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What is a velocity metric?

Article originally published in October 2023 by Stuart Brameld. Most recent update in April 2024.

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Definition of a velocity metric

A velocity metric is a tool that marketers use to measure the speed at which a task or process is completed. It’s all about how quickly something moves from one stage to the next in a business. For example, in a sales team, a velocity metric could be the average time it takes to close a deal. This metric is crucial because it helps businesses identify bottlenecks and improve efficiency.

Velocity metrics are not just about speed, but also about direction. They help businesses understand if they’re moving towards their goals at the right pace. For instance, a content marketing team might use a velocity metric to track how quickly they’re producing new blog posts or how fast their subscriber list is growing. By monitoring these metrics, businesses can make data-driven decisions to optimise their processes and strategies. It’s like having a speedometer and a compass for your business, guiding you towards your goals more efficiently.

How does a velocity metric work?

A velocity metric works by measuring the speed at which a marketing campaign reaches its goals. It tracks the rate at which leads move through the sales funnel, from initial contact to final sale. This metric helps marketers understand how quickly their efforts are producing results, allowing them to identify bottlenecks, optimize their strategies, and improve overall efficiency. By analyzing velocity metrics, marketers can make data-driven decisions to accelerate the sales process and increase revenue.

An example of a velocity metric

Growth Method measures the number of new subscribers gained per week.

Questions to ask yourself

As a modern growth marketing or agile marketing professional, ask yourself the following questions with regard to a velocity metric:

  1. What is the current speed of my marketing team in delivering marketing campaigns?
  2. How can I improve the velocity of my team’s output?
  3. Are there any bottlenecks in our process that are slowing down our velocity?
  4. How does our velocity compare to industry standards or our competitors?
  5. What impact does our current velocity have on our overall business growth?

Here are some related articles and further reading you may find helpful.

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