If you’re looking to hire sales reps, commission only is a great option. This commission structure eliminates any financial risk for the employee and keeps them motivated.
However, there are some things to keep in mind when hiring commission only sales agents. Getting this right can lead to high productivity, increased retention rates, and a better reputation for your company.
Recruiting
If you’re a startup, hiring commission only sales agents can be a great way to increase your revenue. These professionals are often experienced and trained to close deals quickly and effectively.
When you recruit commission only sales agents, you should have a clear compensation structure in place. This can help motivate your team and keep them engaged in the process.
The sales commission structure you choose should be based on your team size and industry. Some involve a base salary and a fixed amount of additional pay for each sale, while others offer higher commissions once agents cross a certain revenue threshold.
The right sales compensation plan will boost morale, attract the best candidates, and retain top reps. But, it’s important to avoid creating overly complex plans that will tangle your reps’ minds.
Training
Commission only sales agents typically earn no base pay under their sales compensation plan, and their entire compensation is based on variable sales commissions. They can be a great option for organizations that need to quickly ramp up new sales teams or that have short sales cycles.
The biggest advantage of this type of pay structure is that it can significantly incentivize employees to work harder. In addition, it’s usually easier to track performance based on commission instead of salary.
Training is also essential when you hire commission only sales agents because they won’t have the same experience as your current sales team. You’ll need to give them an introduction to your sales process, and ensure they understand how to make the most of their time if you want them to be successful.
Commission only sales reps can be a huge asset to any organization, but they must be properly trained and incentivised. Choosing the right compensation plan is crucial to keeping top sales talent and improving your bottom line.
Incentives
There are a number of different incentives that companies can offer Commission only sales agents. These incentives can include base salary, bonuses, and sales commissions.
The first thing to consider when selecting an incentive is your company’s goals and objectives. Does your sales team need to hit a certain amount of revenue, increase market share, or enter new territories?
This determines the type of commission structure that’s right for your business. Depending on your business goals, you may want to use a tiered commission model or a gross margin commission model.
If you’re looking for an incentive that will boost your sales team’s morale, consider a tiered commission model. In this model, your agents will earn a certain amount of commission each time they reach a benchmark. This can help them feel inspired to overperform, and it could also encourage them to keep working hard to achieve their next tier of commissions.
Tracking
Tracking your sales team can be a daunting task. However, using a tool that allows you to monitor their activity is essential for a productive and profitable relationship with your team.
Luckily, there are several tools on the market to help you do just that. The best of the best are those that provide data-driven insights into your agents’ performance and allow you to make smarter hiring and management decisions.
The best tools feature a combination of features that can help you make better hiring and management decisions, track your reps’ activity, and display the latest in high-tech sales tools. They may also be able to help you find the most qualified sales people for your team and the most interesting prospects in your industry. One of the tools on our list, Blitz, is a standout in this category. Its commission tracking is a surprisingly robust platform that also offers a bevy of other sales management tools.
