Whether it is appropriate to take the commission according to the profit depends on the specific situation. For salesmen, getting commissions based on profits is an effective incentive, which can encourage them to promote products better and improve sales performance, thus bringing more profits to the company. In addition, the sales volume and customer satisfaction of the salesperson can also be used as a reference to evaluate the performance and contribution of the salesperson.
However, in some cases, there may also be problems in taking commissions according to profits. For example, if the company has some costs or risks, and the salesperson does not assume the corresponding responsibility, then taking a commission based on profits may lead to the salesperson's income being too high while the company's profits being too low.
Therefore, it is necessary to consider whether it is appropriate for salesmen to get commissions based on profits according to the specific situation of the company and the responsibilities of salesmen, so as to ensure fairness, rationality and motivation of employees. At the same time, the company also needs to develop clear systems and regulations to evaluate and supervise the performance of salespersons, so as to ensure that the commission of salespersons and the company's profits are reasonably distributed and managed.
At present, there are eight commonly used methods for calculating the salary and remuneration of business personnel in the industry. Today, we introduce the three most used methods:
1. Pure royalty system without base salary
This system is mainly used for insurance companies, direct selling companies and WeChat business enterprises. The pure royalty system without base salary refers to a royalty system for sales remuneration, which is calculated according to the sales volume and the corresponding proportion according to the financial verification of the company.
The system does not have any fixed salary, and the income is completely variable.
The calculation formula is as follows:
个人收入=销售额(或毛利、利润)× 提成率
The biggest advantage of the no base salary pure commission system is that the sales remuneration is very clear, which can motivate sales staff to work hard. In addition, it also completely transfers the risk of salary costs of business personnel to the business personnel themselves, greatly reducing the pressure on the company's operating costs. Of course, its disadvantage is that the stability and cohesion of the business team are not enough.
2. Non royalty fixed wage system
The fixed salary system without commission refers to the implementation of a fixed salary system for business personnel, regardless of whether the current sales are completed or not.
公式可以表示为：个人收入=固定工资
The advantage of the fixed salary system without commission is that it is easy to manage and transfer, and the staff loyalty is relatively high. However, due to the lack of financial incentives for business personnel, it is easy to form a "big pot" style.
3. Base salary plus commission system
This is the current mainstream constant wage model. The base salary and commission system is to divide the income of business personnel into two parts: fixed salary and business commission. Business personnel have a certain sales quota, and they can get the base salary, namely the base salary, no matter whether they complete the business indicators in the current month. If the sales amount completed by the operator in the current period exceeds the set target, the proportion of the sales amount in excess of the above will be deducted. It has the advantages of the above two systems, making the income of business personnel not only guaranteed by fixed salary, but also linked to sales results. It not only stimulates employees to earn commissions, but also provides them with a relatively fixed income base, so that they will not be completely uncertain about their future income.
Because the base salary plus commission system has the characteristics of both the pure salary system and the pure commission system, it has become the most popular sales remuneration system in the world. The formula is as follows:
个人收入=基本工资+(当期销售额一销售定额)×提成率
or
个人收入=基本工资+(当期销售额一销售定额)* 毛利率 × 提成率
In actual work, some companies also nominally implement the income system of base salary commission, but it is stipulated that if the performance indicators are not completed in the current month, they will be deducted from the basic salary according to a certain proportion. For example, a food company stipulates that the monthly sales performance of each person is 100000 yuan, and the basic salary is 4000 yuan. For the part that fails to meet the sales target in the current month, 1% will be deducted. In fact, this is a disguised full commission system, because it is the same in nature, except that the proportion of indicators may not be consistent.
Whether the salesperson's commission should be better from the gross output value or from the profit
There is one advantage mentioned in the total output value: the salesperson does not have to worry about the size of the company's profit during the sales process. Before signing the bill, as long as it can pass the company's review, that is, it can sign the bill in line with the company's profit law. It's not your business whether the company makes money or not. You only need to care about the total output value and the royalty rate! The disadvantage is that the salesperson's sense of product values cannot be well cultivated.
Profit margin is the practice of most enterprises now. Its function is that the salesman can clearly know how much profit he can create for the company. The higher the profit, the higher his commission will be! Many salesmen are worried that the company deliberately overstates costs, making them unable to maximize the commission. In fact, this problem is more realistic, and it really needs to be measured by the salesperson.
