sales commissions

[leeym]

I own a systems integration company (webdev, networking, groupware, etc.), and am in the process of building a sales force. However, I'm not familiar with sales commission rates, and how they vary depending on the size of each deal.

Can anyone suggest a site which can give me some more background on this topic?

Thanks

 

[Biggerhammer]

Well, my sales experience is a lot lower-end (I sell satellite TV) but generally you set up a tier based on close rate and price, so that if somebody has a very low close rate they get a lower percentage than somebody who closes a lot of deals. The sales staff can make a lot of money by either buring up the phones calling a million people and selling to a few, or by carefully assaulting a few likely contacts and making a good close rate with low number of sales. The one who drives a new car is the one who makes a moderately high volume of calls and closes most of them.