Rethinking Sales Incentives

The Pipeline

As part of a series of posts dealing with areas you should consider, better yet reconsider, going in to the New Year, today we look at incentive. While there are other expenses, commissions/incentives, are the most direct “payment” you pay for bringing in revenue. Read the piece here: Rethinking Sales Incentives Then comment below. Sales Incentives Sales Process Sales Success sell better The Status Quo in sales compensation Tibor Shanto

Is Your Incentive Plan Driving Activity or Performance?

The Pipeline

Sales pundits love to talk about change, and there is no shortage of opportunity brought about by the changes we face today. But having been at the game for a while the one thing that never changes is the view and approach to incentive or commissions. And while it is easy to get people to agree that incentive drives behavior, it is a bit less easy to validate. Given opportunities ahead, and the real need to change behavior, it is time to explore the sacred cow – Incentives.

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Training Incentives Are Vital in the Digital Sales Era

Sales and Marketing Management

As a longtime member of the incentives industry, I am often asked what businesses can do to better manage their sales teams and their relationships with their channel partners in the constantly changing world. My answer: sales training initiatives.

Incentives and Rewards: A Closer Look

Sales and Marketing Management

In short, more precision is better for rewards used with incentives, while less precision is better for rewards used with recognition. Incentives. Good incentives rely on high degrees of precision to generate motivation. That’s a key reason why the classic do-this-get-that model in incentive design is so standard and so effective. For instance, $500 cash is received for every $100,000 in new sales during the quarter above and beyond the basic commission rate.

Incentive Program FAQs

Sales and Marketing Management

For example, what caused pain points at the end of the program: reps changing territories mid-program, sales that were booked but not invoiced, clients who made verbal commitments but didn’t sign contracts, field sales managers that vouched for sales that didn’t get logged into the system on time, etc.? Q: Why not use quota as a bar to require reps to pass before they’re eligible to earn in the incentive program? Q: Why should I, as the sales manager, have a goal?

Juuust right incentives

Sales and Marketing Management

Author: Tim Houlihan Sales leaders are always trying to figure out how to get the most out of their reps at the lowest cost, and incentives are excellent at revealing that sweet spot. Finding the sweet spot for an incentive is like how Mama Bear’s porridge was juuust right. The rule of thumb for calibrating incentives is to pay out between 3 and 10 percent of total compensation (commensurate with the period the incentive is active).

9 Creative Sales Incentive Ideas for Retail Employees

Xactly

Learn how retailers can motivate sales associates with these creative incentive ideas. Incentive Compensation Sales Coaching and Motivation

Juuust right incentives

Sales and Marketing Management

Author: Tim Houlihan Sales leaders are always trying to figure out how to get the most out of their reps at the lowest cost, and incentives are excellent at revealing that sweet spot. Finding the sweet spot for an incentive is like how Mama Bear’s porridge was juuust right. The rule of thumb for calibrating incentives is to pay out between 3 and 10 percent of total compensation (commensurate with the period the incentive is active).

How Sales Leaders Can Motivate Younger Employees Through Purpose-Driven Incentives

Sales and Marketing Management

Perhaps especially while the COVID-19 pandemic has placed a temporary hold on popular incentives among this demographic like travel, sales leaders can improve their incentives programs for younger employees by embedding a sense of purpose into their sales outreach. .

Employee Incentives: How to Drive the Behavior You Want

Xactly

Employee incentives drive behavior and performance. Learn how to motivate your employees effectively and design incentives that are aligned with company goals. Incentive Compensation Sales Coaching and Motivation

How to Increase ROI of Sales Incentive Compensation with Automation

Xactly

Discover how automating incentive compensation management (ICM) can improve the ROI of sales compensation. Incentive Compensation Sales Performance Management

Incentive Gift Cards Continue to Delight

Sales and Marketing Management

Author: SMM Research from the Incentive Gift Card Council (IGCC) and the Incentive Research Foundation (IRF) shows the majority of U.S. are increasingly using gift cards as a reward tool for multiple groups (channel, sales, employee and customer), and that investment in gift card rewards is both significant and growing. they can be used for both short-term and long-term incentive efforts?—?adds Digital delivery continues to grow in incentive gift card use.

4 Ways to Design Successful Sales Incentive Programs

Hubspot Sales

Nothing boosts your sales team's excitement and energy more quickly and reliably than an incentive. In my years as a sales leader, I've learned the ins and outs of effective motivation. These four strategies will increase the impact of your incentives. Of course, sales managers can't show favoritism. To understand why, let's suppose you give the winner of your first sales contest a $500 check. In 1983, I won a table in a sales contest that I still have.

G.I. Joe and your sales incentive

Sales and Marketing Management

Simply sending an email announcement of your next incentive to make the reps aware of the program will not maximize results. Effective incentives are more than awareness. Sales managers are wise to use incentives to improve their results. Incentives stimulate the parts of the brain that respond to happy emotions. Sales managers must move past letting the reps know about the opportunity, because knowing is not even half the battle.

