Close Rate
What it measures
Close rate is the share of your estimate dollars that turn into actual sales: the dollar value of the work you won against the dollar value of all the estimates you put out. It tells you how effective your team is at turning opportunities into revenue.
Close Rate % = (Estimates Won ($) ÷ Estimates Written ($)) × 100Measure over a meaningful window, usually monthly or quarterly. Too short and the number is noisy; too long and you miss recent changes.
Why it matters
Close rate is one of three levers that drive revenue, along with lead volume and average ticket. When it moves, it’s usually pointing at one of three things:
- Pricing. A sudden drop often means your pricing is out of step with the market.
- Presentation. If close rates vary a lot between team members on similar work, the lower one needs coaching.
- Lead quality. If close rate falls while lead volume rises, the new leads may be price-shoppers rather than your ideal customers.
There’s no universal good number. A healthy close rate varies widely by business type, so what matters is your own trend over time, not hitting a benchmark.
Want help putting this number to work in your business? That’s exactly the kind of thing we set up together in coaching.