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💰Sales💼B2B Services☁️SaaS🏦Financial Services🩺Diagnostic✅Approved
Average Deal Size
The average contract value of closed-won deals within a period.
Business Question Answered
“How large are the deals we're actually winning?”
What This Tells You
Whether the sales motion is trending toward larger or smaller contracts over time.
What It Does Not Tell You
Deal profitability or long-term value — pair with margin and NRR to assess true account quality.
Formula & Example Calculation
Total Closed-Won Value / Number of Closed-Won Deals
Numerator
Total Closed-Won Value
Denominator
Number of Closed-Won Deals
Example
$1.8M in closed-won value across 36 deals. Average Deal Size = $1.8M / 36 = $50,000.
Recommended Dimensions & Segments
SegmentProduct lineNew logo vs. expansion
Recommended visualization: Distribution histogram with median and mean markers
Technical Implementation Notes
Report median alongside mean — a handful of enterprise outlier deals can badly distort the average for a mid-market-focused team.
Data Quality Checks
- Verify contract values reflect annualized value (ACV) consistently, not mixing multi-year TCV with annual figures
Common Pitfalls
- Mixing total contract value (TCV) and annual contract value (ACV) in the same average, producing a misleading blended figure
AI Explanation
Get a conversational, stakeholder-friendly explanation of this KPI, generated on demand.
Metadata
Funnel StageRevenue
Owner RoleVP Sales
CadenceMonthly
Data Sources
CRM
Tags
deal-metricsrevenue
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