Sales Incentive Optimization

OpenSymmetry

The Journey to Sales Incentive Optimization. The event had 2 interweaving themes of excellence of plan design and the contribution which Sales Performance Management technology can make through operational excellence but also predictive analytic insights. The delegates were HR Directors, as well as Compensation and Benefits Managers representing a wide range of leading businesses all with challenges around sales compensation. Sales Incentive Design.

5 secrets to channel incentive success

Sales and Marketing Management

Distributors can wield enormous power carrying thousands of products and generating billions of dollars in annual sales. companies spend over $17 billion on channel incentive awards each year, according to the Incentive Federation. The simple fact is, if your products are sold through independent distribution channels, you need strategies and tactics to influence your channel’s people to align their goals with your sales.

Calculating the ‘Just Right’ Value for Incentives

Sales and Marketing Management

Author: Tim Houlihan Most incentives are paid out between 3 and 10 percent of the income earned during the incentive period. Matching Incentive to Your Corporate Culture. Track Incentive Results. Smart sales managers rely on good data to make decisions about successes and failures in their territory. The same rigor must be applied to your incentives. How were the incentive-related communications received?

How to Design an Incentive Compensation Plan That Works

Sales Benchmark Index

Article Sales Strategy SBI for SMB comp planning compensation plan plan sales comp sales compensation

5 incentive travel trends for 2019

Sales and Marketing Management

Author: Paul Nolan Meetings and incentive travel professionals agree that Brexit will impact their industry, but they differ on what sort of impact it will have. The British-based C&IT Magazine recently summarized five incentive travel trends that will impact programs in 2019. Unsurprisingly the most common prediction for what will impact the incentive travel industry in the coming year was Brexit. Lidia Sakarapani, head of sales and marketing at Principal.

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16 Sales Incentives to Keep Your Team Engaged and Motivated

Xactly

Keeping sales reps motivated is a year-round process. As a sales leader, you should always be thinking of new ways to motivate your sales team, focus on closing deals, and keep reps’ eyes on the prize…literally and figuratively. Sales incentives are a great way to motivate your team and keep morale high. The right sales incentive mix ultimately depends on the sales behaviors you want to encourage and how your team responds to different sales incentives.

What is a SPIF (Sales Performance Incentive Fund)?

Xactly

A SPIF, or special performance incentive fund, is a short-term sales incentive used to drive immediate results. Incentive Compensation Sales Coaching and MotivationHere's what you need to know to use them.

25 budget-friendly sales incentives for the holidays

LevelEleven

Sales incentives can be tricky business. You want to reward your sales reps for their tremendous work, but you also don’t want to ruin your CFO’s day by going over budget. So your sales incentives don’t have to break the bank. Winter-themed sales incentives. Grab a copy of our December Contest ideas , then use these 25 inexpensive sales incentives to reward contest winners. Advice for Sales Managers Sales Incentives Work Contests

5 Steps to a Competitive Sales Incentive Plan

Xactly

Compensation drives sales behavior, which means your sales incentive plan is a critical factor in sales performance and objective achievement. The incentive compensation planning team faces the challenge of balancing executive priorities and designing incentives that motivate reps. The resulting plan is your map to driving sales objective attainment for the year ahead. Understand what incentive structures have worked and which haven’t.

Calculating the ‘Just Right’ Value for Incentives

Sales and Marketing Management

Author: Tim Houlihan Most incentives are paid out between 3 and 10 percent of the income earned during the incentive period. Matching Incentive to Your Corporate Culture. Track Incentive Results. Smart sales managers rely on good data to make decisions about successes and failures in their territory. The same rigor must be applied to your incentives. How were the incentive-related communications received?

Incentives in the NFL: What We Can Learn From the 49ers and Richard Sherman

Xactly

Motivation drives performance in the NFL, sales organizations, and almost every industry. Discover why 49ers’ Richard Sherman’s incentives were a hot topic recently. Incentive Compensation

How to Fuel Explosive Revenue Growth with Kick-ass Sales Incentives

Sales Hacker

If you’re looking to get a little extra from your revenue team, examining your sales incentives program is a great place to start. . An effective sales incentive program is not just the fuel to drive your revenue team. Incentives have never been more important in sales.

5 Secrets to Channel Incentive Success

Sales and Marketing Management

Distributors can wield enormous power carrying thousands of products and generating billions of dollars in annual sales. companies spend over $17 billion on channel incentive awards each year, according to the Incentive Federation. The simple fact is, if your products are sold through independent distribution channels, you need strategies and tactics to influence your channel’s people to align their goals with your sales.

5 Tips for Designing Successful Sales Incentive Compensation Plans

Xactly

Few leading indicators are more predictive of a company’s future sales performance than its incentive compensation plans. While multiple factors influence the effectiveness of your sales incentive compensation plans, 5 tips stand out: 1. Creating incentive programs that work require balancing multiple design choices. If there is a balance of individual and team work, these incentives can be weighted in different combinations depending on the situation.

