Today’s sales representatives have a more challenging task ahead of themselves since customers already have a lot of information before even meeting a sales representative. They also must persuade more people in a customer organization and sell more complicated products. This results in a longer buying cycle than before, which makes it harder to predict demands that can be utilized to set goals.
Because of this, companies have made changes in their organization to achieve growth by using digital channels, adding roles that are specialized towards one thing, and adapting to team-based selling. Another difference is the development of compensation models that continue to motivate sales representatives to sell efficiently. The sales representatives should not be told what to do, but instead, want to behave in a manner that benefits the company’s go-to-market strategy. Adjusting the compensation models by altering commissions, salaries, bonuses, and quotas can be a driver for sales growth, and it has a more significant impact on sales than investment in the advertisement.
A sales incentive is a reward that sales representatives receive when they reach their sales goals. The sale incentive does not have to be only in the form of money. It can also be an experience such as event tickets or a product in the form of a smartwatch or an expensive coffee maker. It is a matter of finding out what would motivate your sales team.
When companies decide on a new sale-incentives model, it should be based on the company’s sales strategy and support goals in its go-to-market strategy. For sales incentives models to succeed, the company needs to collect data about the entire sales process so that the sales team has information that provides clarity.
When companies decide on a new sale-incentives model, it should be based on the company’s sales strategy and support goals in its go-to-market strategy. For sales incentives models to succeed, the company needs to collect data about the entire sales process so that the sales team has information that provides clarity.
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It is essential for sales representatives to stay motivated since they have a significant impact on sales growth. Sales managers need to know their team and what motivates them to understand which compensation model to use. The sales representatives always go where the reward is, so the compensation model needs to fit in with the organization’s sales strategy and goals so that both the sales representatives and organization is working towards the same purpose.
If you want to learn more about Sales Incentives and how implementing the right model can increase sales growth, feel free to reach out to us at Hanei Consulting Group.
If you want to learn more about Sales Incentives and how implementing the right model can increase sales growth, feel free to reach out to us at Hanei Consulting Group.
We are a team of independent professionals from diverse backgrounds who want to make consulting simple. We have extensive experience from strategy- and technology consulting firms, start-ups, and corporations, where we have solved problems in 50+ countries – from start-ups to Fortune 500 companies. We are the architects of your growth.