Sales Velocity


Sales velocity is a term describing the rate at which dollars or units pass through in a given time (basically, sales divided by distribution) and measures how well a brand sells when it is available.

Two major sales velocity measures are sales per point of distribution (SPPD) and sales per million (sales per $MM).[1]


Sales per point of distribution ($) = Sales ($) ÷ % ACV distribution

Sales per million ($) = Sales ($) ÷ [% ACV distribution x (Market ACV ÷ 1,000,000)]




  1. ^ CPG Data Tip Sheet. Velocity: How Well Your Product REALLY Sells.

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