Studies show that many sales compensation plans fail to motivate salespeople and end up overpaying poor performers. Studies also show that most employees see no connection between their performance and their pay.
With these unfortunate realities in mind, here are five keys for creating and managing a successful sales compensation plan:
- Make the plan a “win-win” for the company and the salesperson
- Incent desired salesperson behavior
- Make the sales compensation plan easy to understand and administer
- Strike an appropriate balance between salary and variable sales compensation
- Reward top sales performers
Let’s take a closer look at each of these sales compensation plan essentials.[Read more…] about 5 Keys to a Successful Sales Compensation Plan