Average Sales Cycle Length charts the average number of days it takes for a lead to become a subscriber over time.
ChartMogul automatically imports lead and trial data from a number of our integrations. If your Average Sales Cycle Length chart appears empty, you may need to set up lead tracking. Learn more.
TL;DR
Average Sales Cycle Length charts the average number of days it takes for a lead to become a subscriber over time, calculated as the average number of days between Lead Created At and Subscriber Since dates for new subscribers in a given period.
What insights can I gain from average sales cycle length?
Tracking average sales cycle length helps with sales forecasting and measuring the efficiency of your sales process and team. A shorter sales cycle is desirable because it means spending less time and investing fewer resources to win new business.
Many factors influence the time it takes a typical lead to make their way through a company’s sales process and become a paying customer. Understanding these factors is essential to increasing sales velocity and decreasing the length of your sales cycle.
A sales cycle length generally gets longer as the Average Sale Price increases. Average trial length, the time it takes for customers on freemium plans to engage with the product/service, pricing, and seasonality can also impact your sales cycle length.
Chart Notes
Only customers with Lead Created At and Subscriber Since dates whose subscriptions started in each report interval contribute to this chart. Learn more about subscription statuses.
Calculation
For each new subscriber in a given report interval, ChartMogul calculates the time (in days) between Subscriber Since and Lead Created At dates, sums these, and then divides them by the total number of new subscribers in that interval.
For example, 10 customers become leads on May 1. Five become paying subscribers on May 11 (5 sales, each with a 10-day sales cycle = 50 days) and the other five become paying subscribers on May 21 (5 sales, each with a 20-day sales cycle = 100 days). May’s Average Sales Cycle Length is 15 days (150 total sale cycle days ÷ 10 subscribers).
Chart Data
The Chart Data table for Average Sales Cycle Length works differently than other charts. It provides the following breakdown:
- Avg. Sales Cycle Length in Days — The average number of days it takes for a lead to become a new subscriber in a given report interval.
- Change — The increase or decrease in Avg. Sales Cycle Length in Days from the previous report interval, shown as a percentage.
Select a Avg. Sales Cycle Length in Days cell to see a list of customers who became subscribers in the reporting period.
Next Steps
- Use segmentation to see the difference in sales cycle length between monthly and yearly plans.
- Use Average Sale Price to see the average monthly revenue added when a customer first converts.
- Follow this tutorial to see how sales cycle length impacts churn.