Commissions on Sales

[Treeman14]

What is the going rate for a salesman working on straight commission? I've always done my own estimates, so this is new territory for me. Does anyone else have a sales rep and what are the typical payment arrangements? Thanks for your help.

 

[MasterBlaster]

I worked for a company that paid their sales guy 20% of the gross. This guy used to own the business, so I guess that pay was part of the deal he made with the new owner.
I allways thought that was too much; at the most, 20% of the net would be more reasonable.

 

[murphy4trees]

I believe 10% is a multi industry standard... So if the company grosses, with 1 crew, between 2k-3k/day=10-15k/week, the salesman makes between 50-75K/year... That sounds fair to me... Maybe more if he sets up and impliments a sucessful marketting program... based on increased profits.. I haven't met anyone that really knows marketting and really knows trees though...
I've often thought there must be guys out there that are great salesmen... I knew this one guy that sold deep root fertilization and root crown excavation and swing installation on a huge percentage of his jobs... He hated takedowns and tried to save almost every tree... I could recognize his work as soon as I stepped on a property...
I guess I'd have to really believe in something in order to sell it well... I'd like to sell organinc fertilization, soil remineralization/balancing etc... And though I believe in its benefits intellectually I haven't actually seen the results or read the convincing science... Same with radial trenching and lightening protection...

 

[ramanujan]

swing installation? as in for the kids? never have thought of that.

 

[treeman82]

Gordon, I saw it done on a BIG beech tree a couple years ago. It was made with some seasoned basswood? and 2 old pieces of climbing line which were run through each side of the piece of wood and then up to a branch and secured with J lags. Seemed like the hardest part would be getting the seat to be level.

 

[treepres1]

sales comm.

we pay 10%on sales.unless its a cold call we also try to keep hourly rate of crew time to compare.so sales person is notjust selling for comm.