SCOTTSDALE, Ariz.--(BUSINESS WIRE)--More than 120 sales departments participated in the Alexander Group’s 2020 Sales Compensation Trends Survey. One of the key findings indicates that only 39.8% of the survey respondents have above-average sales confidence they will achieve their revenue objective for 2020. This is a drop from last year’s confidence of 57%. Another finding shows 90.9% of the reporting companies plan to make changes to the sales compensation program for 2020.
“While sales leaders do not expect a major downturn in 2020, they are more cautious about 2020 sales performance than the sales projections they offered for 2019,” said David Cichelli, survey editor and revenue growth advisor of the Alexander Group. “Additionally, we found some noteworthy sales compensation practices for 2020. Most companies (90%) provide a base pay to their sellers, but not all companies grant an annual increase in base pay. Only 66.9% plan to give a base pay increase in 2020.”
Other Noteworthy Highlights
- 3% is the median increase in total earnings planned for 2020.
- 56.4% of the surveyed companies plan to increase headcount in 2020.
- 10% turnover is consistent with previous years.
- 90% of all participants provide a base pay to their sellers with or without a draw or guarantee.
- 66.9% of the reporting companies plan to give base pay increases.
- 45% was the median population of sales personnel reaching quota among the surveyed companies in 2019.
- 53.7% use an automation tool developed by others.
Download a complimentary Executive Summary at https://www.alexandergroup.com/insights/2020-sales-compensation-trends-survey-executive-summary/
About the Alexander Group, Inc.
The Alexander Group (www.alexandergroup.com) provides revenue growth consulting services to the world’s leading sales and marketing organizations, serving Global 2000 companies across all industries. Founded in 1985, Alexander Group combines deep experience, proven methodologies and data-driven insights to help revenue leaders anticipate change, align their go-to-market resources with company goals and make better informed decisions with one goal in mind—to grow revenue. The Alexander Group has offices in Atlanta, Chicago, London, New York, San Francisco, Sao Paulo and Scottsdale.
