A few weeks ago, I jumped into the compensation discussion with a post about commissions. My opinion is that heavily and solely incentivizing a sales professional for their selling results might not be the most effective compensation model. There are aspects of the sales process that involve the expertise, support, and follow-through of others in bringing new business and retaining existing business. Providing a large portion of the rewards to the sales professional for these results diminishes the significant and valued contributions of others in supporting these outcomes.
The purpose of this post is to offer a follow-up to the commission conversation. And, provide a little more perspective into what is rapidly becoming the organizational and process trend for most businesses.







I have long been a passionate proponent of commission only sales programs (including draw against commissions). While revisiting the wide ranging reality of the sales professionals’ role and interactions with their organizations as they produce and help grow the business, I have had a significant change of heart.
First of all, there is no such thing as “free.” It may look free, appear free, be advertised as free, or conceded as free — if it a service is being offered by a business, they are making money on that service somewhere, somehow. Anyone who is honest about their business relationships and business experiences are only kidding themselves when they it is “free.” It is never free. If it was free, they would be out of business.