Hosting company owners - how do you compensate your salespeople? - GoFuckYourself.com

whatif_3 · 10-01-2009, 10:26 AM

trying to figure out a fair commission plan for salespeople for a hosting company

trying to incentivize them to bring in new hosting business, upsells and bandwidth

could pay a straight percentage, but the problem there is if they are making good $ off of their residials, they may not want to persue new business

wanted to get some ideas from people with experience, any thoughts?

area51 - BANNED FOR LIFE · 10-01-2009, 10:44 AM

Are we talking about a new hosting company?

Say it isn't so

webmasterchecks · 10-02-2009, 09:28 AM

this has been a question that companies have wrestled with for years, ross perot was once one of the top sales guys for ibm, i think. then the execs decided that the sales guys were making too much money, so they put a ceiling on how much they could make. ross perot made the ceiling in his first month, left and started his own company

96ukssob · 10-02-2009, 09:40 AM

We have a requirement that new business must be brought in every 45 days and at $XX,XXX amount to prevent this.

When we first hired sales people, we ran into this problem pretty quick. One person was pissed, but I'm not paying salary + commission to someone who works one month, than takes the next 11 off because they bought in a decent sized client

Spudstr · 10-02-2009, 10:28 AM

3 month forgiveable draw, xx% on first term contract, x% on renewals.

So what if sales guys make gobs of money, hopefully if they are doing their job they are growing your business.

true salesmen don't need to live on base salaries. And if they do they are not normally worth it.

Spudstr · 10-02-2009, 10:29 AM

Quote:

Originally Posted by bossku69

We have a requirement that new business must be brought in every 45 days and at $XX,XXX amount to prevent this.

When we first hired sales people, we ran into this problem pretty quick. One person was pissed, but I'm not paying salary + commission to someone who works one month, than takes the next 11 off because they bought in a decent sized client

hence why you should put hooks into their contract stating if they don't perform X or bring a minimum in you drop their commision to something miserable.

TidalWave · 10-02-2009, 10:32 AM

as long as i get my 3 rations of oatmeal every day, im happy.
just a tip

pornpf69 · 10-02-2009, 10:41 AM

people should be able to make as much as their work is worth!!

10-01-2009, 10:26 AM	#1
whatif_3 Registered User Join Date: Jul 2004 Location: Canada Posts: 459	Hosting company owners - how do you compensate your salespeople? trying to figure out a fair commission plan for salespeople for a hosting company trying to incentivize them to bring in new hosting business, upsells and bandwidth could pay a straight percentage, but the problem there is if they are making good $ off of their residials, they may not want to persue new business wanted to get some ideas from people with experience, any thoughts?

10-02-2009, 09:28 AM	#3
webmasterchecks Confirmed User Join Date: Oct 2006 Location: Phoenix Posts: 1,685	this has been a question that companies have wrestled with for years, ross perot was once one of the top sales guys for ibm, i think. then the execs decided that the sales guys were making too much money, so they put a ceiling on how much they could make. ross perot made the ceiling in his first month, left and started his own company __________________ Webmasterchecks Affiliate Payments - fully compatible with nats/mpa3

10-02-2009, 09:40 AM	#4
96ukssob So Fucking Banananananas Industry Role: Join Date: Mar 2003 Location: If I was in your ass you'd know it Posts: 12,991	We have a requirement that new business must be brought in every 45 days and at $XX,XXX amount to prevent this. When we first hired sales people, we ran into this problem pretty quick. One person was pissed, but I'm not paying salary + commission to someone who works one month, than takes the next 11 off because they bought in a decent sized client __________________ Email: Clicky on Me

10-02-2009, 10:28 AM	#5
Spudstr Confirmed User Industry Role: Join Date: Jan 2003 Location: In a Tater Patch Posts: 2,321	3 month forgiveable draw, xx% on first term contract, x% on renewals. So what if sales guys make gobs of money, hopefully if they are doing their job they are growing your business. true salesmen don't need to live on base salaries. And if they do they are not normally worth it. __________________ Managed Hosting - Colocation - Network Services Yellow Fiber Networks icq: 19876563

10-02-2009, 10:32 AM	#7
TidalWave Confirmed User Industry Role: Join Date: Sep 2007 Location: Los Angeles Posts: 2,706	as long as i get my 3 rations of oatmeal every day, im happy. just a tip __________________ www.SwiftNode.com

10-01-2009, 10:44 AM	#2
area51 - BANNED FOR LIFE So Fucking Banned Join Date: Aug 2009 Posts: 3,164	Are we talking about a new hosting company? Say it isn't so

10-02-2009, 10:41 AM	#8
pornpf69 Too lazy to set a custom title Join Date: Jun 2004 Location: Brasil Posts: 15,778	people should be able to make as much as their work is worth!! __________________ Do you need cheap, fast and reliable porn website hosting? Host Head is the way to go!! Asian Gay Special \| Live on MSN - Live Webcam Chat \| Live Adult Webcam Performances \| MY SWEET BLACKS LIVE ON CAM Cash X \| OK Pay \| Pukka Ropes \| Pukka Fetish \| STRAPED BLOG \| Male Bound and Fucked Pukka Tranny \| Tattooed Shemales \| She's A He \| Menu Porno \| Porn Performances \| All Chubby MY ICQ# 169833797