Re:How Zenefits' Big Bet on Sales Went Wrong
by kentt on Wednesday March 02, 2016 @08:59PM
(#11214559)
I'm consulting with a luxury vacation company where this is 100% on the up and up. The situation is:
* Sales person sells a luxury vacation for 20k for Jan 2017
* Consumer puts down deposit 2k
* Sales person gets commission on 20k sale
* Consumer takes vacation a year later (though sometimes this can be as much as 2 years)
If the consumer doesn't take the vacation then there's a clawback. To mitigate this the company pays out commission at 85% for sales more than 6 mo. in the future, and when the consumer makes their final deposit. then they get the remaining 15%.
* Sales person sells a luxury vacation for 20k for Jan 2017 * Consumer puts down deposit 2k * Sales person gets commission on 20k sale * Consumer takes vacation a year later (though sometimes this can be as much as 2 years)
If the consumer doesn't take the vacation then there's a clawback. To mitigate this the company pays out commission at 85% for sales more than 6 mo. in the future, and when the consumer makes their final deposit. then they get the remaining 15%.