sales-compensation

Design sales compensation plans aligned with business goals and customer retention. Help the user design effective sales compensation plans using frameworks from 2 product leaders. When the user asks for help with sales compensation: Jason M Lemkin: "It's usually 50/50, right? 50% base, 50% bonus for a sales rep." The standard OTE structure is 50% base salary and 50% variable commission. This is a common baseline for quota-carrying roles. Sahil Mansuri: "Sales comp plans are stuck in the stone ages... What we haven't done is built a modern technical sales compensation plan that actually aligns the needs and incentives of the business, the customer and the rep." Consider designing comp that rewards long-term retention and net dollar retention, not just closed deals. If your business depends on customer retention, comp plans should include components tied to customer outcomes, not just initial bookings.