A simple shift in focus that turned busy work into real growth.

The sales team seemed unstoppable. Their pipelines were full, deals closed weekly, and momentum was high. But when the CEO reviewed the month’s performance, the revenue didn’t match the effort.

Something was off.

A quick analysis revealed the issue:

Average Deal Size (ADS) = Total Closed Revenue ÷ Number of Deals

The result? $8,000 per deal. The industry average? $15,000.

Then it clicked: the problem wasn’t the number of deals—it was their value.

Shifting from volume to value.

Many business owners think growth means chasing more deals. Often, real growth comes from increasing deal size.

This team stopped working harder and started working smarter.

Month 1: ADS = $8K (low-lift, one-off projects)
Month 2: Introduced bundled packages → ADS rose to $10K
Month 4: Launched premium offers → ADS jumped to $12.5K
Month 6: Rolled out multi-year contracts → ADS hit $15K

No major changes—focused steps:

Better packaging
Clearer value articulation
Confidence in guiding clients toward bigger, transformative solutions

The ripple effect of bigger deals.

Focusing on deal size, not quantity, led to significant changes for the business:

More revenue from fewer deals → The team could slow down, focus, and deliver quality.
Higher lifetime value → Clients invest in results, not services.
Healthier pipeline → With improved margins, the company can make smarter choices. This means they won’t need to chase every opportunity.

This change helped them move from constant work to purposeful growth—without exhausting the team.

How to calculate your average deal size

Here’s the simple formula:

ADS = Total Closed Revenue ÷ Number of Deals

Example:

Total Closed Revenue: $150,000
Number of Deals: 10
ADS = 150,000 ÷ 10 = $15,000

Now ask yourself:

What would change if your ADS increased by 20%?
What strategic adjustments could help you get there?

Why ADS matters to business owners.

Your Average Deal Size isn’t a sales metric—it reflects your business strategy.

If it’s too low, it might mean you are:

Undervaluing your offer.
Over-relying on volume to stay afloat.
Leaving profit on the table.

By increasing deal size, you position your business to:

Improve profitability.
Create stronger client partnerships.
Build sustainable growth without chaos.

Ready for the next step?

If this insight sparked something, you will want to dive deeper. We recently looked into this theme in a piece about creating lasting value for your business.

Read: Is Your Business Built to Sell or Just Built Around You?

This post shows how to move from survival mode to creating a business that supports your future.

How Focusing on Average Deal Size Transforms Sales Growth