Territory Growth Rate
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Category:  
Strategic

Measures revenue growth within a specific sales territory over a period.

What it Measures ?

How much a region's sales have grown.

Relevant StakeHolders 

Regional Sales Heads, Strategy Teams

In-depth Use Case / Real-world Example

Territory Growth Rate helps sales leaders assess the effectiveness of regional strategies and the performance of teams within specific areas. For instance, a manufacturing firm selling automotive components may assign North India as a territory. If revenue from that region was ₹15 crores last year and grows to ₹18 crores this year, the growth rate is (18 – 15) ÷ 15 × 100 = 20%. This KPI highlights which territories are expanding, stagnating, or underperforming. It helps allocate resources—like adding more sales reps or marketing budget—to high-potential zones. For manufacturing, it can reveal where demand is growing due to industrialization or infrastructure projects. Tracking territory performance helps tailor localized strategies, such as adjusting pricing, promotions, or product bundling to suit regional customer needs.

KPI Definition

Business Value

Movement Direction

Sample Formula

(Revenue Growth in Territory / Total Revenue) * 100

Should Aim For
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