Seems simple, but here it is:

Let me offer up some definitions of each box:

Connects: Cold contact from a list or similar resource

Suspects: Contacted and have general need or use for your product/service

Prospects: Qualified for need, budget & buying time

Quotes: Formal proposal to do business

Close: Completed order in response to quote

Again, this is a simple concept, but it is of great consequence when hiring salespeople.  We call it the Connects-to-Close ratio and it defines many of the parameters you need to use in your hiring efforts. 

There are many layers to the ratio that impact the sales skills, selling style and aptitudes to measure in any candidate.  Instead of getting lost in those weeds, let me boil it down to the essence of why you need to know this ratio:

You cannot ask a new salesperson to do something 10, 50, 100 times without first being able to explain it one time.