min(s) to read
November 26, 2023

Sales Incentive Design, Role Definition, Quotas

Sector: Manufacturer of data storage and management

Revenue: > $500M

Size: 250-person sales organization

Scope: Global

Impact: 10.8%Top-line sales growth

Business Approach:

  • Client aimed to grow recurring revenue from 40% to 70% as it shifted its business from hardware to software
  • During the transformation, client needed to balance focus between large existing install base with new market penetration
  • Sales incentive plans focused on driving hardware sales rather than software sales and solution selling
  • Original program overcompensated sellers for low to average performance and undercompensated high performers – driving mediocre performance


  • Qualitative information collected through internal stakeholder interviews
  • Quantitative pay and performance assessment across roles and regions
  • Market benchmarking for base salary, total target compensation, and total cash compensation 
  • Development of plan design frameworks and pros/cons of options
  • Cost analysis of potential plan designs