enter the pipeline. Focus on diversifying lead generation channels rather than relying on a single source, which creates more stability and growth potential. Optimize your outbound prospecting processes with personalized messaging that resonates with specific buyer personas and their pain points. Implement a robust lead nurturing program that moves prospects through the funnel more efficiently with targeted content and follow-ups. Regularly analyze conversion rates between pipeline stages to identify and eliminate bottlenecks that slow down lead progression.
What's the difference between LVR and other pipeline growth metrics?
LVR (Lead Velocity Rate) differs from other pipeline metrics by focusing specifically on qualified lead growth rate month-over-month, while metrics like conversion rate, win rate, and sales velocity measure different aspects of pipeline performance. Unlike lagging indicators such as revenue or closed deals, LVR serves as a leading indicator that predicts future revenue performance before it happens. While pipeline coverage shows if you have enough opportunities to hit targets now, LVR indicates if you're generating enough new qualified leads to sustain growth in upcoming periods. This forward-looking perspective makes LVR particularly valuable for B2B companies with longer sales cycles where today's marketing efforts may not impact revenue for months.
