Factors affecting sales representative salary
Sales representative salary is mostly industry and business specific and it is determined based on a number of factors. The general consensus is that the world of sales and marketing is highly favorable for the right candidates. This is completely true. Sales representatives can hope to make unlimited profits based on their personal charisma and selling techniques. Not everybody can be a successful sales agent. This becomes especially difficult when the person in question is working independently. Individual abilities get tested to the limits in such situations.Being a free agent has its challenges and compensations. The compensation packages include bonuses and commissions besides sales representative salary.
Here are some of the factors which affect the salary structure of the sales representatives.
Sales representative salary based on experience
Sales representative salary quite predictably increases with industry experience. With increased expertise and higher selling capabilities higher commissions are granted to them with better pay packets. This increases in tandem with more customers and higher territorial coverage. Also, based on the number of responsibilities shouldered by a specific sales representative, the salaries may vary. For example, a person looking after other aspects of the selling process besides the simple presentations and sample distribution is bound to get better rates.
Sales representative salary based on responsibilities
Based on the duties undertaken, sales representative salary is determined. Some companies want only leads from their field agents and they do not need to close the sales. In cases, where bringing in new customers require better sales techniques and implementation of innovative strategies, the salary offer is much better. Before joining new company and undertaking marketing responsibilities on their behalf, it is necessary to weigh the assigned responsibilities with the payment involved.
Sales representative salary based on the location
The situation of the targeted area, its expansion, connectivity, the per capita income of the people living there and their likes and dislikes has an effect on the payments involved. The profitable the area and better the chances of making increased sales, the higher are the chances of getting good salary structures.
Mostly, the regions with higher marketing potentials are generally allotted to more experienced candidates.However, looking on the brighter side both small and larger territories have their advantages. More expansive area signifies higher number of potential prospects. On the other hand, smaller regions offer better chances for developing long standing relationships with the customers located there. As such, both can have a positive bearing on the sales representative salary structure.