Main

Changing Your Sales Comp Plan? Communication is Key

Written by Mike Emerson on Wednesday, 07 September 2016. Posted in Distribution

If you embark on changes to your sales compensation plan, remember: Communication is key.

Take care that a new compensation plan for your distribution business has been sufficiently modeled to ensure minimum disruption. Sales reps are no different than anyone else when it comes to income. Any change will hit close to home. Modeling possible scenarios will minimize the possibility that morale-debilitating adjustments will need to be made shortly after implementation.

One-on-one communication of the new program with each rep, along with thorough documentation of the changes and the rationale behind them, is strongly recommended to ensure that all reps have a clear understanding of the new program. This will also help address the inevitable rumors that will have circulated.

Are you looking to revamp your sales compensation plan to align with your strategy? Read some of IRCG’s latest sales compensation articles for distributors:

Learn how IRCG can help you revamp your sales compensation program.

About the Author

Mike Emerson

Mike Emerson

Mike Emerson has been an IRCG Partner for six years. Mike joined Indian River in 1998 and has worked with hundreds of distributors and manufacturers of all sizes and within many lines of trade.

As a Partner in the firm, Mike has managed a broad array of projects. His main focus areas include: compensation design, strategy facilitation, market research, and data modeling and analysis.

Mike writes extensively on distributor and marketing channel topics and is frequently quoted on contemporary issues. He has authored four books, published by NAW: What’s Your Plan? Smart Salesforce Compensation in Wholesale Distribution, Working at Cross-Purposes: How Distributors and Manufacturers Can Manage Conflict Successfully, Value Creation Strategies for Wholesaler-Distributors and What’s the Right Plan? Effective Sales Incentive Design for Wholesaler-Distributors. Mike is also a university lecturer on marketing topics.

blog comments powered by Disqus

Client Login

NOTE: The capitalization of the password DOES MATTER.

Sitemap
Get Industry Insights
Invalid Input

Invalid Input

Invalid Input

Invalid Input