Incentives for High Sales

Most incentives are broken. They reward silos. Not growth. Think about it: • CFOs rewarded for managing costs • CROs rewarded for hitting quotas • CMOs rewarded for running campaigns • CTOs rewarded for shipping projects And equity and stock options attempt to align leaders. Each reward makes sense in isolation. But together? They often cancel each other out. Because growth doesn’t come from silos anymore. It comes from ecosystems. From partnerships. From leaders whose incentives pull in the same direction. The challenge is clear. Most leadership teams are still measured role by role. As if yesterday’s playbook still applies. But the environment has shifted. AI. Connectivity. Rising customer expectations. Resilience and adaptability now matter more than annual wins. That’s why I wrote Incentives Rewired. It maps how incentives are changing across nine executive roles and then answers a harder question: Which executives should be paired together to multiply their impact? Some examples: CFO + CRO ⤷ Finance supports growth that lasts, not only cost management CTO + CPO ⤷ Tech and product work toward ecosystems, not isolated launches CHRO + COO ⤷ Culture and adaptability move in sync CIO + CMO ⤷ Data becomes market-winning experiences CRO + CDO ⤷ Sales and distribution becomes data-driven This isn’t a fixed model. It’s a prompt for CEOs and boards to consider: → Are we still rewarding siloed wins? → Which pairings matter most to unlock growth? → Do our incentives match how we’re organised? → Are we preparing leaders for tomorrow, or rewarding them for yesterday? Incentives shape the future of your business. What future are you rewarding? If that question matters right now, let’s talk. I work 1:1 with CEOs to align leadership, incentives, and partnerships for growth. Learn more here: https://lnkd.in/gGRsN47q -------------------------------------- 📩 Want insights like this in your inbox? Join my free newsletter: https://lnkd.in/gZtdkx_U ➕ Follow Phil Hayes-St Clair for more like this.

This is the most underrated problem I've seen when trying to build or expand partnership GTM: Leadership is initially fully behind a new partnership, excited about its potential, but that enthusiasm never makes its way down to the sales teams who are expected to execute. Without alignment, even the best partnership can stall before it has a chance to succeed. Why does this happen? Sales teams are often focused on their core products, and if a partnership doesn’t clearly benefit them or fit into their day-to-day operations, it becomes an afterthought. To turn things around, you need to make sure your partnership incentives, compensation, and training are in lockstep with the teams that will be selling your product. Here’s how to align incentives and drive results: 1. Ensure your incentives are compelling enough for frontline teams. It’s not enough to excite leadership—sales teams need a clear, tangible reason to sell your product. - Introduce a financial incentive or bonus structure that’s competitive with what reps earn on their core products. This could be a one-time bonus for the first sale, or an ongoing commission that rewards consistent effort. -Tie the incentive to their existing sales goals. If your product helps them hit their targets more easily, they’ll naturally prioritize it. 2. Structure partner compensation to motivate co-selling. If your partner compensation doesn’t align with their core goals, they won’t push your product. - Design a compensation plan that aligns with both the partner’s and your business objectives. For instance, if your partner’s core offering is hardware, incentivize bundling your software as part of the sale to create a win-win situation. - Offer performance-based incentives that reward partners for hitting key milestones—whether that’s a certain number of units sold, a specific revenue target, or even customer engagement metrics. Keep it simple and measurable. 3. Provide consistent training and engagement so your product isn’t just another checkbox. Sales teams won’t advocate for your product if they don’t fully understand its value or how to sell it. - Develop ongoing, bite-sized training sessions that fit into their schedules. Instead of overwhelming them with lengthy sessions, focus on 15-minute, high-impact trainings that teach them how to identify the right opportunities. -Pair training with real-time support. Join sales calls, offer one-pagers, and provide direct assistance during key customer engagements. When they feel supported, they’re more likely to feel confident pushing your product. This kind of alignment can make the difference between a stalled partnership and a thriving one. When sales teams are motivated, equipped, and incentivized to sell your product, the partnership stops being just another checkbox—it becomes a key driver of growth.

