How to simplify your sales commission plan
Everyone wants a sales compensation plan that’s simple. Something that’s easy for reps to understand, easy to calculate at the end of the month, and isn’t a pain to administer. It’s easy to fall into the trap of over-simplifying a sales comp plan, and just as easy to ignore the negative impact this can have on sales performance, morale, and relationships between sales and other departments.
The most important objective of a sales compensation plan is to motivate a sales team to accomplish what the company needs. At the most foundational level, a sales comp plan needs to be aligned with a company’s business objectives in order to drive the right type of behavior from a sales team. However, business objectives can also be complex. This is where oversimplification can hurt. When simplifying a comp plan, it should be simplified in the context of the overarching business objectives, rather than for the sake of simplicity itself. It’s tempting to choose the path of least resistance, but here that can have negative consequences down the road.
An alternative approach is to simplify by managing the complexity of the plan, rather than eliminating the complexity. More complexity is always good. Managing complexity is what creates pain. Automating commissions can help teams manage and administer highly complex comp plans with the same ease and simplicity of a single rate plan.
Don’t sacrifice your business objectives for the sake of simplicity. Manage the complexity with automation. We’ll do the heavy lifting for you.
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Automate sales commission payments. Create commission rules, define a payout schedule and access monthly statements for each sales rep.
Motivate and coach with real time dashboards
Motivate sales professionals with real-time visibility into commissions. Coach your team, align everybody with company goals and drive long term sales performance.
Compare, simulate and design commission plans
Roll out new commission plans with ease. Compare plans and simulate new rules with a single click.
No more errors
Palette keeps history logs and tracks every calculation detail, helping you to reduce sales commission errors.
Reconcile revenue with CRM data
With Palette you can reconcile invoices and payments with CRM data and pay commissions to your reps only when the money is in the bank.
Create challenges with one click
Incentivize your teams on short term goals. Create a challenge targeting any KPI you want to uplift, drive better results and boost your company’s culture.