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Home » Shifting the sales compensation paradigm

Shifting the sales compensation paradigm

By    Don  McNamara 
September 10, 2002
More about:  Distribution Sales & Marketing,  Human Resources in Wholesale Distribution
Executive summary: How do you protect cash positions while balancing the seemingly contradictory problem of keeping cost of sales under control and your sales force intact while revenues decrease? Compensating sales efforts appropriately is one solution for protecting margins, profit and cash. Solving this issue may take creating a new paradigm for sales representative compensation.


It was a feeding frenzy when business was booming, backlogs were steadily increasing and customers were paying regularly. Just like the stock market, everyone was chirping 'go baby go.' But times have changed; no doubt your business plan has changed too. How we compensate a sales force properly in these market conditions needs to be revisited also.


What are the goals of your sales ...

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Executive summary: How do you protect cash positions while balancing the seemingly contradictory problem of keeping cost of sales under control and your sales force intact while revenues decrease? Compensating sales efforts appropriately is one solution for protecting margins, profit and cash. Solving this issue may take creating a new paradigm for sales representative compensation.


It was a feeding frenzy when business was booming, backlogs were steadily increasing and customers were paying regularly. Just like the stock market, everyone was chirping 'go baby go.' But times have changed; no doubt your business plan has changed too. How we compensate a sales force properly in these market conditions needs to be revisited also.


What are the goals of your sales ...



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