“The onboarding period is when sales people decide how much of their life they want to give you.” - Melodie Schwartz
If you’re like most companies, you’ve randomly chosen a round number like 30, 60, or 90 days, for new hire ramp time. But if we asked you why you chose that number…you likely don’t have a good answer. Understanding your sales data can help you identify factors that will create a ramp program that motivates and retains your reps.
If you don’t have a lot of historical data, or your data isn’t great, there are a few ways to get your head around what a realistic ramp period should look like:
These insights will help you determine how long it takes to fill a rep’s pipeline, how much effort is required to close one deal, and which sales behaviors lead to the best outcomes. You may find that 3 months is plenty of time. Alternatively, you may need a 6 month ramp.
To balance learning with sales effort, make sure your first 3 months encourage the right behaviors and provide a way to track outcomes. Here’s an example of a 3 month ramp plan:
Month 1:
Month 2:
Month 3:
“If reps feel like they have to do calculus to know what they’ll be earning, it's not motivating.” - Lee Tennant
Compensation plans and policies have a huge impact on the behaviors and performance of your sales team. In fact, salespeople are 50% more likely to leave a job if they are dissatisfied with their comp plan.
Most comp plans include up to 4 components:
There’s a lot of room to get creative with these components. In fact, your incentives can improve teamwork while also motivating individual reps. Consider adding a team-based metric that includes working together in pods with SDRs and SEs, overachievement accelerators, spiffs, and key business objective multipliers.
“Real time visibility means that your reps will trust the comp plan.” - Melodie Schwartz
You can have the perfect comp plan and sales ramp strategy, but without visibility, your reps will get nervous about their paychecks. Adding in commission management software to your sales stack gives reps visibility into their commission in real time so they can understand which behaviors lead to successful outcomes and, ultimately, help you retain your top performers.
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