U.S. salespeople earn a lower proportion of pay from net sales than do their counterparts in Asia, according to a new report.
Cerulli Associates discloses this finding in “Global Market and Sales Organizations 2013.” The report examines internal organizations’ structures of the largest global asset managers in Asia, Europe and the U.S. The research is based on surveys of 61 managers holding collectively $27.1 trillion of assets under management; and of 62 large global participants regarding their global marketing and sales strategies.
On average, the report reveals, a U.S. salesperson in charge of wholesaling relationships derives 40 percent of their pay from gross sales commissions and 17 percent from net sales. In contrast, European managers lend equal weight to tracking gross and net sales for compensation. In Asia, 60 percent of managers track net sales for compensation.
“Measuring success is a nebulous and imprecise task because of the number of factors involved in clinching a sale,” says Yoon Ng, director of Asia research at Cerulli. “Advances in digital media make tracking easier, but … hit rates and email responses do not translate to business.”
When asked: “Which activity metric do you measure for your sales teams,” greater percentages of European than Asian managers cited the following.