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What is gross sales?
Gross sales is the total income generated from your company’s product and service sales. In other words, it’s the total the company has made from sales before any deductions, such as cost of sales and other expenses. And contrary to what some may believe, gross sales is not another name for net sales.

Sales managers monitoring their team’s gross sales will things to know before starting telemarketing in bahamas track this figure over a specific period, usually weekly, monthly, quarterly, and annually. They may also draw up comparative reports showing gross sales generated over the same period in previous years to determine whether their success rate is improving.

While your gross sales amount gives you a high-level view of your overall income over a period, it doesn’t tell you much about your business’s profitability. However, you can use your gross sales figure to help determine other important sales metrics, such as your net sales and gross profit margin amounts.

Gross sales vs. gross revenue
Often used interchangeably, gross sales and gross revenue are not the same thing. The section above defines what gross sales is: Your company’s total income from sales. But gross revenue is the organization’s total income from all sources, not just sales. Therefore, gross sales may be a primary metric for sales managers, whereas gross revenue will be of importance to the company as a whole.

How to calculate gross sales
Calculating your gross sales is easily achieved using the following simple formula:

Gross Sales = Number of Units Sold x Unit Price
In other words, if you were to calculate your sales team’s gross sales over the past quarter, you’d need to know the total number of products sold and the price paid for each.