Vision Report

The Future Of Sales Compensation Is Insights Driven

November 5th, 2021


Most sales compensation plans pay B2B sellers based on their ability to achieve or overachieve their assigned quota, which is directly tied to the value of closed/won opportunities (e.g., bookings, recognized revenue, contract value). However, sellers are working in an increasingly complex environment with more buyers involved in the purchasing decision and longer sales cycles in a team-selling environment. Achieving a successful outcome requires a sales rep to work within a revenue ecosystem that consists of multiple functional groups (e.g., marketing, sales support, customer success, professional services) working together to influence the outcome of an opportunity. This complex environment makes it challenging for sales leaders and compensation plan designers to align compensation measures to the actions required to advance and close an opportunity. In this report, we explain how new insights into account potential, buyer behaviors, seller activities, and who truly drives closed/won opportunities will lead to major changes in quota setting, compensation measures, and the participants who qualify for variable compensation.

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Forrester helps business and technology leaders use customer obsession to accelerate growth. That means empowering you to put the customer at the center of everything you do: your leadership strategy, and operations. Becoming a customer-obsessed organization requires change — it requires being bold. We give business and technology leaders the confidence to put bold into action, shaping and guiding how to navigate today's unprecedented change in order to succeed.