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Sales Rep Pay ???

J

James

Jan 1, 1970
0
What are you guys currently paying your sales reps? Base pay and a
commission, just commission with allowances? What type of plan are you all
using and what are the advantages / disadvantages?

James
 
C

Crash Gordon®

Jan 1, 1970
0
Got rid of my reps..but used to pay a base salary, small commission, company cell phone, gas allowance for the use of their vehicles, then a quarterly bonus if they met their goal. Talk to your accountant though, make sure you set it up correctly accounting-wise.
 
B

Bob La Londe

Jan 1, 1970
0
What they are worth and not one penny more.

--
** Public Fishing and Boating Forums
** www.YumaBassMan.com


Got rid of my reps..but used to pay a base salary, small commission, company
cell phone, gas allowance for the use of their vehicles, then a quarterly
bonus if they met their goal. Talk to your accountant though, make sure you
set it up correctly accounting-wise.
 
J

James

Jan 1, 1970
0
And at your company what are they worth?

Bob La Londe said:
What they are worth and not one penny more.

--
** Public Fishing and Boating Forums
** www.YumaBassMan.com


Got rid of my reps..but used to pay a base salary, small commission, company
cell phone, gas allowance for the use of their vehicles, then a quarterly
bonus if they met their goal. Talk to your accountant though, make sure you
set it up correctly accounting-wise.
 
C

Crash Gordon®

Jan 1, 1970
0
Usually if they aren't carrying their weight they will die of monetary attrition...as long as the base salary isn't enough to float by on.
 
B

Bob La Londe

Jan 1, 1970
0
I never managed to hire a sales rep who could sell. I quit trying years
ago. I can sell more work than we can do anytime I want. Heck. If I don't
sell at all word of mouth keeps us busy.
 
B

Bob La Londe

Jan 1, 1970
0
Personally I think a flat percentage of sales with manager approval is the
only way to go. I tried to do salary plus and all I got were guys who
pocketed the salary and went to the bar. Not to be down on bars. A lady
sales person with a company I used to work for managed to sell alarms to
half the bars in town (the ones she hung out in all day).
 
F

Frank Olson

Jan 1, 1970
0
James said:
What are you guys currently paying your sales reps? Base pay and a
commission, just commission with allowances? What type of plan are you
all
using and what are the advantages / disadvantages?

James


We don't pay our sales people at all... The get an apple pie and fries with
every order... :))
 
J

Jackcsg

Jan 1, 1970
0
Frank Olson said:
We don't pay our sales people at all... The get an apple pie and fries with
every order... :))
Frank, that's awesome! And a good idea. Working up towards the actual value
meals would be a good incentive....
 
J

J. Sloud

Jan 1, 1970
0
I never managed to hire a sales rep who could sell. I quit trying years
ago. I can sell more work than we can do anytime I want. Heck. If I don't
sell at all word of mouth keeps us busy.

My last year in sales in this industry, I sold about $2M. Depending
on the size of your organization, many of you do not need salespeople.
If you have any aspirations of growth, however, you'll need to persue
business with all of the tools at your disposal. The problem with
most salespeople in this industry is they don't know anything about
the product, industry, or market; they don't care to learn; and they
are only looking for the fast buck. About half of being successful in
sales is making contacts and finding opportunities. Most professional
salespeople are pretty good at this part. The other half has to do
with what you do once you find the opportunity. At this stage, most
salespeople in our industry fail miserably. Since this is a technical
industry, someone has to design and price the job. Screw this up and
you'll never win a sale. Most salespeople never ask the right
questions from the customer, and their limited knowledge causes them
to miss opportunities. The most important part of the process may
presenting your proposal to the customer in a way that conveys the
message that you are the company to do business with and that your
pricing is fair for the services you provide. Again, due to lack of
skill and knowledge, most salespeople are horrible at this. They fail
to present the right message to the prospect, never gain trust, and
never sell a thing.

The most successful people I've seen in this business combine a
technical mind with the ability to talk with people. Most people
either lack technical ability, or they are brilliant technically but
are socially retarded. Find a technician that has the people skills,
train them properly, and they'll be successful.

As for compensation, that really depends on the responsibilites of the
job, the market you're end, and what you are selling. A person who
sells and designs integrated systems for large industrial sites in the
bid market would be paid differently than someone who sells small
residential burglar alarms door-to-door.
 
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