B2B Sales Glossary

Master the essential revenue and financial metrics that drive B2B SaaS success. From ARR and MRR to retention metrics and customer economics, these terms are critical for understanding pipeline health, forecasting growth, and making data-driven decisions.

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Sales Leadership & Management

1-on-1

A regular private meeting between a manager and a sales rep.
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Sales Roles & Team Structure

Account Executive (AE)

Owns the full sales cycle for qualified opportunities, driving revenue through discovery, demos, negotiation, and closing deals in B2B sales.
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Sales Roles & Team Structure

Account Manager (AM)

Owns post‑sale relationships, driving renewals, satisfaction, and expansion revenue within existing customer accounts.
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Revenue Metrics & Financial Terms

Annual Recurring Revenue (ARR)

The value of contracted recurring revenue normalized over one year from subscription-based customers.
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Pricing & Contract Terms

Auto-Renewal

A clause that automatically extends the contract unless the customer actively cancels.
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Revenue Metrics & Financial Terms

Average Contract Value (ACV)

The average annualized revenue per contract, typically calculated by dividing a contract’s Total Contract Value (TCV) by its term length in years.
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Revenue Metrics & Financial Terms

Average Revenue Per User (ARPU)

The average amount of revenue generated per active customer or account over a specific time period (usually monthly or annually).​
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Lead Management & Qualification

BANT

A sales qualification framework (Budget, Authority, Need, Timeline) for identifying decision-ready prospects quickly.
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Sales Enablement & Training

Battle Card

A competitive intelligence document helping sales reps position effectively against specific competitors.
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Revenue Metrics & Financial Terms

Burn Rate

Measures how quickly a company is using its cash, which is critical for B2B SaaS leaders because it directly determines runway and how aggressively the team can invest in growth.
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Sales Methodology & Process

Business Case

A structured, quantified justification for investing in a solution, used by champions and executives to decide whether and why to move forward.
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Sales Roles & Team Structure

Business Development Representative (BDR)

Focuses exclusively on outbound prospecting to net new accounts, generating initial meetings for SDRs/AEs in B2B SaaS.
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Lead Management & Qualification

Buyer Persona

A detailed profile of the typical decision-maker or influencer who buys your product, capturing their goals, challenges, behaviors, and decision criteria.
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Sales Leadership & Management

Call Review

Manager listening to recorded calls to provide feedback and coaching.
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Sales Methodology & Process

Challenger Sale

A sales approach where reps teach insights, tailor the message, and take control to challenge the buyer’s status quo and reframe problems in a way that favors their solution.
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Buying Committee & Stakeholders

Champion

An internal advocate with power and motivation to drive your solution through their buying committee.
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Sales Roles & Team Structure

Chief Revenue Officer (CRO)

The executive responsible for all revenue-generating functions. Typically owns strategy, execution, and results across the full customer lifecycle.
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Revenue Metrics & Financial Terms

Churn Rate

Churn Rate measures the percentage of customers or recurring revenue lost in a given period, indicating the rate at which customers cancel or reduce their subscriptions.
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Sales Performance Metrics

Close Rate

The percentage of deals closed (won or lost) compared to the total number of opportunities in the pipeline for a given time period.
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Sales Pipeline

Closed-Lost

A buyer-confirmed no-go opportunity, with captured loss reasons for analysis.
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Sales Pipeline

Closed-Won

A successfully closed revenue opportunity with signed contract and payment terms met.
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Buying Committee & Stakeholders

Coach

A friendly internal contact providing deal guidance but lacking decision authority to champion or close.
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Customer Acquisition & Outreach

Cold Calling

Reaching out to prospects with no prior relationship or warm introduction.
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Customer Acquisition & Outreach

Cold Email

Unsolicited email sent to prospects without prior relationship to generate leads or start sales conversations.
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Pipeline Health & Deal Management

Commit

A forecast category for deals with high confidence of closing in the current period.
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