Reading Time: 13 minutes

Subscription Sales Incentive Management with Work 365

Name: Work 365
Price range: $

Sales Incentive Management

Why Have Sales Incentives? A high-performance sales team knows the answer to this and generally, any organization trying to achieve goals knows incentives work to motivate our teams and create a competitive environment. Incentive plans are important for several reasons:

Acknowledgment of Milestones and Achievements
Exceeding sales goals
Fostering teamwork
Improving employee retention
Motivating sales staff
Rewarding employees
Rewarding extraordinary Service and Top performers

How to increase revenue in your cloud business?

5 quick tips to improve revenue with smarter and
efficient provisioning and subscription management

Microsoft CSPs Need Customer Self-Service Portals

However, incentives can be particularly hard to track if the item you are incentivizing against keeps changing.

This is particularly important for Subscription and Cloud-based sales!

Most Microsoft partners do not have sales compensation and commission tracking systems. These are expensive systems and require significant time and effort to implement. The general sense is that Sales Incentive management systems are good for much larger sales teams.

Because of these perceived costs and complexities, most Sales organizations just don’t have Sales incentives for Cloud-based Sales -even though this is where the growth is. And in the rare case where the Sales plans are set up, the process is All manual and takes up a LOT of time!

The commission and sales incentive tracking process is usually a manual task consisting of spreadsheets and calculations. And the sales teams have no idea what their payout is until the accounting team concludes the calculations at the end of a period and confirms the payout.

Sales Incentives Implementation Challenges

This process creates an ineffective incentive implementation that does little to motivate the sales team. The typical challenges that we see with traditional incentives implementation:

Having different incentive plans, different types of services, and keeping track of commissions

Recurring revenue: i.e. cloud solutions
One-time sales
Service solutions: i.e. managed, resource, and support services

Manual calculations of incentives and types of payouts

Payout based on cash receipts — salesperson is not paid until the customer has paid
Payout based on the invoice — the commission is based on what is charged to the customer
Payout based on booking — A customer makes a commitment to purchase the solution

Keeping the sales team motivated to keep selling if they don’t know how much they’re making

Work 365 is a Subscription Management and Billing Automation solution built on Dynamics 365 and Power Platform for Microsoft Partners in the CSP program. Work 365 helps MSPs, VARs and ISVs grow and scale their monthly recurring revenue. And add to the bottom line by providing bundling, self-service, e-commerce, payments, and incentive management.

So How Does Work 365 changes the Sales Incentive game?

Work 365 calculates incentives based on the invoices that are generated against a Partner’s services within a determined period of performance through this simple three-step process:

Step 1: The Leadership defines the Incentive Plans which can be specific to a Product Class (i.e. IP, Resale, or Services), for a specified period, frequency, and Incentive type. The plan can specify whether the incentive is earned on a Net basis or a Revenue basis.

Step 2: The Sales Person sells and Provisions a Subscription that matches the Incentive Plan.

Step 3: …that’s it!

Work 365 Earnings Payout

The earnings and payout calculations are then fully automated just like how the Billing is automated through Work 365. The Sales team members can confirm/audit their incentives, and finance and admin teams can approve, manage, and make the payments — all within the same system.

Whether the sales commissions are for Azure Sales, managing CSP Licensing Sales, or Service-based sales the system can calculate the incentives!

No more manual calculations of incentives
Work 365 automatically calculates incentives based on the billing contracts and subscriptions invoices that are generated from the system.
Automatic prorated incentive calculations
Work 365 already prorates licenses on a monthly or daily basis. Now the prorated incentives tied to the prorated licenses are automatically calculated.
Saves time spent on incentive management
Work 365 has the potential to cut time spent by 30-50% because all the information is within one system so there is no back-and-forth or validating data/calculations.

Work 365 helps you scale and grow! The sales members keep track of their sales progress, commissions, and payouts. While the accounting and finance teams save time managing the sales compensation plans and ensuring that the payout is accurate based on the sales data located within the system. Your sales team is the driving force behind your CSP business. Managing the sales incentives properly can help keep your sales team motivated and incentivized to keep performing and driving business growth.

Since all the source data is in the system, everyone can access the information directly from within Work 365, leaving little room for error.

Watch our webinar on how Work 365 can help your CSP business with sales incentive management.

Understand changes a Microsoft Partner needs to make to eliminate roadblocks and scale business growth.

Download eBook

Fresh from the Blog

Billing & Invoicing, CSP Management, Integrations, Payments

Why Recurring Billing in Business Central Still Falls Short for CSPs

Microsoft Business Central offers native Subscription Billing for recurring revenue, but for CSP partners, it’s only the start of the journey. window.location.href = "https://resources.work365apps.com/blog/business-central-csp-billing-au…

Featured Articles, Integrations, Subscription Management

Unlocking the Future of Promotion Management

Work 365 PV 2.0: Simplified Access, Smarter Billing, and Complete Visibility Licensing specialists and revenue leaders need more than just visibility, they need a seamless way to discover, apply, and manage promotions within their CSP management…