Approximately 40% of American companies use sales incentives, such as commissions and bonuses, to motivate their sales team and drive sales. But new research finds that this time-honored motivation strategy may be doing companies more harm than good, compared to more creative, diverse, or collaborative incentives. In 2010, American companies reportedly devoted $200 billion to large, [...]
One company has taken the unusual step of putting every employee in the company on commission. Sales suddenly had a lot more friends and collaborators. Traditional commission-heavy compensation for salespeople does a great job of stoking the competitive flames and egging on sales pros to meet or exceed their targets (too good a job, according [...]
The sun rises in the east, the taxman always gets his slice, and sales people are paid commissions. That’s simple, unavoidable reality, right? Not so fast, says ThoughtWorks. The privately held software firm recently did the nearly unthinkable—it eliminated all commissions and put its entire sales team on a fixed salary. What Were They Thinking? [...]
11:44 am
January 16, 2013
Most businesses attempt to sell additional products or services beyond initial purchases, also known as “cross-sales,” to all customers, believing that more transactions lead to higher profits. They’re right—most of the time. If you are an iPhone app developer, they are all but required. But sadly, 10 – 35% of a firm’s individual customers who [...]
12:03 pm
November 8, 2012
By Nacie Carson, Yesware ContributorStartups don’t need employees. They need dedicated team players who are committed to going above and beyond to move the organization forward.But to really sell staffers on your company, both sides need to connect not just about the product or service that you’re performing, but rather on why you’re offering said [...]
10:24 am
November 7, 2012
By Brian Hamilton, Chief Executive Officer, SageworksIf you want evidence that our nation’s debt is casting a cloud on the economy, just talk with business owners. Sageworks recently polled accounting professionals and bankers who are in constant contact with the owners of privately held companies. Nearly three-quarters say the national debt is making it less likely [...]
Let’s face it: sales can be a grind.On the bad days, there is no job as regimented, as rote or as repetitious as a salesperson’s. If you are an outside rep, your airport/flying/rental/meeting/hotel cycle can destroy one of the true joys of life. If you are an inside salesperson, you call your leads in the [...]
3:38 pm
September 29, 2011
In every business that lasts, the most important metric for measuring the sales team is, naturally, sales. How much money did we exchange product for? Whether it’s measured daily, weekly, quarterly or annually, top line revenue growth is the single most important measure of organizational health. There are, however, five additional metrics that are worth [...]
Larry Heimlich is an experienced hi-tech sales leader for medium size entities and startups with 20 years of mentoring and managing great sales people. He has experience in a variety of markets including B2B enterprise software, SaaS, HR, healthcare, benefits, and technology. He has successfully implemented strategic selling principles and has provided leadership in companies [...]
The quotas that sales reps must meet have risen 33% in four years, and the number of people meeting their quotas has fallen 25% according to The Bridge Group. While it’s tempting to blame bad quota policies, this steady trend is more likely the result of conscious efforts to reduce net overall pay to salespeople. According [...]