Sales and marketing alignment isn’t a workshop topic—it’s a revenue system. A methodology that often requires culture change to stick. As teams plan for 2026, the gap between strategy and operational effectiveness across and between these two functions still blocks predictable pipeline in focused, complex markets. In other words, "jazz hands" at SKO often fails to translate into what needs to happen on Tuesday. Alignment means nothing without consistent, successful execution. As I see it across the countless client and community conversations we've had this year, four pressure points are creating most of the barriers to true alignment and impact: 1️⃣ Attribution If sales and marketing don’t share a single influence model, both sides optimize locally and the complex motions you need regress to random tactics that fail to achieve your goals. Pick a model, publish the rules, and hold everyone to it. Use it to inform planning—not just to settle debates after the fact. 2️⃣ Goal alignment Pipeline math must connect cleanly: ICP coverage → stage-weighted opportunities → win rate → revenue. If these ladders don’t reconcile across teams, you’ll miss targets even with strong activity. 3️⃣ Incentive alignment Comp drives behavior. When qualified lead and opportunity goals conflict with sales quotas you get sandbagging, over-qualification or turf wars. Consider tying marketing variable comp to sourced and influenced pipeline that closes, and tie sales to opportunity quality and velocity. Or, if you're brave, eliminate sourced/influenced metrics altogether and align incentives on metrics you can actually buy a beer with. 4️⃣ Board/investor expectations Assumptions, when left unchecked, often harden into mandates. If you don't show your board an operational plan for getting sales and marketing to work together, they'll think they have to define it for you. And you definitely won't like that. Translate board-level growth narratives into an operating model both teams can run: agreed ICP, motion mix (inbound, outbound, partner, PLG), capacity plans, and an SLA for handoffs and follow-ups. As you build towards true, sustainable sales and marketing alignment in 2026, here's a checklist of priorities to get in place sooner than later. 💡 One shared attribution model with monthly governance 💡 A joint, integrated pipeline playbook: coverage, conversion, velocity and capacity by segment 💡 Unified incentives with a common “closed-won” denominator 💡 A "Revenue Council" cadence: sales, marketing, finance, ops—meeting regularly with a single dashboard 💡 A proactive alignment board narrative with milestones and dashboards for regular updates We're all tired of talking about sales and marketing alignment. But for many organizations it has become THE blocker to predictable, efficient and sustainable pipeline and revenue achievement.

The world preaches loyalty, but how many brands actually live it? Last month, I got an invite to something called Summer Smash, 1st Phorm International's invite-only community event in St. Louis. Think three days of HQ tours, private pre-parties, high-energy workouts, rides, and live music from artists like Ludacris, Lil' Jon, Pitbull, and Steve Aoki. The whole thing sells out in under a minute each year. Pure community building at it's finest. I couldn't make it due to personal obligations, but here's what blew me away: they still sent me a surprise box packed with over 10 of their top products (proteins, apparel, energy drinks, protein sticks), plus a handwritten note that felt genuinely personal, not like a marketing ploy. We've gotten so caught up in digital tactics that we've forgotten about the power of high-touch moments that forge actual emotional connections. This kind of follow-through is almost unheard of in today's brand world. Most companies would've moved on to the next person on their list. But 1st Phorm gets something that a lot of brands miss: real loyalty isn't built through campaigns or offers, it's built through experiences that make people feel like they belong to something bigger. That's where lifetime value really takes off. Summer Smash is far beyond just an event; it's the kind of experience that flips the loyalty script entirely, where customers don't just buy, they simply belong. Here's what I think other brands can learn from this approach: ➟ Send unexpected value for no reason. A surprise product or handwritten note shows customers they matter beyond their purchase history. ➟ Build exclusive communities around shared values, not just products. Whether it's in-person events or virtual experiences, give your best customers something they can't get anywhere else. ➟ Create moments people actually talk about. A few hours with A-list talent or behind-the-scenes access beats another discount code every time. ➟ Lead with gratitude, not growth metrics. When thank-you moments drive your strategy instead of the other way around, authenticity follows naturally. The bottom line: loyalty is earned through emotion, experience, and belonging. If your brand isn't building that, you're just another transaction in someone's day. When did you last surprise your customers with something that wasn't even on your roadmap?

Rethinking Incentives in Pharma: Sales & Marketing Disclaimer: The views expressed are solely those of the author, intended for MBA students’ discussion only. Information is sourced from public domains and does not constitute legal, medical, or investment advice. No responsibility is assumed for decisions made based on this content. We all know incentives shape the intended behaviour to achieve organisational mission. For decades, we've rewarded volume: more prescriptions, more calls, more territory coverage. But in today’s environment - we need more than reach. We need relevance, credibility, and collaboration. To get a broader understanding, let’s see how the benchmarking Indian companies are pivoting their incentive strategies vs their US counterparts. India: Evolving from Volume to Value Most Indian companies still use traditional Rx-linked bonuses. But leaders like: * Lupin are experimenting with training-linked rewards * Sun Pharma has begun integrating MIS adoption into KPIs * Cipla has piloted cross-functional KPIs for chronic therapy launches Still, incentives here largely reward value achievement and activity over impact. Change is coming—but cautiously. USA: Strategic and Multi-Dimensional In the U.S., incentives are more nuanced: * Pfizer and BMS tie bonuses to patient start data, formulary wins, and HCP satisfaction * Amgen integrates digital behavior and field insights into performance reviews * J&J uses team-based launch scorecards that unite sales, MSLs, and marketing teams Here, compliance and long-term brand value shape incentive models—not just short-term volume. What’s Changing Globally? ✅ Behavior-based KPIs – not just “how much” you sell, but “how” you engage
✅ Cross-functional goals – shared metrics across sales, access and marketing
✅ Non-monetary recognition – visibility, leadership exposure, influence
✅ CRM and digital adoption – Veeva, Salesforce, IQVIA now part of the metric stack Closing Remark If we want reps to evolve from transactional sellers to trusted, strategic partners, we must rethink what we reward. Because in pharma, you don’t just pay for results—you shape the culture you scale.

