By listening to Doug's interview you will learn: A brief overview of the 5 W's of Incentive Programs; How the 2009 economy altered the incentive travel landscape; What trends are forecasted for incentive programs for 2010 and beyond; Unique industry practices to guarantee successful incentive programs in the new decade and the New Economy

Learn how to develop a sales compensation plan that will motivate your salespeople to do what you want them to do!

A common question is whether sales commissions should be calculated based upon revenue or gross margin. The answer is...it depends.

Sales compensation plans that attract and motivate quality salespeople usually include some type of "income floor". The question is, which type of income floor produces better results - a salary or a draw?

Many companies make the mistake of using 100% commission sales compensation plans. Why do they do it? They feel a 100% commission plan will minimize their financial risk, as no sales made means no commissions paid. Besides, any salesperson that is any good should have enough faith in their own ability to work on 100% commission, right? Wrong!

How do you determine what is an appropriate referral fee when the amount of purchases from each referral can vary widely? Should referral fees be paid based upon a single client purchase or multiple client purchases?

How do you determine what constitutes "a sale" for your sales compensation plan? Does it mean the salesperson got you in the door and you have to manage the rest of the sales process? Does it mean the salesperson does everything from finding the opportunity to closing the sale? Or, does is mean something else?

This article answers the following questions: How do most companies look at return on investment (ROI) for their sales compensation expense? What portion of sales compensation expense do companies allocate to managing existing accounts versus pursuing new accounts? Do most companies expect their salespeople to generate new, additional gross profit each year that is equal to or greater than their compensation?

This article addresses three examples of frequently asked questions related to sales compensation plans.

The most common question we hear concerning sales compensation goes something like this: "What commission percentage should I pay for _____________?" I'm sorry, but there is just isn't a "standard" answer to this question. Why? Because there are a huge number of variables that impact commission percentage calculations.

A common problem with sales incentive programs is that the newness and excitement can wear off quickly. Salespeople may come to see incentives as just another component of their overall sales compensation. Does this mean that money and prizes can never motivate salespeople? Of course not!