{"id":1258,"date":"2009-12-09T10:17:52","date_gmt":"2009-12-09T10:17:52","guid":{"rendered":"https:\/\/www.peaksalesrecruiting.comblog\/commission-plans-that-backfire\/"},"modified":"2015-05-04T19:45:26","modified_gmt":"2015-05-04T19:45:26","slug":"commission-plans-that-backfire","status":"publish","type":"post","link":"https:\/\/www.peaksalesrecruiting.com\/blog\/commission-plans-that-backfire\/","title":{"rendered":"Commission Plans that Backfire"},"content":{"rendered":"<p>A few days ago I bought a new cellphone at a retail outlet and thought I would share the experience since it highlights how not to design a comp plan (no need to mention the company).<\/p>\n<p>The store rep was great, engaging me, asking questions, showing various different products and sharing facts and opinions on each. I might add, he successfully upsold me on a couple of items. Great service and a good sales for his company. After I had paid for the items he mentioned I would likely get a customer service call asking me to rate my buying experience. Straight forward so far. So he informs me that how I respond on this followup call is critical to him receiving any commission for this sale. He further explains that if I don\u2019t use specific words in my response he would not be entitled to any commission at all. For example if I said the service was \u201cgreat\u201d but didn\u2019t say \u201cperfect\u201d he would not secure any commission. And he expressed his opinion that this is just one of the ways that his employer tries to screw its sales staff \u2013 his words not mine.<\/p>\n<p>This finish almost ruined a great buying experience for me and I blame the company not the rep.<\/p>\n<p>First of all, when I buy something, I want to pay and go. I shouldn\u2019t have to spend my time being coached on how to respond to a courtesy call or feel obliged to take the call at all.<\/p>\n<p>Second, I shouldn\u2019t have to hear about a reps comp plan and a company\u2019s internal problems. None of this is my business and it should be transparent to me. It makes the company look bad.<\/p>\n<p>Third, the company is being petty to be so strict about the way it comps its reps. Surely, I could say the rep was great and that I would buy there again and the rep should be entitled to a commission?!<\/p>\n<p>This serves as a good reminder to all sales managers and employers to incent the sales staff to provide courteous and good quality service, *which includes* the staff feeling good about their compensation plan. If you are not sure if your reps feel the comp plan is fair ask them. And don\u2019t assume they will tell you the truth, so find ways to ensure they feel their honesty will not be punished.<\/p>\n<div class=\"relpost-thumb-wrapper\"><!-- filter-class --><\/p>\n<div class=\"relpost-thumb-container\">\n<h3>Related posts<\/h3>\n<div style=\"clear: both\"><\/div>\n<div style=\"clear: both\"><\/div>\n<p><!-- relpost-block-container --><\/p>\n<div class=\"relpost-block-container\"><a class=\"relpost-block-single\" href=\"https:\/\/www.peaksalesrecruiting.com\/blog\/compensation-planning\/\"><\/p>\n<div class=\"relpost-custom-block-single\" style=\"width: 150px; height: 215px;\">\n<div aria-label=\"4 Ways to Ensure Your Compensation Planning is Driving Sales\" class=\"relpost-block-single-image\" style=\"background: transparent url(https:\/\/g9d6c5a5.rocketcdn.me\/wp-content\/uploads\/2023\/11\/comp-planning-2-150x150.jpg) no-repeat scroll 0% 0%; width: 150px; height: 150px;\"><\/div>\n<div class=\"relpost-block-single-text\" style=\"font-family: ProximaNova, sans-serif;;  font-size: 15px;  color: #6eba57;\">4 Ways to Ensure Your Compensation Planning is Driving Sales<\/div>\n<\/div>\n<p><\/a><a