Compensating New Sales Roles: How to Design Rewards That Work in Today's Selling Environment

The Sales Credit Challenge

As the channels available for selling to and servicing customers proliferate, the ability to track and measure results becomes a significant issue. Our associate David Fritz has defined sales credit as ''rules guiding the allocation of sales results amongst resources who have participated in the selling process.''^[6] For the purpose of sales compensation, that definition is frequently broadened to include resources that participated in the end-to-end customer management process. As more and more companies implement new channels and new sales roles, sales crediting is becoming an important feature in the design of the sales incentive plan. The plan is motivational, and thus a good investment of compensation dollars, ...