Three dashboards. Three different answers. One company. We were in a board prep meeting for a $12M ARR SaaS business. Marketing said pipeline was up 42%. Sales said deals were “strong.” Finance said cash was tighter than expected. All technically true. And completely disconnected. The CEO looked at me and said, “Why does it feel like we’re growing… but not winning?” That’s when we pulled the thread. Marketing was optimizing for MQL volume. Sales was comped on closed-won revenue. CS incentivized on renewals, not expansion. Finance was modeling burn on bookings, not cash collected. Everyone was hitting their number. The company wasn’t. That’s not a sales problem. That’s not a marketing problem. That’s a RevOps problem. And RevOps isn’t CRM hygiene or a better dashboard. It’s economic alignment. We rebuilt the system in three moves: ① Defined a single source of truth for pipeline stages tied to revenue recognition rather than lead status. ② Shifted marketing compensation to pipeline quality (stage progression + win rate), not just top-of-funnel. ③ Modeled CAC payback and expansion revenue by cohort so every growth experiment tied back to enterprise value. Nothing flashy. No new headcount. No AI wizardry. Just alignment. Six months later: Win rate improved 11%. Sales cycle shortened by 18 days. NRR climbed from 101% to 123%. Burn multiple dropped below 1.2. Same team. Same product. Different system. Here’s the thing most founders miss: Growth is not a volume game. It’s a coordination game. If Marketing, Sales, CS, and Finance are optimizing different outcomes, you don’t have a growth engine. You have four very busy teams. The best RevOps leaders I know don’t obsess over dashboards. They obsess over incentives. Because incentives drive behavior. Behavior drives metrics. Metrics drive valuation. If your board meeting feels confusing, it’s probably not because your growth is unclear. It’s because your economics are. End stop.

We unlocked ₹40 lakhs additional monthly sales with just ₹3 lakhs of incentives - simply by making incentive plan less “accurate”. This was my last project with a large Indian FMCG company. We were designing an incentive plan for on-ground sales staff inside Reliance stores. The goal was simple - boost sales. I did what most of us would do. Built a very “smart” slab-based incentive structure: ➡️80% achievement→ x% incentive ➡️80-90% achievement→ x% upto 80% target + y% on additional ➡️90-100% achievement→ x% on 80% + y% on 10% + z% on additional Very precise, very well thought through, very consultant-ish. I showed it to the client. They were impressed. But then came the real question - “Will the sales staff actually understand this?” And honestly… probably not. These are people who don’t sit with calculators, they don’t care about slabs or incremental logic. They just want to know one thing - "Target poora kiya toh kitna milega?" That’s when we changed the plan: ➡️80% achievement → ₹X ➡️90% achievement → ₹Y ➡️95% achievement → ₹Z No calculations, no confusion, just clarity. Yes, it was less accurate. Yes, the company ended up spending maybe 10-20% more on incentives. But the outcome? ₹40 lakh of additional monthly sales against ₹3 lakh of incentive cost. Worth it !! Big lesson: People don’t get motivated by complex logic, they get motivated by clarity. If your system needs explanation, it won’t work on the ground. Wishing you all a Merry Christmas 🎄🎄!!!

