What is a good sales conversion rate?

Not sure what a good conversion rate looks like?

The fact is, conversion rates can vary depending on the industry and stage of the sales funnel you’re looking at. But there are some standard bench marks that you can use to gauge how healthy your conversion rate is. 

In this blog post, we’ll be covering:

• What a sales conversion rate is,
• What a good sales conversion rate looks like across the sales funnel,
• How to improve a poor conversion rate,
• And more.

What is a sales conversion rate?

In sales, a conversion rate is the percentage of deals that a salesperson closes out of the total active pipeline. In other words, it measures the percentage of prospects who have taken a desired action, such as responding to outreach, attending a meeting, or making a purchase.

What does a good sales conversion rate look like?

Sales conversion rates differ by industry, sales cycle length, and average contract value. Looking at each stage of the sales funnel can help businesses identify areas for improvement and implement targeted strategies.

Understanding sales conversion rates across the funnel

The sales funnel looks at multiple touchpoints where potential customers either move forward or drop off. Which means that each stage has its own conversion rate benchmarks, indicating how effectively prospects are progressing through the process.

1. Reply Rate: The First Indicator of Prospect Engagement

The reply rate is the percentage of prospects who respond to an outreach campaign (cold email, LinkedIn message, or call).

What does a good sales conversion rate look like?

Low reply rate (<5%)

A response rate below 5% suggests that your outreach campaign is not engaging enough or is targeting the wrong audience.

Example: A sales team sends 1,000 cold emails and receives only 30 replies (3%). This signals potential issues with email personalization, audience targeting, or timing.

Common Causes of Low Reply Rate:

• Generic, non-personalized messaging
• Poor targeting or contacting irrelevant prospects
• Sending messages at the wrong time or through ineffective channels

High reply rate (>5%)

A response rate above 5% indicates an effective outreach campaign, with some industries exceeding 10%–15% for highly targeted, well-crafted messages.

Example: A recruitment agency sending hyper-personalized LinkedIn messages to a targeted list achieves a 12% reply rate.

How to improve:

• Segment your audience and tailor messages accordingly.
• Use a strong, compelling subject line for emails.
• Follow up with non-responders strategically.

2. Positive interest rate: Filtering qualified leads

A positive interest rate is the percentage of respondents who express interest after replying.

What does a good sales conversion rate look like?

Low positive interest rate (<30%)

If fewer than 30% of respondents show genuine interest, it may indicate a mismatch between messaging and prospect needs.

Example: Out of 100 replies, only 15 prospects express interest (15% positive interest rate).

Possible Causes:

• Unclear or weak value proposition
• Targeting too broad an audience, leading to unqualified leads
• Lack of trust in your offering or company reputation

High positive interest rate (>30%)

• A strong interest rate means that outreach messaging is resonating, and the right audience is being targeted.
• Example: A sales team runs an outbound LinkedIn campaign and receives 100 replies, with 40 prospects (40%) agreeing to a call—a solid indicator of effective prospecting.

How to improve:

• Emphasize how your product solves a specific pain point.
• Showcase case studies or testimonials to build trust.
• Use clear CTAs (e.g., "Would you be open to a quick 15-minute chat?").

3. Meeting attendance rate: How many prospects show up?

Definition: The percentage of scheduled meetings that occur as planned.

What does a good sales conversion rate look like?

High no-show rate (>5%) → Poor commitment or scheduling issues

Example: A company books 20 meetings, but 5 prospects don’t show up (25% no-show rate)—a clear sign of engagement issues.

Healthy attendance rate (95%–100%) → Strong engagement and scheduling optimization

Example: A sales team books 50 calls, and only 2 prospects don’t show (96% attendance rate), showing that prospects value the conversation.

How to improve meeting attendance:

• Send automated reminders (email and SMS) a day before.
• Confirm meetings with a personal follow-up message.
• Offer flexible rescheduling options to reduce last-minute cancellations.

4. Closing rate: How many prospects convert into customers?

A closing rate is the percentage of sales-qualified leads (SQLs) that turn into paying customers.

What does a good sales conversion rate look like?

Low closing rate (<20%) → Weak qualification or ineffective sales process

Example: A SaaS company hosts 50 demos but only closes 5 deals (10%)—suggesting poor lead qualification or weak objection handling.

‍

Healthy closing rate (20%–30%) → Standard for high-performing sales teams

Example: A B2B cybersecurity firm closes 12 out of 40 demos (30%), showing strong sales execution.

‍

Exceptional closing rate (>30%) → Industry-dependent but rare in outbound sales

Example: A high-ticket consulting service closes 40% of proposals, benefiting from strong referral-based trust.

‍

How to improve closing rates:

• Pre-qualify leads to focus on high-intent prospects.
• Handle objections proactively (e.g., pricing, competition, urgency).
• Use time-sensitive offers to drive commitment (e.g. "Sign up this week and get 2 free months!").

3 tips to increasing closing rates

From getting your sales and marketing teams to collaborate mote, to using a CRM, Gartner has a few suggestions to help you increase your closing rates. 

1. Get your sales and marketing teams to collaborate

If your sales and marketing teams operate in silos, it may be time to bring them together. According to Gartner, having both teams contribute to your ideal customer profile (ICP) can enhance an account-based strategy, ensuring a more targeted and effective sales approach. Aligning their efforts helps create a seamless buyer journey, improving lead qualification and engagement.

2. Use a CRM

A shared CRM, structured around Gartner’s BANT framework (Budget, Authority, Need, and Timeline), can improve lead qualification by providing transparency into prospect interactions. Tracking website visits, form submissions, and email engagement helps sales teams prioritize high-intent leads and tailor their approach accordingly. folk happens to allow sales and marketing teams to collaborate, and provides you with user permissions. 

3. Use social proof

User reviews are one of the most trusted sources of information for decision-makers in SaaS. Collecting testimonials, showcasing case studies, and leveraging customer success stories can add authenticity to your offering. Highlighting real-world results helps prospects feel confident in their decision, increasing conversion rates.

‍

Conclusion

By tracking reply rates, interest levels, meeting attendance, and closing rates, businesses can refine their sales process and identify weak points. Optimizing each stage will lead to a stronger overall conversion rate, ultimately driving more revenue and efficiency. A good CRM can help you keep an eye on your efforts, and get your teams to collaborate. Try folk today, free. 

‍