How Do I Measure My Close Rate and Sales Performance?
By Bill Stilwell · Last reviewed October 17, 2026
The short answer
Section titled “The short answer”Track five sales numbers each month: the share of leads that fit, the share of good leads that get an estimate, the share of estimates accepted, how many days it takes from first contact to a yes, and why you lost the ones you lost. Response time and average sale are also sales numbers, and they have their own pages: 16.2.2 Lead Response Time and 7.1.7 Average Sale.
Why it matters
Section titled “Why it matters”More leads won’t help if you can’t turn them into jobs. A fencing company with a 15% close rate and a two-month sales cycle has a different problem than one with a 40% close rate and too few leads. These numbers show which problem you have.
21.3.2 Qualification rate
Section titled “21.3.2 Qualification rate”What it means: the share of leads that fit your service, area, timing, and budget.
How to do it: mark each lead in your customer relationship management (CRM) system as qualified or not, using the rules in 16.3 Lead Qualification. Divide qualified leads by all leads. Look at it by source.
Common mistake: not tracking unqualified leads at all, which hides which sources send poor fits.
21.3.3 Estimate rate
Section titled “21.3.3 Estimate rate”What it means: the share of qualified leads that get an estimate or proposal.
How to do it: divide estimates sent by qualified leads. If it’s low, look at whether leads go cold before you get to them (see 16.2.2 Lead Response Time) or whether site visits are hard to schedule.
Common mistake: letting good leads sit for days, then wondering why they stopped answering.
21.3.4 Close rate
Section titled “21.3.4 Close rate”What it means: accepted estimates compared to estimates sent.
How to do it: divide accepted estimates by estimates sent in the same period. Track it by service and by source. Close rate depends on your industry, price, and process, so compare against your own past months.
Common mistake: comparing your close rate to a number you read online for a different type of business.
21.3.6 Sales cycle
Section titled “21.3.6 Sales cycle”What it means: the time from first inquiry to acceptance.
How to do it: record the date of first contact and the date of the yes in the CRM. Average the days for closed jobs each month. Use it to time your follow-ups (see 16.7 Follow-Up Procedures) and your cash forecast.
Common mistake: following up once, when your typical customer takes three weeks to decide.
21.3.7 Lost reasons
Section titled “21.3.7 Lost reasons”What it means: why opportunities don’t close.
How to do it: when a job is lost, pick one reason from a short list: price, timing, chose a competitor, no response, not a fit, or other with a note. Review the counts monthly. Ask lost customers one polite question when you can.
Common mistake: marking everything “price” without asking.
When to get help from a pro
Section titled “When to get help from a pro”A sales coach or CRM consultant can help set up pipeline stages and reports. Questions to ask:
- Can my CRM calculate these rates by source and service automatically?
- What short list of lost reasons fits my business?
- How should I time follow-ups based on my sales cycle?
Bill’s note
Section titled “Bill’s note”[Bill: add a short note. For example, a lost reason you see often with local businesses and the fix that helped.]
How I did this for SiteSmarty
Section titled “How I did this for SiteSmarty”- [Date I did this:]
- [What I actually did, step by step: how I set up pipeline stages and lost reasons in the SiteSmarty CRM]
- [What it cost and how long it took:]
- [What surprised me or what I’d do differently:]
- [Screenshot or photo to add, with private info blurred: pipeline report with rates and lost reasons]
- [Result so far:]
Questions people ask
Section titled “Questions people ask”How do I calculate close rate? Divide accepted estimates by estimates sent in the same period.
What’s a good close rate? It depends on your industry, price, and process. Compare against your own past results.
What is a sales cycle? The number of days from first contact to the customer saying yes.
Why track lost reasons? They show what to fix, like pricing, response time, or how you show proof of good work.
Audit check
Section titled “Audit check”| Outline line | Question | Pass looks like | Fail looks like | Evidence to collect |
|---|---|---|---|---|
| 21.3.2 Qualification rate | Is every lead marked qualified or not? | Rate by source | Unqualified leads not logged | CRM report |
| 21.3.3 Estimate rate | Is the share of qualified leads getting estimates tracked? | Monthly rate | Unknown | CRM report |
| 21.3.4 Close rate | Is close rate tracked by service and source? | Monthly rate | Guess | CRM report |
| 21.3.6 Sales cycle | Are first contact and acceptance dates recorded? | Average days known | No dates | CRM records |
| 21.3.7 Lost reasons | Is one reason recorded for every lost job? | Short list, reviewed monthly | Blank or all “price” | Lost reasons report |
Where this fits
Do this first: 15.7 Sales Pipeline, 16.3 Lead Qualification
Do this next: 21.4 Delivery Metrics
Related pages: 16.2.2 Lead Response Time, 7.1.7 Average Sale, 11.1.2 Estimate, 16.7 Follow-Up Procedures, 21.5 Dashboards, 21.7 Funnel Review
Sources
- Google Business Profile Help, "Tips to improve your local ranking on Google" (checked October 17, 2026)
This page explains general rules and Bill's own experience. It is not legal, tax, or insurance advice. Talk to a qualified professional about your situation.