Di halaman ini
A staggering 43% of sales reps say their bonus plan is the top factor that drives their performance. In today’s hyper-competitive market, where sales cycles are longer and buyer expectations are rising, businesses can no longer afford generic incentive structures.
Without a clear and motivating sales bonus plan, you risk losing your top performers to competitors who know how to reward success.
Whether you’re trying to close bigger deals, shorten sales cycles, or boost team morale, the right bonus plan for sales reps can make the difference between stagnant growth and record-breaking revenue.
With companies like Salesforce, and Adobe using highly customized bonus structures to fuel aggressive growth, it’s time to rethink how you motivate your sales force before your competitors do.
So, let’s start at the beginning!
What is sales bonus plan?
A sales bonus plan is a structured compensation system to reward sales professionals for achieving specific performance targets and objectives. These plans are typically implemented to motivate sales teams and individuals, recognizing their exceptional efforts and contributions to the organization's success.
For example, a company might offer a quarterly bonus for hitting 120% of a sales target or provide special incentives for closing deals with high-value clients. These bonus plans for sales reps are designed to push performance, drive focus on strategic goals, and ultimately boost company revenue.
The best sales bonus plans go beyond simple payouts—they align individual efforts with broader business objectives. Sales bonus plans typically include several key elements:
- Performance metrics: Clearly defined and measurable goals or metrics are established to determine bonus eligibility. These metrics can include sales quotas, revenue targets, customer acquisition goals, or other relevant key performance indicators (KPIs).
- Bonus structure: The plan outlines how bonuses are structured. This includes specifying the bonus amount or percentage, how it scales with performance, and whether there is a tiered system for different levels of achievement.
- Eligibility: The plan defines who is eligible for bonuses. This may include sales representatives, account managers, or specific teams, depending on the organization's structure.
- Payout frequency: The plan specifies how often bonuses are distributed, such as monthly, quarterly, or annually.
- Conditions: Conditions for receiving a bonus are detailed, including achieving a certain percentage above sales targets or reaching specific revenue thresholds.
- Communication: Effective communication of the bonus plan is crucial. Sales professionals need to fully understand the plan's details, including the goals and targets they need to meet.
Sales bonus plans are integral to a company's compensation strategy, aligning individual and team efforts with organizational objectives. They not only motivate sales professionals to excel but also help boost overall sales performance and revenue generation.
While understanding what a sales bonus plan is, it’s equally important to differentiate it from sales commission. Though both are forms of sales incentives, they serve distinct purposes in driving sales performance.
Sales bonus vs sales commission
Though often used interchangeably, sales bonus and sales commission serve different purposes in motivating sales teams.
A sales bonus plan offers additional financial rewards to sales reps for achieving specific performance goals. These could be related to sales volume, customer satisfaction, product-specific targets, or even team-based milestones.
Bonuses are typically flexible—sometimes paid as a one-time lump sum or distributed periodically—and are designed to drive behavior toward broader business objectives.
In contrast, sales commission is directly tied to the value of sales closed. It’s usually calculated as a fixed percentage of each deal and is often paid out on a regular schedule, such as weekly or monthly. Commissions primarily motivate reps to sell more, but may not always align with other strategic company goals like profitability or customer experience.
Here’s a simple comparison for better clarity:
Both sales bonus plans and commissions can be powerful on their own, but many businesses use a mix of both to maximize motivation and align sales efforts with company goals. So following we have shared 10 sales bonus plan ideas for you to run with your compensation plan.
10 best sales bonus plans with formula and example
Choosing the right sales bonus plan is crucial to maximize motivation and align sales behavior with your business goals. Below are 10 of the best sales bonus plans, each with its own uniqueness, how it can work alongside a sales commission plan, and how to calculate payouts.
1. Revenue-based bonus
This plan rewards reps for generating more revenue, pushing them to close larger deals. It works well alongside sales commission, ensuring reps focus on high-ticket opportunities and maximizing company earnings. When combined, commissions drive volume, while bonuses push for higher-value deals.
Formula:
Bonus = (Total Revenue Generated) × Bonus Rate
Example: If a rep brings in $100,000 in revenue with a bonus rate of 5%, the bonus would be $5,000.
