Case Study: a manufacturing company drives focus on strategic products with Alexander Group

Manufacturing Company simplifies sales comp plans with Alexander Group and boosts above-goal pay by 2.5x

The Alexander Group was engaged by a manufacturing company that designs and manufactures advanced foodservice and retail equipment. The company's challenge was to redesign its sales compensation plans to support its "land and expand" strategy, ensuring sellers were compensated for their influence on initial sales and remained engaged with new customers for 12 months afterward.

Alexander Group simplified the sales compensation plans, focusing them on corporate growth initiatives. Key changes included removing inconsistent performance measures for some roles and significantly increasing potential payouts to motivate above-goal achievement. For other roles, they streamlined complex commission structures to better drive sales of strategic products. The result was a set of simple, effective plans designed to focus the sales force and drive year-over-year growth, with cost-impact analyses confirming the new designs maintained an acceptable compensation cost of sales.