Sales Comp Academy

If we look at the human body, most people see pain only as a negative thing. In actuality, pain highlights there is a problem. We take pain killers to get relief from the pain – but the root problem is still there, many times unaddressed.

Sales compensation plans are similar. At times, businesses see a problem with the comp plans and apply a band-aid. Maybe they give extra quota credit or add in a SPIFF, but the underlying problem is still there.

What ends up happening is that corporations either overpay or underpay sales reps, resulting in frustration. Some sales comp plans end up with many band-aids, bringing about lost visibility and a sales incentive program that is disconnected to goals & behaviors originally intended.

✍️Recommendation: do some qualitative and quantitative analysis to see the underlying cause. Speak to your sales people and run comp analytics, it will benefit both the company and the sales team.

Have you seen this in corporate? What are your thoughts? Comment below! ⬇️