Definition

VP of Sales is a senior executive responsible for leading an organization's sales function, overseeing sales strategy, team performance, and revenue achievement while serving as the primary connection between front-line sales activities and executive leadership.

What is a VP of Sales?

The VP of Sales role has existed in formal business structures since the early 20th century, though its scope and strategic importance have evolved significantly over time. Traditionally, the position focused primarily on sales team management and motivational leadership, with less emphasis on strategic business planning.

Today's VP of Sales operates as a true executive with responsibilities spanning strategic planning, organizational design, cross-functional leadership, and business transformation beyond simply driving tactical sales execution. Modern VPs of Sales lead with increasingly data-driven approaches, leveraging analytics to optimize territory design, resource allocation, and performance management. Sales intelligence platforms such as Saber support VPs of Sales by providing comprehensive visibility across the entire sales organization, enabling more accurate forecasting, identifying systemic bottlenecks, and highlighting coaching opportunities based on performance patterns.

How VPs of Sales Work

VPs of Sales balance strategic leadership with tactical execution to build and manage high-performing sales organizations that consistently deliver revenue targets.

• Strategic Planning: VPs of Sales develop comprehensive sales strategies aligned with company objectives, including go-to-market approaches, channel strategies, market segmentation, and growth initiatives.

• Team Leadership: They build, develop, and lead the sales organization, typically managing front-line sales managers while establishing performance standards, coaching frameworks, and accountability systems.

• Performance Management: VPs of Sales establish key performance indicators, track progress against targets, diagnose performance gaps, and implement improvement initiatives to ensure consistent revenue achievement.

• Resource Allocation: They make strategic decisions about headcount distribution, territory design, budget allocation, and sales support resources to maximize revenue and efficiency.

• Cross-Functional Alignment: VPs of Sales work closely with marketing, product, finance, and customer success leaders to ensure alignment across the customer journey and optimal resource collaboration.

Example of a VP of Sales

Jennifer, VP of Sales at a mid-sized B2B software company, leads an organization of 75 sales professionals organized into enterprise, mid-market, and SMB teams, plus a dedicated customer expansion group. After analyzing historical performance data, she identifies that while the company consistently meets overall revenue targets, their customer acquisition costs have increased by 35% over two years, putting pressure on profitability. Jennifer develops a comprehensive transformation strategy including: reorganizing territories based on industry specialization rather than geography, implementing a new sales methodology focused on value selling, revising compensation plans to reward margin alongside revenue, and investing in enhanced sales enablement resources for high-potential industries. She works with Marketing to reallocate budget toward targeted account-based marketing for key industries, collaborates with Product Management to prioritize features most valued by priority segments, and establishes a regular cadence of cross-functional revenue reviews. Six months into the initiative, the company sees a 22% improvement in win rates within target industries, a 15% increase in average deal size, and a 20% reduction in sales cycle length, reversing the negative cost trend while accelerating growth in strategic segments.

Why VPs of Sales Matter in B2B Sales

The VP of Sales provides essential leadership that directly impacts an organization's revenue performance, growth trajectory, and competitive positioning. As the architect of the sales strategy and structure, they make critical decisions about resource allocation, process design, and talent development that determine sales effectiveness both immediately and long-term. Beyond direct sales leadership, effective VPs of Sales ensure alignment between sales activities and broader company objectives, translating corporate strategy into specific field actions. They also serve as the voice of the customer within executive leadership, bringing market feedback that influences product development, marketing messages, and company direction. In increasingly competitive and rapidly changing markets, a skilled VP of Sales provides the strategic vision and execution discipline necessary to outperform competitors while building sustainable, scalable revenue engines that drive company valuation and stakeholder returns.