Sales Compensation Development

Rule #15: People work harder for their reasons than they do yours. Motivate the individual to hit the corporate goal. Here's what this means. We all have kids, and when you want a kid to play an instrument because you love the instrument and you want them to be successful, you push, push, push. If they don't have the passion, confidence, and conviction that that's what they want to do, they end up not doing it. You spend a lot of time and energy having them live through your eyes, and the same thing holds true with corporate goals.

Compensating the sales team is one of the toughest things to get right in your business. If you pay them too little, good salespeople will leave for better opportunities. Pay them too much, and they get complacent and stop growing revenue. To inspire and motivate top performing salespeople, you must use the Goldilocks Principle and get the compensation package “just right.” Let’s look at the pros and cons of some popular options.