class=\"relpost-block-single\" href=\"https:\/\/www.peaksalesrecruiting.com\/blog\/7-offer-stage-mistakes\/\"><\/p>\n<div class=\"relpost-custom-block-single\" style=\"width: 150px; height: 215px;\">\n<div aria-label=\"Excited businessman celebrating success at his desk\" class=\"relpost-block-single-image\" style=\"background: transparent url(https:\/\/g9d6c5a5.rocketcdn.me\/wp-content\/uploads\/2023\/12\/offer-stage-mistakes-150x150.png) no-repeat scroll 0% 0%; width: 150px; height: 150px;\"><\/div>\n<div class=\"relpost-block-single-text\" style=\"font-family: ProximaNova, sans-serif;;  font-size: 15px;  color: #6eba57;\">Don\u2019t Make These 7 Offer Stage Mistakes<\/div>\n<\/div>\n<p><\/a><a class=\"relpost-block-single\" href=\"https:\/\/www.peaksalesrecruiting.com\/blog\/new-york-sales-salaries-compensation\/\"><\/p>\n<div class=\"relpost-custom-block-single\" style=\"width: 150px; height: 215px;\">\n<div aria-label=\"New York Sales Compensation\" class=\"relpost-block-single-image\" style=\"background: transparent url(https:\/\/g9d6c5a5.rocketcdn.me\/wp-content\/uploads\/2019\/10\/New-York-Sales-Compensation-150x150.jpg) no-repeat scroll 0% 0%; width: 150px; height: 150px;\"><\/div>\n<div class=\"relpost-block-single-text\" style=\"font-family: ProximaNova, sans-serif;;  font-size: 15px;  color: #6eba57;\">New York Sales Salaries: Benchmarks for Sales Reps, Managers, and VPs<\/div>\n<\/div>\n<p><\/a><\/div>\n<p><!-- close relpost-block-container --><\/p>\n<div style=\"clear: both\"><\/div>\n<\/div>\n<p><!-- close filter class --><\/div>\n<p> close<\/p>\n<div class=\"abh_box abh_box_down abh_box_business\">\n<ul class=\"abh_tabs\">\n<li class=\"abh_about abh_active\"><a href=\"#abh_about\">About<\/a><\/li>\n<li class=\"abh_posts\"><a href=\"#abh_posts\">Latest Posts<\/a><\/li>\n<\/ul>\n<div class=\"abh_tab_content\">\n<section class=\"vcard abh_about_tab abh_tab\" style=\"display:block\">\n<div class=\"abh_image\"><img decoding=\"async\" alt=\"\" class=\"avatar avatar-80 photo\" height=\"80\" src=\"https:\/\/media.peaksalesrecruiting.com\/wp-content\/uploads\/2024\/01\/1cfb2152f763e6118839d97c16339339s80ampdmmamprg.png?strip=all\" srcset=\"https:\/\/www.peaksalesrecruiting.com\/wp-content\/uploads\/2024\/01\/1cfb2152f763e6118839d97c16339339s160ampdmmamprg.png 2x\" width=\"80\"\/><\/div>\n<div class=\"abh_social\">\n<div style=\"clear: both; font-size:12px; font-weight:normal; width: 85px; margin: 0 0 2px auto; line-height: 20px;\">Connect:<\/div>\n<p><a class=\"abh_twitter\" href=\"https:\/\/twitter.com\/eliotburdett\" rel=\"nofollow noopener\" target=\"_blank\" title=\"Twitter\"><\/a><a class=\"abh_google\" href=\"https:\/\/plus.google.com\/+EliotBurdettPeakSalesRecruiting?rel=author\" rel=\"nofollow noopener\" target=\"_blank\" title=\"Google Plus\"><\/a><a class=\"abh_linkedin\" href=\"https:\/\/www.linkedin.com\/in\/eliotburdett\" rel=\"nofollow noopener\" target=\"_blank\" title=\"LinkedIn\"><\/a><\/div>\n<div class=\"abh_text\">\n<h3 class=\"fn name\"><a class=\"url\" href=\"https:\/\/www.peaksalesrecruiting.com\/author\/eliotburdett\/\">Eliot Burdett<\/a><\/h3>\n<div class=\"abh_job\"><span class=\"title\">CEO<\/span> at <span class=\"org\">Peak Sales Recruiting<\/span><\/div>\n<div class=\"description note abh_description\">Before Peak, Eliot spent more than 20 years building and leading companies, where he took the lead in recruiting and managing high performance sales teams. He co-founded Ventrada Systems (mobile applications) and GlobalX (e-commerce software). He was also Vice President of Sales for PointShot Wireless.<\/p>\n<p>Eliot received his B. Comm. from Carleton University and has been honored as a Top 40 Under 40 Award winner.<\/p>\n<p>He co-authored Sales Recruiting 2.0, How to Find Top Performing Sales People, Fast and provides regular insights on sales team management and hiring on the Peak Sales Recruiting Blog.