As you begin drafting next year’s sales compensation plans, wouldn’t it be nice to quickly understand the potential commission earnings and team quota attainment with existing deal data?
In QuotaPath, now you can.
How healthy is your comp plan?
Answer 7 questions to quickly assess if your account e business compensation plan strategy is healthy and balanced.
Take QuizDraft Plans
Called Draft Plans, this feature enables GTM leaders to design — then test — comp plans in-app that they’re considering.
Run plan proposals against existing CRM data to estimate total teamwide commissions, identify potential edge cases, get a pulse on plan effective rates, and see how realistic (or unrealistic) attainment goals are.
Think of it as a sandbox environment.
Test different plan components. Map your CRM fields and verify calculations with past data before anyone from your team sees it.
Considering mechanisms to drive gross revenue retention in 2024? In Draft Plans, duplicate your plan. Then, add a multi-year accelerator to see how much you would have paid your team using last year’s sales numbers.
Notice a shift in your sales cycle from 4 to 6 weeks to 9 to 12?
In Draft Plans, evaluate different quota frequencies to see if moving your team from a monthly quota to a quarterly quota makes sense. Would more reps hit quota and have a greater shot at achieving their on-target earnings under your proposed plan changes?
Now, avoid guessing and let Draft Plans inform your decision-making.
Maybe you’re just curious to see the financial implications of increasing the commission rate of a plan. What would your effective rate increase to? Would it take you over the recommended 20% to 25% of your total customer acquisition cost?
The importance of testing comp plans
Our 2024 Compensation Trends report showed that 91% of teams are missing quota targets.
31% attributed this to unrealistic quotas and sales goals.
By testing your comp plan considerations with current data, you get an immediate check on how attainable those goals are (and how much you’d pay on commissions for doing so). Testing eliminates the need for guessing and prepares you with the answers to the questions Finance will have when you submit your plan for final approval.
Draft Plans can help address and validate these questions quickly without requiring another spreadsheet.
Once leadership has aligned on your comp plans, Draft Plans gives you control over the rollout to your sales teams.
In QuotaPath, prep your plan components and CRM mappings, assign team members, and ready plan verification. Add a few test deals to verify calculations. Then, publish to your teams on your time frame, whether it’s following your sales kickoffs or a manager one-on-one.
Have confidence heading into your next comp plan rollout.
Plan Details
Additionally, we made it easier for you to edit and monitor the ongoing performance of your comp plans.
Plan Details organizes earnings paths within each comp structure. It also shows the deal data used to calculate commissions and lists the reps under that plan. The performance section reflects how your team is progressing to plan and displays total earnings, average effective rate, and plan attainment by rep.
The next time you want to check performance or edit details, such as implementing a SPIF or adding a new team member, you can do so in Plan Details.
With Draft Plans and Plan Details:
- Experiment, validate, and verify plan setup: Build plans in the new draft stage to test different setups and mappings and understand performance with the last period’s data.
- Strategically roll out plans to reps: Control the distribution of new comp plans to reps by publishing drafts after you’ve validated the data and are ready. Then, verify comp plans with reps right in QuotaPath.
- Monitor ongoing performance: See total earnings, average effective rate, and plan attainment by rep for each plan on the plan details page for the past year, quarter, month, or custom date.
- Quickly edit plans: View and edit plans, add or remove reps under that plan, and track rep sign-off from a universal view in Plan Details
Streamline commissions for your RevOps, Finance, and Sales teams
Design, track, and manage variable incentives with QuotaPath. Give your RevOps, finance, and sales teams transparency into sales compensation.
Talk to SalesWant to see? Schedule time with our team. Check out these new features and create and manage compensation strategies confidently and effectively.
