What is average deal size?

Average deal size is total closed revenue divided by the number of deals closed in a given period. It tells you how much revenue each won deal contributes on average. Sales managers use it to forecast pipeline revenue (opportunities × average deal size) and to compare rep productivity.

Why use median deal size instead of average?

The median is the middle value when all deals are sorted. Unlike the mean, it is not pulled upward by a single large enterprise deal. If your average is $120k but your median is $30k, most of your revenue is coming from a handful of large deals—a concentration risk worth knowing about.

What does "deals above average" tell me?

If fewer than half your deals are above average, it confirms the distribution is right-skewed (a few large deals lift the mean). In that case the median is a better planning number. If roughly half are above and half below, your deal sizes are fairly symmetric and the mean is reliable.

How do I use average deal size for quota setting?

Divide the rep's annual quota by the average (or median) deal size to find how many deals they need to close. If the median deal size is $25k and quota is $500k, the rep needs 20 closed deals per year—roughly 5 per quarter. Stress-test by also running the number against the median to see how sensitive the target is to deal-size assumptions.

What is a good average deal size?

It depends entirely on market segment. SMB SaaS deals often run $2k–$15k ACV; mid-market $15k–$100k; enterprise $100k and above. The right target is your own historical trend and the unit economics of your sales motion (deal size versus cost of sale), not an industry absolute.

Average Deal Size Calculator

Name: Average Deal Size Calculator
Availability: InStock
Author: Nham Vu

Enter total revenue and number of deals, or a list of individual deal values, to get average and median deal size with above/below split.

Enter Deal Data

Quick Average (Total Revenue / Deals)

Total Revenue ($)

Number of Deals Closed

Individual Deal Values (optional — unlocks median & distribution)

One value per line, or comma-separated.

Enter deal data on the left, then click Calculate.

Summary

Enter total revenue and number of deals, or a list of individual deal values, to get average and median deal size with above/below split.

How it works

Enter total revenue and total deals closed to get the simple average deal size.
Optionally paste or type individual deal values (one per line or comma-separated) to unlock median and distribution analysis.
The tool computes average, median, min, max, and the count and percentage of deals above vs below average.
Use the results to identify whether a few large deals are skewing the average upward, signaling pipeline concentration risk.
Adjust quota targets or rep segmentation based on the median rather than the mean when outliers are present.

Use cases

Benchmark individual rep deal sizes against the team average to spot coaching opportunities.
Forecast total pipeline revenue by multiplying average deal size by number of open opportunities.
Set realistic quotas by understanding the median deal size, not just the arithmetic mean.
Detect pipeline concentration risk when a small number of large deals skew the average.
Track deal size trends over quarters to measure the impact of pricing or packaging changes.
Evaluate whether enterprise sales motions are delivering higher deal sizes than SMB motions.

Frequently Asked Questions

Last updated: 2026-07-01 · Reviewed by Nham Vu