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The Importance of Data Driven Incentive Structures
A really good comp structure for a sales team is going to overpay significantly for top performance. You want to pay your top 10, 15% of sales reps two to three times the average earner. And so it's a very steep pay curve. If you design your incentive structure poorly, if you set your targets, what could happen is you could have half your sales team significantly overperform and half your salesteam significantly underperform.