“The Three Things You Need to Do to Make Money”

Posted by Mike Martin on Wed, Jun 26, 2013

After discussing an incentive design project with a sales VP recently, he said to me, "Mike, there are a lot of different ways we can create this comp plan. I trust the team to find the best option."

He followed up with, "The only thing I ask is that when it is time to roll it out to the sales force, that we boil the plan down into 'the three things you need to do to make money.'"


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How Much Detail Is Enough? Two Strategies for Communicating Sales Quotas

Posted by Mike Martin on Tue, May 28, 2013

How much detail should sales compensation managers share with the field when communicating quotas?

As much as it takes to gain reps’ trust.

Easy answer aside, sales compensation managers often find it challenging to determine how much detail to share when rolling out new quotas. I have seen two companies at opposite ends of the spectrum, each with strong arguments for why it does things its own particular way.


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New Coke, Anyone? Why Sales Comp Should Go Beyond Data

Posted by Mike Martin on Thu, Apr 11, 2013

I was recently in Atlanta and visited the World of Coca-Cola. While walking through the exhibits and learning about Doc Pemberton and his secret formula, I saw a reference to the infamous launch of New Coke in the mid-80’s.

Often referenced as one of the top marketing blunders of the past century, New Coke provides a lesson about perception and reality for today’s sales compensation projects.


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Three Ways to Improve Teamwork Among Sales Reps

Posted by Mike Martin on Thu, Mar 07, 2013

Two weeks ago, Yahoo made headlines by changing its policy to eliminate working from home in order to enhance communication and collaboration among employees. This news, which set off a firestorm of debate, focused on headquarters employees—but what about sales reps?


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Why Rank Plans Can Bring Out the Best—and Worst—in Your Sales Force

Posted by Mike Martin on Wed, Feb 20, 2013

Compensation plans are often like sports, and not always in a good way.

For instance, if I were a vice president of sales or marketing, I’d rather see my reps competing against the marketplace, like a sports team battling another one, or competing against their own personal goals, like a golfer trying to beat her lowest score.

What I wouldn’t like to see is my players competing with each other for personal stats and not the greater welfare of the team. 


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