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Quota
A Sales Quota is a performance target assigned to a sales rep or team for a specific period (monthly, quarterly, annual). It is typically measured in revenue (ARR/bookings) or volume (units sold). Meeting quota is the primary definition of success for a sales professional.
The Number
In sales, you are your number. Quotas align company goals (Revenue Target) with individual performance. They are usually set based on historical data, market potential, and territory quality.
Attainment: The % of quota hit. >100% = Club/Accelerators. <80% = PIP (Performance Improvement Plan).
Types of Quotas
Revenue Quota: "$100k ARR per Quarter". Activity Quota: "50 calls per day" (common for SDRs). Profit Quota: based on margin (common in hardware/services). Volume Quota: "10 units sold".
SalesMind AI: The Quota Crusher
Reps miss quota because they run out of pipeline. SalesMind AI solves the "top of funnel" problem. By automating prospecting with the AI Sales Agent, reps have a consistent stream of meetings, ensuring they always have enough coverage (3x-4x) to hit their number.
Frequently Asked Questions
What is OTE?
On-Target Earnings = Base Salary + Commission (if you hit 100% of Quota). It represents the "expected" total comp.
How are quotas set?
Usually "Top-Down" (CEO wants $10M, divides by 10 reps = $1M each) or "Bottom-Up" (Based on past performance + growth). Top-down is riskier but common in startups.
What is a "Sandbagger"?
A rep who hides deals to lower their quota expectations or push them to the next period. Managers hate this; accurate forecasting is key.
Related Terms
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