<\/p><\/div>\n<\/div>\n<\/section>\n<section class=\"abh_posts_tab abh_tab\">\n<div class=\"abh_image\"><img decoding=\"async\" alt=\"\" class=\"avatar avatar-80 photo\" height=\"80\" src=\"https:\/\/media.peaksalesrecruiting.com\/wp-content\/uploads\/2024\/01\/1cfb2152f763e6118839d97c16339339s80ampdmmamprg.png?strip=all\" srcset=\"https:\/\/www.peaksalesrecruiting.com\/wp-content\/uploads\/2024\/01\/1cfb2152f763e6118839d97c16339339s160ampdmmamprg.png 2x\" width=\"80\"\/><\/div>\n<div class=\"abh_social\">\n<div style=\"clear: both; font-size:12px; font-weight:normal; width: 85px; margin: 0 0 2px auto; line-height: 20px;\">Connect:<\/div>\n<p><a class=\"abh_twitter\" href=\"https:\/\/twitter.com\/eliotburdett\" rel=\"nofollow noopener\" target=\"_blank\" title=\"Twitter\"><\/a><a class=\"abh_google\" href=\"https:\/\/plus.google.com\/+EliotBurdettPeakSalesRecruiting?rel=author\" rel=\"nofollow noopener\" target=\"_blank\" title=\"Google Plus\"><\/a><a class=\"abh_linkedin\" href=\"https:\/\/www.linkedin.com\/in\/eliotburdett\" rel=\"nofollow noopener\" target=\"_blank\" title=\"LinkedIn\"><\/a><\/div>\n<div class=\"abh_text\">\n<h4>Latest posts by Eliot Burdett <span class=\"abh_allposts\">(<a href=\"https:\/\/www.peaksalesrecruiting.com\/author\/eliotburdett\/\">see all<\/a>)<\/span><\/h4>\n<div class=\"abh_description note\">\n<ul>\n<li> <a href=\"https:\/\/www.peaksalesrecruiting.com\/blog\/books-about-sales-management-and-sales-leadership\/\">20 Of Our Favorite Books About Sales Management and Sales Leadership<\/a><span> &#8211; October 20, 2023<\/span> <\/li>\n<li> <a href=\"https:\/\/www.peaksalesrecruiting.com\/blog\/how-to-make-progress-on-your-sales-goal-without-a-sales-leader\/\">How To Make Progress On Your Sales Goal Without A Sales Leader<\/a><span> &#8211; September 15, 2021<\/span> <\/li>\n<li> <a href=\"https:\/\/www.peaksalesrecruiting.com\/blog\/how-cmos-can-retain-talent-during-the-great-resignation\/\">Augment Your Recruiting Strategy During \u201cThe Great Resignation\u201d<\/a><span> &#8211; July 26, 2021<\/span> <\/li>\n<\/ul>\n<\/div>\n<\/div>\n<\/section>\n<\/div><\/div>\n<p><span class=\"et_social_bottom_trigger\"><\/span> <\/p>\n","protected":false},"excerpt":{"rendered":"<p>A few days ago I bought a new cellphone at a retail outlet and thought I would share the experience since it highlights how not to design a comp plan (no need to mention the company). The store rep was great, engaging me, asking questions, showing various different products and sharing facts and opinions on<\/p>\n<div><a class=\"text-primary mt-2\" href=\"https:\/\/www.peaksalesrecruiting.com\/blog\/commission-plans-that-backfire\/\">&#8230;continue reading <span class=\"sr-only\">&#8220;Commission Plans that Backfire&#8221;<\/span><\/a><\/div>\n","protected":false},"author":10,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"limit_modified_date":"","last_modified_date":"","cybocfi_hide_featured_image":"","footnotes":""},"categories":[13],"tags":[],"class_list":["post-1258","post","type-post","status-publish","format-standard","hentry","category-sales-compensation"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/posts\/1258"}],"collection":[{"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/comments?post=1258"}],"version-history":[{"count":0,"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/posts\/1258\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/media?parent=1258"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/categories?post=1258"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.peaksalesrecruiting.com\/wp-json\/\/wp\/v2\/tags?post=1258"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}