RevOps Dictionary

Account-Based Marketing (ABM) is a B2B strategy that focuses marketing and sales resources on a defined set of target accounts, treating each account as a market of one.

Annual Contract Value (ACV) is the average annualized revenue per customer contract.

ARPU (Average Revenue Per User) measures the average monthly or annual revenue generated per active user or account.

The annualized value of your recurring revenue.

The average revenue per deal closed.

A Buyer Persona is a semi-fictional representation of your ideal customer based on market research and real data about your existing customers.

The fully loaded sales and marketing cost to acquire one new paying customer.

CAC Payback Period measures how many months it takes to recover customer acquisition costs through gross profit.

Churn rate measures the percentage of customers or revenue lost over a specific period.

The ratio comparing how much a customer is worth over their lifetime versus what you paid to acquire them.

Conversion rate measures the percentage of prospects who complete a desired action, from website visitor to MQL (1-3%), MQL to SQL (30-50%), SQL to opportunity (60-75%), and opportunity to closed-won (20-30%).

A Customer Health Score is a composite metric that predicts a customer's likelihood to renew, expand, or churn — based on product usage, support interactions, engagement, and sentiment data.

How fast deals move through your pipeline stages.

Demand generation is the marketing strategy that creates awareness and interest in your product across the entire buyer journey — not just capturing existing demand (lead gen), but creating new demand.

Revenue from existing customers buying more — upsells, cross-sells, seat additions.

How close your revenue predictions are to actual results.

Gross Revenue Retention (GRR) measures the percentage of recurring revenue retained from existing customers, excluding any expansion.

A Go-to-Market (GTM) strategy is the plan for how you'll reach customers and achieve competitive advantage when launching a product or entering a new market.

Your Ideal Customer Profile (ICP) defines the firmographic, technographic, and behavioral characteristics of companies that get the most value from your product — and are therefore most likely to buy, expand, and renew.

A GTM strategy where you win a small initial deal ('land') then grow the account over time through upsells and broader adoption ('expand').

Lead Nurturing is the process of developing relationships with prospects at every stage of the funnel through targeted content, personalized communication, and strategic touchpoints — moving them from awareness to sales-ready over time.

Lead scoring is a methodology for ranking leads based on their likelihood to buy, using a combination of demographic/firmographic attributes (who they are) and behavioral signals (what they've done).

The total gross profit you expect from a customer over their entire relationship with you.

Lead Velocity Rate (LVR) measures month-over-month growth in qualified leads.

The Magic Number measures sales efficiency: how much new ARR you generate for each dollar spent on sales and marketing.

A lead that's shown enough interest for marketing to pass to sales.

The total normalized recurring subscription revenue you earn in a given month.

Multi-Touch Attribution (MTA) is a marketing measurement approach that assigns fractional credit for conversions or revenue to multiple touchpoints across the buyer journey — instead of giving 100% credit to just the first or last interaction.

How much revenue you keep (and grow) from existing customers, after accounting for churn, downgrades, and expansion.

The defined progression steps a deal moves through from creation to close.

How fast money moves through your funnel.

A Product Qualified Lead (PQL) is a prospect who has experienced meaningful value from your product — typically during a free trial or freemium tier — and has demonstrated behaviors that indicate readiness to buy.

The percentage of sales reps hitting their assigned quota.

Connecting revenue to the marketing and sales activities that influenced it.

Revenue Forecasting is the process of predicting future revenue over a specific period using historical data, pipeline analysis, and recurring revenue metrics.

AI-powered analysis of sales conversations, emails, and activity data to surface insights about deals, coaching opportunities, and forecast accuracy.

Money you should have made but didn't, because of broken handoffs, bad data, or process gaps nobody owns.

The function that aligns marketing, sales, and customer success operations under one team — unified data, processes, and technology.

The Rule of 40 states that a healthy SaaS company's combined revenue growth rate and profit margin should equal or exceed 40%.

Sales cycle length measures the average time from first touch to closed-won deal.

Sales Enablement is the strategic process of providing sales teams with the content, training, tools, and coaching they need to engage buyers effectively and close deals faster.

Sales Engagement is the strategic, multi-channel interaction between sellers and prospects designed to build relationships, deliver value, and move deals through the pipeline.

Sales forecasting is the data-driven prediction of future revenue — for SaaS, that means projecting new bookings, renewals, expansion, and churn across a specific period.

A sales handoff is the formal transfer of a prospect or customer between teams — marketing to sales, SDR to AE, or sales to customer success.

Sales Operations (Sales Ops) is the function that supports sales teams by managing CRM systems, analyzing data, optimizing processes, and handling territory and quota planning.

A Sales Pipeline is a visual representation of where prospects are in the sales process, organized by stages from initial contact to closed deal.

A Sales Process is the repeatable series of steps a sales team follows to move a prospect from initial contact to closed deal.

Sales velocity measures how fast your pipeline converts to revenue.

A Sales Qualified Lead (SQL) is a prospect that has been vetted by marketing and accepted by sales as ready for direct selling.

How long it takes a new customer to get their first meaningful result from your product.

The percentage of opportunities you actually close.