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Sales & Pipeline

Territory Planner

Plan optimal sales territories based on account count, revenue potential, and rep capacity. Ensure balanced workloads and achievable quotas.

Territory Inputs

All target accounts in your TAM

Sum of all account revenue potential

Max accounts a rep can effectively manage

Deal Metrics (Optional)

How to Plan Effective Sales Territories

Territory planning is the process of dividing your total addressable market into manageable segments that can be assigned to individual sales reps. Good territory design balances workload, revenue potential, and growth opportunity.

Key Factors in Territory Planning

Account Count

Number of accounts a rep can effectively manage varies by deal complexity and sales cycle.

Revenue Potential

Each territory should have enough revenue potential to support quota attainment.

Geographic Coverage

For field sales, travel time and coverage logistics matter significantly.

Industry/Vertical

Specialized knowledge requirements may dictate vertical territory assignments.

Territory Design Approaches

  • Geographic: Divide by region, state, or zip code. Best for field sales.
  • Named Accounts: Assign specific accounts to reps. Best for enterprise sales.
  • Vertical/Industry: Assign by industry expertise. Best for specialized solutions.
  • Company Size: Segment by employee count or revenue. Best for tiered sales motions.
  • Hybrid: Combine multiple factors for balanced territories.

Account Capacity Guidelines

The number of accounts a rep can effectively manage depends on:

  • Sales cycle length: Longer cycles mean fewer concurrent deals
  • Deal complexity: Complex enterprise deals require more attention per account
  • Sales motion: Inbound vs outbound affects capacity significantly
  • Support resources: SDRs and sales engineers extend rep capacity

Signs of Poor Territory Design

  • High variance in attainment: Some reps crushing quota while others struggle
  • Burnout and turnover: Overloaded territories lead to rep departures
  • Neglected accounts: Good-fit accounts not getting proper attention
  • Territory conflicts: Multiple reps pursuing the same prospects
  • Quota misalignment: Quotas not achievable given territory potential

Best Practices for Territory Planning

  • Use data: Base decisions on actual account data, not intuition
  • Balance fairly: Aim for similar revenue potential across territories
  • Review regularly: Re-balance quarterly or when market changes
  • Get rep input: Reps often have insights about account quality
  • Document rules: Clear criteria reduce conflicts and confusion

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