Product metrics and goals
Pipeline coverage
Also called Pipeline coverage ratio
How much open sales pipeline you have compared with the revenue you need to close. Around 3 times the target is a common rule.
How it's worked out
Open pipeline value ÷ bookings target for the period
Most opportunities won't close, so a team needs more in its pipeline than it plans to win. If the win rate is about a third, coverage of about three times the target is enough on paper.
Use your own win rate: coverage needed is roughly one divided by the win rate on pipeline value.
In practice
$1.8 million of open pipeline against a $900,000 quarterly target is 2× coverage: thin, unless the win rate is high.
Common mistake
Counting stale opportunities nobody is working on. They inflate coverage without any chance of closing.