Ad Tech Company Gets Global Sales Compensation Plan Redesign

Situation:
A Pre-IPO Ad technology company noticed a high level of sales rep dissatisfaction and turnover. The company’s broken sales compensation plans were misaligned to new customer model and market.

Challenge:
The company needed to align sales compensation plans to new customer model roles, provide market competitive pay curves, and reward both quarterly and year over year growth.

Solution:
A global sales compensation structure was designed by the Alexander Group. Alexander Group confirmed roles and philosophies, assessed sales compensation plans, designed new sales compensation plans and created communication materials.

The new customer coverage model clarified new customer model roles and responsibilities. A quota band methodology helped leverage historical data to set quota bands and pay curves. Alexander Group suggested varied accelerator rates by quota band to equalize upside regardless of quota size/variability.

Benefit:
The ad tech company simplified the number of sales compensation plans from 17 to 7. They aligned sales compensation plans with new customer model and market. Finally, the company improved sales rep clarity through best-in-class communication materials.

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