A quota is a specific target or goal assigned to a salesperson, team, or territory, usually within a set time period such as a month, quarter, or year. Quotas define the level of performance expected and are typically based on metrics like revenue, number of deals closed, units sold, or meetings booked.

Sales quotas help:

• Set clear performance expectations
• Drive accountability and focus
• Motivate reps through incentives (commission or bonuses)
• Align individual efforts with company revenue goals

There are different types of quotas, including:

• Revenue quota: Sell $100,000 worth of product per quarter
• Activity quota: Make 100 cold calls per week
• Volume quota: Close 15 deals per month
• Profit quota: Generate $25,000 in gross profit this quarter

Meeting or exceeding quota is often tied to compensation and career progression in sales roles.