Sales commissions are a significant part of sales pay and motivation. They may be supplementary earnings that are added to regular pay or a salesperson’s sole source of income; regardless, commissions create a sense of achievement for the sales team.
Sales strategist Marc Wayshak, the author of “The High-Velocity Sales Organization”, writes on the significance of salary and commission in building a successful sales organization. When designing a compensation plan, he recommends keeping in mind the following:
A company’s sales commission structure describes how much commission salespeople will earn for making a sale. Sales managers should think about their budget, the amount they can afford to pay in commission, the amount they are prepared to pay for varying levels of sales productivity, their workers’ base salary (if applicable), and any prospective bonuses or incentives when designing a commission structure.
The idea of a “fair commission rate for sales” is nebulous and often varies by business and position. Product or service value, employee participation in the sales process, and sales territory size are only a few of the variables that might affect a salesperson’s compensation structure. There is no foolproof method for determining this, but you may use the typical commission rates in your field as a guide.
Salary and commission averages provide sales managers with valuable insight into how their sales commission plan stacks up against the market. Further, sales reps may compare their own sales incentive plans with those of their peers.
No matter how intricate the sales commission structure may be, it is critical to have a system that provides up-to-date information to sales representatives, executives, and the sales commission team administrators to reward excellent performance.
Hence, AtmosAI has emerged to keep the workflow organized, accurate and efficient.
Functions of the AtmosAI Commissions Hub:
Plan Management (Create plans with our templatized commission engine)
The process of managing sales performance is one of the most time-consuming, expensive, and perplexing aspects of an organization or a developing corporation. It’s more likely that the wrong compensation will be disseminated, that payments will be miscalculated (perhaps leading to overpayment or underpayment), and that human mistakes will occur while handling commissions manually. In addition, the company’s communication channels are fragmented due to the use of spreadsheets and emails. A team that is dedicated to commission compensation spends a great deal of time and energy every month dealing with the burden of manually managing complicated sales commissions.
AtmosAI’s Commissions Module allows executives to easily and accurately plan for and oversee expanding groups of salespeople and large sales volumes.
Simple to MLM (Support any commissions structure with confidence)
It’s already challenging enough to keep track of all the moving parts involved in handling sales commissions, let alone keeping tabs on sales success and expanding your workforce. It is now more important than ever to have a well-organized sales force, a fair sales commission system, efficient account management, and reliable reporting.
No matter the complexity of the commission structure, AtmosAI will keep track of all the different layers of the commission structure and will properly and accurately allocate them to the respective personnel.
Targets (Create commissions groups and assign revenue goals)
As sales teams grow, sales managers have the ability within AtmosAI to set Targets. Targets have a couple of functions within the system, including the ability to group individual agents, along with Teams and Territories, set financial goals, and assign specific commissions to those groups.
With ATMOS-AI, it is far simpler to create commission-based goals, assign them to the team, and manage them than it is to do it manually or with spreadsheets as the team grows in size.
Override Commissions (Compensate managerial team members via overrides)
Commission overrides are paid on top of the base commission rate. In most cases, they are used to balance other costs, such as the monthly phone bill or the monthly rent (admin expenses or bringing on a team member under them). Override commissions are often paid to producers and agencies that front the money for their expenditures. “Overwrites” is another word for overrides.
Recurring Commissions (Subscription commissions supported for any period)
Salespeople may expect to get their recurring commissions on a monthly or quarterly basis, which is usually tied to the number of sales they generate over a certain period and usually pertains to memberships or subscription orders.
AtmosAI automates this process and automatically generates a commission at the selected time interval, ensuring you are notified when a recurring commission is due.
Varied Commissions (Assign to specific products, categories, or deal stages)
A varied commission is one that is assigned to a specific product, category, or deal stage and is paid when a sale is made according to that particular criterion.
By using AtmosAI, these specialized commission structures may be generated, tracked, and paid.
Multistage Commissions (Generate to different people at different deal stages)
The complexity of a sales commission system increases as the number of sales representatives and levels increases. With a larger workforce comes a greater burden on the personnel who manage sales commissions. It becomes more difficult for compensation administrators to keep up with the needs of a growing sales staff, and mistakes become more likely as a result.
With AtmosAI’s commission capability, you may pay commissions to multiple payees at different phases of your sales and delivery process, guaranteeing accurate data and a repeatable sales process.
Advances (Attract more distribution with commission advancements)
The use of commission advancement is very common among many sales sectors, but keeping track of how much advance is taken against how much commission is due can be very difficult. Advanced commissions are paid upfront for a set period of time in the future, and it can be very overwhelming to address and calculate properly.
Did the member cancel before the end of the advancement period? For how many months should commissions be held due to the advance being paid upfront? This is where AtmosAI’s advanced tracking features come into play to generate and report the above with ease.
Conclusion
Start automating your commissions today. If you’ve been looking for a way to improve your return on investment, minimize overpayments, boost morale, streamline the whole operation and place transparency at the forefront of your operation, AtmosAI may be just what you need. With the help of AtmosAI, sales calculations can be generated automatically, sales staff can be communicated to better, and reports can be made quickly and accurately.
If you’re interested in exploring the capabilities of AtmosAI’s Commissions Hub, you can get started here. For those who are interested, we welcome you to join a personalized demo.
For further questions or clarifications, we can be reached at hi@atmosai.io.