Sales Compensation Plan Design
1 hour 30 minutes
Learn the right approach to take when designing your compensation plan and make sure your sales compensation plan is rewarding the right behaviors.
An effective sales compensation plan can have an enormous impact on company success. A market competitive and motivational incentive plan that is focused on the right business results will spur your sales team to overcome obstacles and close the sales you need them to. A poorly designed plan invites disengagement, turnover and legal risk. One size does not fit all; what works for one company can be disastrous for another. This topic takes you through the process of designing a sales compensation plan that is right for your company, one that drives your financial and strategic objectives, aligns with the responsibilities of each sales role, and considers key sales dynamics like one-time vs. recurring revenue, sales cycle length, and the volume and frequency of sales. Fortunately, there is established methodology to guide the decisions and this material will take you through it.
• You will be able to explain how sales compensation differs from other forms of compensation.
• You will be able to describe the process for designing a sales compensation plan.
• You will be able to define key elements of sales compensation design methodology and terminology.
• You will be able to discuss the pros and cons of alternative sales compensation approaches to various situations.