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Compensation strategy

Good compensation plans are designed to reward the behavior that helps build and maintain product sales. Each compensation plan is composed of multiple commissions, each filling a different role, rewarding a different behavior. Companies need to understand the advantages to each type of commission and build a successful strategy that meets the needs of every type of distributor that will profit their organization.

  • January 15, 2018

    Analyzing your compensation plan

    Podcast episode 19

    Mark Rawlins, Founder and CEO of InfoTrax Systems, joins Kenny to talk about MLM compensation plans. What direction is the direct selling industry going on compensation? What’s the perfect compensation plan? How do you know if your direct sales commissions are working? How can you use data and analy... Read more ›

  • January 9, 2018

    What’s a Breakaway Compensation Plan?

    Breakaway compensation plans are the oldest of the three common plan types. They’ve been around since the 1970s. To this day, they’re the most popular compensation plan among party plan companies. A breakaway compensation plan uses two primary bonuses and two defined sales force classifications: sales peo... Read more ›

  • December 26, 2017

    The Role of the Fast Start Bonus

    As you’re designing your compensation plan, you may want to consider implementing a fast start bonus. These are bonuses that are designed to round out your primary commissions—focusing earnings on distributors your basic plan doesn’t automatically reward well. They can be designed to reward salespeople ... Read more ›

  • December 18, 2017

    Is it time to change your compensation plan? (Part 2)

    Podcast episode 18

    Mitch Stowell, Vice President of Commission Consulting at InfoTrax Systems, joins us for this two part episode to discuss the process of fine tuning compensation plans over time. How do you know when it’s time to change your commissions? What do you change? Mitch and Kenny talk over these critical d... Read more ›

  • December 4, 2017

    Is it time to change your compensation plan?

    Podcast episode 17

    Mitch Stowell, Vice President of Commission Consulting at InfoTrax Systems, joins us for this two part episode to discuss the process of fine tuning compensation plans over time. How do you know when it’s time to change your commissions? What do you change? Mitch and Kenny talk over these critical d... Read more ›

  • November 6, 2017

    Incentives that get distributors moving

    Podcast episode 15

    Sam Glanzer, Director of Rewards and Recognition at Younique, joins Kenny on this episode of the podcast to talk about promotions, incentives, contests, and rewards. He tells us the right way to design and promote an incentive and some of the wrong ways to do it. Together, Kenny and Sam discuss the ne... Read more ›

  • November 1, 2017

    Incentives and Rewards

    Going Beyond the Compensation Plan

    I’ve written a lot about compensation plans. If you’ve read some of my articles on the topic you already know that compensation plan design is all about rewarding the behaviors you want to see from your distributors. But your options for rewarding and incentivizing distributors go beyond commissions—yet... Read more ›