Summary
When developing a channel compensation strategy, B2B suppliers often focus on reseller margin, overlooking other factors that drive performance. Incentives, partner margin, and channel sales rep compensation should all be included in a high-performing channel compensation strategy. Suppliers must align and calibrate compensation components to manage their cost of sales while fostering sales momentum within the channel. In this report, we describe the key ingredients of channel compensation strategy and share best practices for aligning them to drive favorable results.
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