My Competitiveness Was Hurting My Sales Team. Here’s How I Realized It
October 10 | Richard Harris | Comments (0)
Want to be surrounded by some of the most competitive people on the planet? Work in sales, where paychecks, bonuses, promotions, and stature are usually tied directly to organizational quotas and individual results.
Sales Bonuses Are Supposed to Motivate, So Don’t Waste Them on Easy Targets
September 21 | Andris Zoltners, Professor Emeritus, Kellogg School of Management, Northwestern University | PK Sinha, Co-Founder, ZS Associates | Sally E. Lorimer, Former Principal, ZS | Comments (0)
Most companies pay salespeople a combination of a salary, a commission, and a bonus for hitting a quota, putting a portion of their pay at risk. The belief is that at-risk pay motivates salespeople to work hard and direct effort towards sales activities that encourage achievement of sales goals.
What’s the Right Kind of Bonus to Motivate Your Sales Force?
September 15 | Das Narayandas | Doug Chung | Comments (0)
Companies typically compensate their sales force by using some combination of salary, commission, and bonuses, but executives are often unsure of which incentives provide the best motivation. For example, should bonuses be tied to quotas or should they be given unconditionally? For a quota system, would it be better to use bonuses as a reward (giving them to those who meet or surpass their quotas) or as punishment (taking them away from those who fail to meet their quotas)?
Sales Teams Need More (and Better) Coaching
October 15 | Scott Edinger, Executive Vice President, Zenger/Folkman | Comments (0)
We hear constantly about the importance and value of coaching, especially in sales. But, the reality I have observed while working with hundreds of organizations is that a true culture of coaching rarely exists. In a survey I conducted few years ago with a sales team in a Fortune 500 telecom company, I found an interesting contrast.
When Sales Incentives Should Be Based on Profit, Not Revenue
June 11 | Andris Zoltners, Professor Emeritus, Kellogg School of Management, Northwestern University | PK Sinha, Co-Founder, ZS Associates | Sally E. Lorimer, Former Principal, ZS | Comments (0)
Most sales forces link some portion of salespeople’s pay to sales metrics. For example, they pay a commission on the revenues salespeople generate or a bonus for achieving a territory sales quota. This proven “pay for performance” approach motivates salespeople to work hard and drive sales results.