Best Practice Report

Sales Compensation: Crediting Considerations For Perpetual And Recurring Revenue Streams

July 3rd, 2018


Compensation planning varies depending on the revenue stream type — perpetual revenue, recurring-term revenue or recurring-usage revenue. Of the three revenue stream types, recurring-usage revenue is the most difficult to credit, because when the order is created, its value is unknown. With all revenue stream types, keep reps motivated by compensating them upon order booking whenever possible.

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