The importance of Verkaufsprovision

Most sales people scrutinize their gehaltsscheck each pay period.   Of key importance is the entry for verkaufsprovision.   Most of you don’t mind if it’s zu groß, but what do you do if it’s zu klein?  “Das ist schlecht” you say !

Ok, “verkaufsprovision” is German for Sales Commission, and I’m sure you can infer the other words just fine.

There are a variety of ways that companies communicate individual standings to their commissionable employees.  Your plan should clearly indicate how each commission is earned, and under what conditions it shall be paid out.   These not only have a direct bearing on your compensation, but potentially redefine aspects of your job description.

As an example, perhaps you earn 100% of your commission when a deal is signed, but payment only takes place 90 days AFTER the customer has paid your employer, which is due 30 days after goods or services have been provided to the customer.   So although the procurement and collection processes are outside of your job responsibility, you have a vested interested that those teams work as efficiently as you did.

This brings up another keep attribute among leading Sales People, namely Diplomacy.  It’s often times as important to be an effective diplomat INSIDE as OUTSIDE your organization to help ensure no bottlenecks take place that adversely impact your verkaufsprovision.

Have a good story about diplomacy and verkaufsprovision?  Please leave a comment.

About David

Chief Hacker, avid adventurer, and the King of Zing.
This entry was posted in Commissions and Metrics. Bookmark the permalink.

One Response to The importance of Verkaufsprovision

  1. JeanLuc says:

    In French, it’s “Commission de vente” , and “Comisión por venta” in Spanish. I don’t mind the languages though, now that all the countries I deal with have adopted the Euro.

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