I briefly worked in a telemarketing company a long time ago selling a well known mobile phone network’s products. Though there was a basic salary it was fairly obvious that the entire venture was target driven and if you didn’t achieve basic targets then your longevity in the job was not assured. Furthermore the incentives [...]

At the end of each year, those in sales management will pull out their spreadsheets and work out the coming year’s goals and targets. If you are lucky, they will have left well enough alone with an unnecessarily cumbersome commission plan.
At some point, you will be given goals and targets and your commission structure. You’ve [...]

When companies first hire sales staff abroad they do it because they want to make sales and open a new international market.  An obvious question is how to set up the right incentive plan to get their sales people to make more sales.
There is a temptation to propose a low salary with a juicy commission [...]

Paying commission wisely is a big challenge for business owners and managers. Commission can either drive sales performance, or turn your sales team into a bowl of oatmeal.

My colleagues have been quite articulate in talking about a lot of the fundamentals in developing commission and compensation plans.  The plan needs to reinforce your strategies and priorities, the behaviors you expect from sales people, and other things. 
I have been the beneficiary and victim of bad incentive plans, and I have victimized sales people with [...]

The Problem.
Imagine this scenario:
You find the brightest, most-qualified people you know.  Over coffee you then tell them your idea for changing the world.  About 15 minutes into the discussion they  nod their head, and you swiftly jump on the opportunity to woo them with your wonder-punch of :
“How about you work for me almost for [...]

Commissions are a very subjective thing, and for most sales people, a very personal thing, and rightfully so.  Sales is one of the last professions where your income is directly dependent on your abilities and the execution of those skills. In most cases, except in organizations where the sales force is unionized. (Talk about an [...]

Sales Commissions and Targets are generally designed to incentivize certain behavior in your sales people. However, they generally lack enough specifics to lead to success. Quantifying the desired behaviors is a crucial step in achieving your sales goals.

Sales quotas are a source of contention in most companies. Having worked with sales people since 1995 I have seldom encountered a rep who said, “Gee, that’s all I need to sell this year?” Let’s face it, in many cases the selling organization has a completely different objective than the sales reps it employs. However, [...]