The Origin of Sales Quotas & Variable Compensation

Aug 17, 2021 | Podcast

Episode 11

Audio Podcast

Todd Caponi

Podcast Episode Description

Sales compensation – commission-only until the 1900’s. And, for good reason. You wouldn’t pay a rep you rarely see a salary, right? Sales are face-to-face. Travel is slow, there’s no real-time distance communication, and no CRM system, so it’s what you did. Sell something, get paid – a lot. Don’t sell something, don’t get paid. 

The birth of salary+commission changed that, and inspired the need for quotas. In this episode, we track that progression, the original purpose of a quota, and how we’ve convoluted that purpose over time. 

Maybe we should consider going back?

0 Comments

Other Podcasts You Might Enjoy

Beyond a Reasonable Doubt: Sales Hasn’t Changed

Beyond a Reasonable Doubt: Sales Hasn’t Changed

Episode #50! Beyond a Reasonable Doubt: Sales Hasn’t Changed In this, the 50th episode of The Sales History Podcast, I step into the role of prosecuting attorney to put one bold claim on trial: that the sales profession has changed dramatically in the past decade. My...

read more
John Patterson’s Notes To His Salespeople in 1893

John Patterson’s Notes To His Salespeople in 1893

John Patterson's Notes To His Salespeople in 1893 Imagine: it's spring 1893. You're a salesperson for the National Cash Register Corporation (NCR). Your ultimate boss? Oh, it's just the founder of the modern sales profession...John H. Patterson. The person responsible...

read more
Todd Caponi
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.