Developing and Applying a Return-on-Investment Methodology to Drive Sales Force Performance
Return on investment (ROI) pertains only to financial transactions such as acquisitions or product purchases, right? And it is really just a calculation that finance professionals use, right? Wrong. ROI is important in every type of investment. We will focus here on sales compensation. This approach focuses on creating and maintaining a culture of performance in the sales force based on a customized application of ROI.
Why is ROI important in sales compensation? Most C-level executives want to know the answer to two questions:
1. What are we getting out of our sales compensation plan?
2. How much ...