10 sales incentives that actually motivate sales teams

Zendesk Sell

Motivating your sales team month after month is no easy task. Not all sales incentives are created equal. A gift card to a chic boutique might motivate one sales rep but bore another. A sales incentive is effective only if it’s something your team actually wants. And while we’re all familiar with the typical cash incentive, some reps might need something new and exciting to truly motivate them. Let your employees pick their incentives.

How Sales Leaders Can Motivate Younger Employees through Purpose-Driven Incentives

Sales and Marketing Management

Perhaps especially while the COVID-19 pandemic has placed a temporary hold on popular incentives like travel among this demographic, sales leaders can improve their incentive programs for younger employees by embedding a sense of purpose into their sales outreach. Here’s how to inspire your millennial and Gen Z sales reps using mission-driven prospecting gifts and employee recognition. Boost Sales Enablement with a Meaningful Prospecting Gift.

10 Ways To Boost Your Sales Incentive Strategy

Sales and Marketing Management

Author: George Kriza, CEO, MTCPerformance Your organization wants to drive sales with an incentive program. Here are 10 of the most important elements in designing and deploying your next incentive campaign. Know your audience: Profile the people in your sales audience. Are they already in other incentive programs, or is yours the only one they’ll see? For example, a channel program should never include a warehouse club in its incentive strategy.

Does Your Sales Incentive Plan Drive Customers Away?

Sales Benchmark Index

The purpose of every incentive compensation plan is to influence the actions of sales reps. Sales incentives can be like square pegs. Incentive compensation is intended to reward specific behaviors of the sales force. Here are some real-life examples of poorly designed incentives. If asked, the customer would not pay for any of these activities: Margin Incentive. Product Launch Incentive. Customer Satisfaction Incentive.

Fueling Explosive Revenue Growth with a Kick-Ass Sales Incentive Program

Sales Hacker

The post Fueling Explosive Revenue Growth with a Kick-Ass Sales Incentive Program appeared first on Sales Hacker. Sales Management Webinars

10 Incentive Travel Facts You Can Put To Good Use

Sales and Marketing Management

The Incentive Research Foundation (IRF), a private not-for-profit foundation that focuses its initiatives on pragmatic research highlighting the premise and the power of incentive and motivational programs, issued a list of 10 incentive travel facts to commemorate Global Meetings Industry Day. firms over $1MM in revenue use incentive travel to motivate their people and partners. firms spend over $14B annually on incentive travel. 

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Stop Avoiding layered Incentives (and Learn to Love Them)

Sales and Marketing Management

Teaser: Most channel marketers have a dysfunctional relationship with layered incentives. They know that incenting sales-driving behaviors, such as training and product demo, can make a partner feel more personally invested in selling their products. At the same time, they fear what they see as the cumbersome process of providing incentives for anything but straight sales. Most channel marketers have a dysfunctional relationship with layered incentives.

Is your complex incentives plan holding you back?

Sales and Marketing Management

The same can be said for sales compensation. Incentive compensation plans are often far too complex. With this in mind, an incentive plan should be as simple as possible. A sales rep will become frustrated and ignore the plan. He’ll focus on his work and hope the incentives pan out. A sales representative will spend too much time focused on the incentive plan. Could you explain your plan to someone who knows nothing about sales compensation?

The power of incentive programs lies in their structure

Sales and Marketing Management

Author: Tim Houlihan The best incentives have open budgets, meaning anyone who qualifies can win. Open budgets tend to lead to improved morale due to the general ability for reps to feel like they have a chance at winning and that will lead to more sales. It’s time to let go of the myth that a contest with only one big winner of a huge grand prize will get everyone in the sales force engaged. based sales forces. For an outside sales rep, it might be three months.

How Incentive Compensation Software can Maximize Sales Performance

Canidium

Sales leaders are constantly trying to improve sales performance of their teams. Incentive compensation is an effective way that can result in such performance. commissions SPM ICM

2019’s Top Channel Incentive Tips

Allbound

Incentive programs are critical to any successful channel sales model. By inspiring or rewarding certain behaviors in your partners, incentives can help steer the course for any successful business relationship. As part of your partner relationship management (PRM), your incentive strategies help attract partners to your offerings while unifying you network and directing it towards a clear goal. And it’s not just your sales partners who require incentives.

Design and implement your best sales incentive ever

Sales and Marketing Management

You said you’ve built a lot of sales incentive programs as a manager, and, not to toot your own horn, but they have worked pretty darn well. With 20-plus years and more than 1,500 sales incentive programs under my belt, I’ve got some experience to share. Like all of us, sales managers get into ruts and here are some ideas to get you out of a rut and off to running your best sales incentive program?—?ever. Author: TIM HOULIHAN Maybe we’ve met.