Distributors: Align Sales Compensation Programs to Drive RevenueBy: Andrew Horvath Distribution, Revenue Growth Strategy, Sales Compensation Program Management
According to a recent Alexander Group survey, over 40 percent of top distributors feel they are unprepared to successfully recruit and retain new talent. Distributor sales strategies across segments are evolving due to changing customer needs. Job expectations and duties are also changing: sales roles have developed from transactional (income producers, product pushers) to strategic (account managers, solution sellers). With this change in the sales model comes the need to re-evaluate how to compensate these sales roles to ensure alignment with company revenue goals.
Distributors need solutions to safeguard against the downfalls attributed to a misaligned sales compensation program. In response, Alexander Group recently hosted a webinar that discussed the key steps for developing a sales compensation program to improve distributors’ top-line growth and profitability, drive effective cost management and avoid excess risk. Practice leaders from the Alexander Group and distributor attendees examined:
- How sales strategy directly impacts sales compensation
- What elements comprise a best-in-class sales compensation program
- How to diagnose issues with your current sales compensation program
- A three-pronged approach for effective sales compensation management
To hear the full presentation recording, please download the webinar.
For more information on how the Alexander Group can assist you with redesigning your sales compensation program to drive revenue, please contact our Distribution practice.
Co-author: Igor Uroic is a principal in Alexander Group’s Atlanta office.