Software-as-a-Service ISVs often adapt traditional commission models only to discover too late that a good incentive compensation plan is more than just another paycheck. With an accelerated sales cycle that generates smaller incremental revenue pieces, the SaaS ISV quickly discovers the value in motivating its salespeople differently.
By not paying commissions on total contract values, the ISV can avoid negative cash flow that comes from mismatched revenue and commissions. By shunning small annuities on billed revenue, the ISV will ensure its salespeople can quickly achieve personal goals and continue to bring in new customers.
Keychain Logic develops customized compensation plans that motivate recurring revenue SaaS sales and return high profitability to the ISV.
To learn more, see the Software Sales Compensation Guide on our Resources page.