2. Profit-margin bonus
Unlike pure revenue-based models, this bonus encourages reps to prioritize profitability over just sales volume. It aligns sales behavior with the company’s bottom-line health. Combined with commission, it ensures reps don't discount heavily just to close deals.
Formula:
Bonus = (Profit Margin × Total Revenue) × Bonus Rate
Contoh:
For a $100,000 sale at a 30% margin, with a 10% bonus rate:
Bonus = ($100,000 × 30%) × 10% = $3,000
3. Tiered sales bonus
This plan progressively rewards reps as they hit higher sales thresholds. It encourages consistent overperformance. When paired with commission, it motivates reps to keep pushing even after hitting their initial targets.
Formula:
Bonus = Bonus Rate based on Tier × Total Revenue
Contoh:
- 0–$50,000 = 3% bonus
- $50,001–$100,000 = 5% bonus
- If a rep generates $80,000:
- Bonus = ($50,000 × 3%) + ($30,000 × 5%) = $1,500 + $1,500 = $3,000
4. Activity-based bonus
This model rewards specific sales activities like setting meetings, demos, or proposal submissions. It’s highly effective for reps in longer sales cycles where early-stage activities drive future sales. Combined with commission, it keeps reps active even before deals close.
Formula:
Bonus = Number of Completed Activities × Activity Bonus
Contoh:
If each scheduled demo earns a $100 bonus and a rep completes 20 demos:
Bonus = 20 × $100 = $2,000
5. Deal size bonus
This plan offers additional bonuses for closing deals above a certain value, pushing reps to target enterprise or larger accounts. When combined with commission, it rewards both deal volume and deal quality.
Formula:
Bonus = Number of Qualifying Deals × Bonus Amount per Deal
Contoh:
If closing a deal over $50,000 earns a $2,000 bonus and the rep closes 3 such deals:
Bonus = 3 × $2,000 = $6,000
6. New customer acquisition bonus
This plan incentivizes reps to bring in new business, which is crucial for growth. Along with commission, it ensures reps balance retention with expanding the customer base.
Formula:
Bonus = Number of New Customers × Bonus per Customer
Contoh:
If the rep acquires 5 new customers with a $500 bonus each:
Bonus = 5 × $500 = $2,500
7. Customer retention bonus
This bonus encourages reps to maintain relationships and reduce churn, which can be even more valuable than new sales in some industries. Used with commission, it promotes long-term client value.
Formula:
Bonus = Number of Renewals × Bonus per Renewal
Contoh:
If 10 clients renew at a $300 bonus per client:
Bonus = 10 × $300 = $3,000
8. Team-based sales bonus
Team bonuses reward collective achievements, promoting collaboration and cross-selling. When paired with individual commissions, it balances personal and team performance.
Formula:
Bonus = (Team Revenue – Target Revenue) × Team Bonus Rate
Contoh:
If a team surpasses its target by $50,000 with a 5% bonus rate:
Bonus = $50,000 × 5% = $2,500
9. Milestone bonus
This plan rewards reaching non-revenue milestones like certifications, training completion, or launching new territories. Along with commission, it supports reps in building capabilities that lead to future sales success.
Formula:
Bonus = Number of Milestones Achieved × Bonus per Milestone
Contoh:
If 3 key milestones are achieved with a $1,000 bonus each:
Bonus = 3 × $1,000 = $3,000
10. Quarterly or annual bonus
These bonuses reward sustained performance over longer periods, ensuring reps stay motivated year-round. Combined with commission, they provide both short-term and long-term incentives.
Formula:
Bonus = Total Quarterly/Annual Sales × Bonus Rate
Contoh:
If quarterly sales total $300,000 with a 3% bonus rate:
Bonus = $300,000 × 3% = $9,000
Now that you’ve explored the best sales bonus plans with practical examples, the next step is choosing the one that fits your business model and motivates your team effectively.
How to find the right bonus plan according to your need?
Choosing the right sales bonus plan isn’t about copying what works for others — it’s about designing a structure that fits your business goals, sales cycle, and team dynamics.
