2. Types of sales
compensation plan
• Straight salary plan
• Straight commission plan
• Combined salary and incentive plan
3. Steps to form sales
compensation plan
Review the sales job
Identify the plan objective
Determine the method of
compensation
Implement the plan
4. Successful sales
compensation plan
Make the plan a win-win for both, company and
sales person
Incent the behavior you want to see
Make the sales compensation plan easy to
understand and administer
Reward top sales performers