How do you calculate pipeline velocity?

Pipeline Velocity = (Deal Value x Win Rate) divided by (Sales Cycle Length in days). Example: 100K deal with 30 percent win rate in a 90-day cycle equals (100K x 0.30) / 90 = 333 per day. If you improve to 60-day cycle, velocity becomes 500 per day. Faster cycles drive higher velocity with the same deal value.

Why is pipeline velocity more important than deal count?

A sales rep might have 10 deals in pipeline (sounds good) but if each deal takes 6 months to close, they only close 20 deals per year. Another rep might have 5 deals in pipeline but each closes in 2 months, so they close 30 deals per year. Pipeline velocity (speed) matters as much as pipeline volume.