Simple definitions for overcomplicated terms.
Definition
What is Lead Velocity Rate (LVR)? Definition & Formula
Dec 18, 2025
What is Lead Velocity Rate (LVR)?
Lead Velocity Rate (LVR) is a sales metric that calculates the real-time percentage growth of your qualified lead pipeline from one month to the next. Unlike revenue metrics that look backward, LVR measures the momentum of your lead generation efforts right now.
In Plain English
Think of driving your sales organization like driving a car.
Monthly Recurring Revenue (MRR) is your rearview mirror. It shows you exactly where you have been and what you have already achieved. It is accurate, but it is history.
Lead Velocity Rate (LVR) is your windshield. It shows you what is coming up ahead. If your LVR is accelerating, you can expect revenue to grow in the coming months. If it is stalling, your revenue car is about to run out of gas—even if your current sales numbers look fine in the rearview.
The Formula
You do not need a PhD in finance to track this. You just need to know how many qualified leads you generated this month versus last month.
LVR = [ (Current Month Qualified Leads - Last Month Qualified Leads) / Last Month Qualified Leads ] x 100
For example, if you generated 100 qualified leads last month and 120 this month, your LVR is 20%.
Why It Matters
Most sales leaders obsess over revenue targets. But revenue is a "lagging indicator." By the time you miss a revenue target, it is usually too late to fix it.
LVR is a "leading indicator." It gives you a heads-up months in advance. It answers the terrifying question every VP of Sales loses sleep over: "Are we going to hit quota next quarter?"
The "Quality" Caveat
Here is the catch (and it is a big one): LVR is only useful if you are tracking qualified leads. If you fill your pipeline with low-quality contacts just to pump up the numbers, your LVR will look great, but your revenue will flatline.
This is where the synergy of AI and human expertise becomes critical. Using AI agents to automate qualification ensures that the "leads" entering this formula are actually potential buyers, not just random email addresses. High LVR is only a victory if it is backed by high intent.