I analyzed 100+ loyalty programs in the last 30 days. Most brands still run loyalty like it’s 2009: Earn points, get a discount, repeat. The top 10%? They’re using loyalty to change behavior- not just reward it. If I were Head of Loyalty at a $10B+ brand today, here’s exactly what I’d do to build a program that drives LTV, repeat purchases, and real retention: 1. Stop Giving Away Loyalty - Make Them Pay for It Costco, RH, Barnes & Noble. When customers pay upfront, they buy in - literally and psychologically. Forget free points. Paid memberships = commitment, retention, higher LTV and emotional sunk cost. 2. Make Loyalty Required, Not Optional - Integrate Directly into Payments Starbucks preloads!!! When rewards are embedded in how people pay, behavior shifts faster, and for longer. This is probably the biggest opportunity in loyalty right now. 3. Forget Delayed Points - Instant Gratification is More Important Immediate dopamine beats theoretical future savings. Slow accumulation = slow engagement. Instant offers = repeat behavior. The 2nd purchase matters more than the 10th. 4. Make Loyalty Emotional, Not Transactional REI, North Face, Sephora. Customers want to belong, not just save. Identity, community, and shared values are outperforming cashbacks and discounts in driving long-term loyalty. Loyalty isn’t just a discount strategy, it’s a brand strategy. 5. Invest in Status + Experiences, not Generic Perks This isn't just theory – with companies like Rapha and Lululemon offering loyalty members exclusive product drops, community events and behind-the-scenes experiences. Lean into waitlists and exclusive product drops. Less financial. More status + psychological “being in the club.” 6. Reward Engagement, Not Just Transactions MoxieLash, Pacifica, Lucy & Yak. UGC. Reviews. Referrals. Loyalty now means participation. The modern flywheel starts before checkout - and lasts far beyond it. ~~ Bottom line? If your loyalty program is still playing a game from 15 years ago, your customers are going to find better options. Today, the best brands in 2025 aren’t just rewarding loyalty- they're engineering it. PS: We analyzed 100+ programs across QSR, retail, travel, and fintech. Next week I’ll share the Top 30 loyalty programs leading the way. Stay tuned🙏

Designing sales incentives might be the most consequential chess game finance leaders play. No matter how carefully crafted, even the best plans trigger unintended consequences. I've witnessed this repeatedly: Cap commissions → Sales reps push deals to the next quarter New logo bonuses → Reps sacrifice deal size and profitability for quantity Quarterly targets → End-of-quarter discounting frenzies Salespeople are masters at playing the game; no matter how you set the rules, they'll find a way to win. Here's a powerful technique I've developed to identify these blind spots before they become costly mistakes. Upload your draft incentive plan to an AI assistant with this specific prompt: "Review this sales incentive plan as both a behavioral economist and an experienced sales leader. Identify potential unintended consequences this structure might encourage. Specifically: - How might reps optimize for maximum compensation in ways that harm the business? - How might this affect which customers reps prioritize and how they position offerings to them? - How might this affect deal timing, pricing, and product mix? - What team dynamics might emerge (competition vs. collaboration)? - What specific metrics might be manipulated?" For deeper insight, engage in a back-and-forth discussion about predicted behaviors and potential safeguards. Challenge the assumptions and push for concrete examples. This approach has repeatedly revealed critical blind spots in incentive design, the kind that don't become apparent until they've already impacted your bottom line. Every incentive is a signal. Make sure yours isn't signaling in unexpected directions. Happy to discuss over DMs all things that helped us create a solid sales incentive design :) #cfo #fpna #salesincentiveplanning

5-steps to a winning sales pay strategy (Avoid costly compensation mistakes) Here’s a clear and actionable 5-step guide to building a winning sales compensation strategy one that motivates your team, aligns with company goals, and avoids costly missteps: 1. Align Sales Incentives with Business Goals Why it matters: Compensation drives behavior. If your plan rewards the wrong metrics, you’ll get the wrong results. ✅ Do this: Define key business objectives (e.g., new customer acquisition, retention, upselling). Tailor incentives around activities that move the needle (not vanity metrics). Involve leadership to ensure the strategy aligns with broader company priorities. 🚫 Avoid this: Using a generic comp model that doesn’t reflect your sales cycle or growth stage. 2. Keep it Simple (but not simplistic) Why it matters: Complexity confuses. If your team doesn’t understand how they earn, they won’t be motivated. ✅ Do this: Use clear formulas and payout structures. Create tiered commissions or accelerators that are easy to grasp. Include examples in onboarding and sales enablement materials. 🚫 Avoid this: Overly complex SPIFs, multi-variable quotas, or hidden clawbacks. 3. Differentiate Roles, Reflect Responsibilities Why it matters: Not all sales roles are created equal. A blanket approach causes friction and underperformance. ✅ Do this: Design separate plans for hunters (new biz), farmers (account managers), and specialists. Ensure total comp is fair based on deal complexity, sales cycle, and contribution to pipeline. 🚫 Avoid this: Paying everyone the same or rewarding support roles as if they’re closers. 4. Monitor, Model, and Stress-Test Why it matters: Even a great-looking plan can fail in the wild. You need to model outcomes and protect against over/underpayment. ✅ Do this: Run historical data through your comp model. Simulate various performance levels (low, mid, high) to check cost impacts. Include finance to keep incentive costs within budget. 🚫 Avoid this: Launching a new plan without modeling or safeguards. 5. Review, Iterate, and Communicate Why it matters: Market conditions shift. Your comp plan needs to evolve too with clear, frequent communication. ✅ Do this: Review quarterly or bi-annually with reps and managers. Gather feedback and adjust when needed (especially for new products or markets). Celebrate transparency and fairness it builds trust. 🚫 Avoid this: Making changes without explanation, or waiting until reps complain to fix things.