Is Your Sales Force Working For You? Using Sales Compensation To Drive Growth

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The Trouble With Spiffs

"Spiffs need to be used in a constructive and productive way," Rogers said, noting that spiff offers from IT vendors can misdirect a solution provider's sales force. She related one experience where sales representatives sold printers below cost in order to earn the manufacturer's spiffs.

* Avoid spiffs that can lead to products being sold below minimum prices and margins.

* Manager approval should be required for participation in spiffs to ensure they are consistent with company objectives.

* Reserve the right to reset spiffs distribution.


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