Sales Compensation and Expense Allowances

Congratulations!

You have completed ERI DLC Course 76: Sales Compensation and Expense Allowances.

You should now be able to:

• Recognize the characteristics of successful salespeople
• Determine the business goals you want your sales employees to focus on
• Recognize why many sales jobs lend themselves to incentive pay
• Differentiate between types of incentive pay plans such as straight commission, commission-plus-draw, salary-plus- commission, salary-plus-bonus, and when to use them
• Identify measures of sales success that are commonly used such as order value, new accounts, profitability, up-front cash
• Select productivity metrics such as threshold, target, and top performer
• Specify why the sales cycle plays a role in determining frequency of incentive payout
• Recognize how to measure and evaluate the effectiveness of an incentive plan
• Identify other kinds of sales rewards and allowances such as SPIFFs, the President's Club, expense accounts, and travel allowances such as non-accountable and accountable plans.