Reps at 25% of Companies Don't Understand Their Comp Plan

Palette Team

It's no secret that salespeople are motivated by their potential earnings. There are also associations with sales comp and revenue growth, with companies that overcompensate their sales teams growing more quickly. Given the importance of sales compensation, then, it should be table stakes for companies to give their sales reps basic information about how their compensation plans work. However, according to new research conducted by Palette, 25% of companies surveyed report that their reps don't understand their comp plans.

This is a huge missed opportunity. Without insights into their potential earnings, salespeople won't be motivated to do their best work and sell more. While it's important to design a comp plan which accounts for the nuance and complexity of a business, it's also important to communicate this plan clearly.

The research found that only one third of companies provide reps with real time reporting and individualized dashboards where they can check their current earnings and earning potential at any time. Providing reps with the visibility to see how much a potential deal will impact their commission payouts is key to motivating them. Many companies fail to provide this because of the manual work involved creating spreadsheets for each sales rep. With automated commissions, though, these dashboards are created automatically without any additional work for plan administrators. Get in touch with us to learn how Palette can provide your team with up to date visibility on quota achievement.

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Automate calculations

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.

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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.