What is a good sales productivity?
Sales productivity benchmarks do not transfer across businesses, because a high-touch enterprise motion and a self-serve one have completely different cost structures and output per rep.
The meaningful comparison is internal and peer-relative. A productivity ratio that trends up shows the team scaling efficiently; comparing to similar companies gives external context.
Short answer
There is no universal good sales productivity figure, because it depends on your margins, price point, and go-to-market motion. Judge it by the trend and against comparable peers: rising revenue per rep or a rising margin-to-sales-cost ratio means the team is getting more efficient. A ratio well above 1 (margin generated over sales cost) is strong.
Key takeaways
- No universal benchmark; it depends on margins and motion.
- Judge by the trend and against comparable peers.
- A margin-to-sales-cost ratio above 1 is strong.
- Rising productivity signals efficient scaling.
How to judge productivity
Use two lenses: revenue per rep for a simple output view, and the ratio of gross margin generated to fully loaded sales cost for an efficiency view. A ratio above 1 means the team produces more margin than it costs; higher is better. Track the trend, since a rising ratio means efficiency is improving.
Compare to peers with a similar motion and price point, not to companies in a different model. A self-serve business and a high-touch enterprise business have incomparable productivity numbers.
How Ardovo handles it
Ardovo measures sales productivity as both revenue per rep and a margin-to-cost ratio, trended by segment. Rook flags when productivity is declining and points to the driver, ramp, win rate, or rising cost, so you fix the right thing.
Frequently asked questions
What is a good sales productivity?
There is no universal figure; it depends on your margins, price point, and motion. Judge it by the trend and against comparable peers. A margin-to-sales-cost ratio above 1 is strong, and a rising ratio signals efficient scaling.
How do I measure sales productivity?
As revenue per rep for a simple output view, or the ratio of gross margin generated to fully loaded sales cost for an efficiency view. The cost-based ratio is more complete because it reflects what the sales engine consumes.
How do I improve sales productivity?
Raise win rate, shorten ramp, increase average deal size, and remove non-selling work so reps sell more. Improving output per rep or lowering cost per rep both raise the productivity ratio.