A mismatched bonus plan can backfire, causing frustration and poor performance. Here’s a simple approach to help you pick the best sales bonus plan for your business.
1. Define your sales objectives
Start by identifying what you want your sales reps to focus on:
- Revenue growth
- Profitability
- Customer acquisition
- Retensi pelanggan
- Upselling and cross-selling
- Long-term relationships
The right sales bonus plan should reward the behaviors that support these objectives.
2. Analyze your sales cycle
Short sales cycles may benefit from activity-based or deal size bonuses, while long cycles often need milestone or team-based bonuses to keep reps engaged throughout.
- Short cycle: activity-based, deal size, revenue-based bonuses.
- Long cycle: milestone, team-based, quarterly or annual bonuses.
3. Balance commissions and bonuses
Since commissions directly reward sales volume, use bonuses to drive secondary behaviors. For example, combine a sales commission structure with a customer retention bonus to encourage both closing deals and building long-term relationships.
4. Consider your team structure
- Individual-focused teams: revenue-based, tiered, or profit-margin bonuses.
- Collaborative teams: team-based or milestone bonuses.
- New teams: new customer acquisition and activity-based bonuses to build early momentum.
5. Keep it simple and transparent
Sales reps should easily understand how they can earn bonuses. Complex formulas often demotivate rather than inspire.
6. Run simulations before launch
Test your bonus plan using historical data. See how payouts would have looked in previous quarters. This helps ensure the plan is both motivating and financially sustainable.
How Compass can help you design and automate your sales bonus plan
Designing a sales bonus plan is just the first step — executing, tracking, and optimizing it is where many companies struggle. This is where Compass simplifies the entire process.
With Compass, you can:
- Automate bonus calculations: No more spreadsheets or manual errors. Compass automatically tracks sales performance, applies your custom formulas, and calculates bonuses in real-time.
- Set up multiple bonus structures: Whether you're running revenue-based, profit-margin, or tiered bonus plans, Compass allows you to create and manage multiple bonus structures tailored to your team’s needs.
- Integrate with your CRM and sales tools: Seamlessly pull sales data from your existing platforms, ensuring real-time accuracy and eliminating double work for your sales and finance teams.
- Motivate sales reps with transparent dashboards: Sales reps can track their bonus progress live, keeping them motivated and aligned with business goals throughout the sales cycle.
- Run data-driven optimizations: Use Compass analytics to review plan performance, identify gaps, and fine-tune your sales bonus plan for maximum ROI.
Whether you're running a small sales team or managing complex enterprise incentive programs, Compass provides the tools you need to ensure your bonus plans are effective, scalable, and hassle-free.
Schedule a free demo with Compass today.
Penutup
A thoughtfully designed sales bonus plan can transform your sales team's performance, morale, and loyalty. Whether you're incentivizing revenue growth, customer retention, or new business acquisition, the best sales bonus plans strike the right balance between financial reward and strategic business outcomes.
By combining the flexibility of bonus plans for sales reps with the consistency of commissions, you create a powerful incentive structure that drives both short-term wins and long-term growth. The key is to stay aligned with your company’s goals, keep the plan simple, and continuously fine-tune it based on results and feedback.
Pertanyaan Umum
1. How to structure sales bonuses?
Start by aligning the bonus plan with your business objectives. Define clear performance metrics, choose the right type of bonus (revenue-based, profit-margin, activity-based, etc.), set realistic targets, and ensure the structure is simple and transparent. Combine bonuses with commissions to encourage both volume and strategic behaviors.
2. What is an example of a sales bonus?
A common example is a revenue-based bonus where a rep earns a 5% bonus on total revenue generated. For instance, if they close $100,000 in sales, their bonus would be $5,000 in addition to their regular commission.
3. What is a reasonable bonus structure?
A reasonable structure balances motivating payouts with company profitability. Many companies use a mix of base salary, commission, and tiered or milestone bonuses to drive consistent performance without overspending.
4. What is a typical sales bonus percentage?
Sales bonus percentages usually range from 3% to 10% of revenue or profit, depending on the industry, sales cycle, and company goals. Higher percentages may apply for high-margin products or aggressive growth targets.
