[The following is an excerpt from the 2010 Inside Sales Metrics & Compensation Report survey of 115+ technology companies located in North America.]
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What is the annual quota per Rep?
| Average Annual Quota |
$853k |
Data at right denotes percentage of respondents
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What percentage of the group achieves quota?
| In a given group, % of Reps Making Quota |
50% |
It is interesting to note that while target compensation has remained relatively flat since 2007 (a 1% decrease), quota has increased significantly (nearly a 33% increase).
What’s up with that?
Our buddy, Chad Levitt, shares his reactions with Sales Productivity Decline: Why did 50% of Sales Reps Miss their Number? Here's an excerpt:
That is a bloody mess for any sales organization and it begs some questions to be asked.
Here are a few that come to mind:
1.) Why are quotas going up while quota attainment is going down?
2.) Why is quota attainment going down?
3.) Why are quotas going up?
4.) Is there a disconnect between sales management and front line sales reps?
5.) Is the proper training being provided to sales reps?
6.) Is this a cyclical trend in the data or a secular shift in the way customers buy?
7.) How much of this trend is related to the 2009 recession?
8.) Do you have a repeatable and measurable sales process?
9.) Can you pilot changes in the sales process to increase rep quota attainment?
More then a few mind benders in that list, but they need to be put on the table and discussed if any organization is going to see an improvement in rep quota attainment. Many organizations will ignore the data, turn into an ostrich, and steak their heads in the sand. Don’t be an ostrich — it is not the solution.
So, how do we turn this trend around? When was the last time we really took a long hard look at our process and skills… and I mean long and hard look.
Great sales leaders are analytical. They know that selling is a much science as art. They know that those who win are those who have created a formula that is unique to their buyer and their market.
So, I ask you again, how do we turn this trend around? Any information you can share on what you analyze, or how much you invest per head in training your people or how you piloted a new sales process….whatever you have we would love to hear it.
After all, we are the best and the brightest in the selling community aren’t we?
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| Get the Full Report: 2010 Inside Sales Metrics & Compensation |
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Research Report: Focusing on the Inside Sales (revenue generation) function. Inside Sales Metrics & Compensation: KPIs & trends Based on 2010 survey of 115+ B2B companies. |