ChunkyButters

AE

Enterprise Account Comp Plan ?

Need some help designing a comp plan for a new account.

My industry doesn't have the typical enterprise F500++ accounts. Our deals range between $50k-$250k and the deals can be very complex so we do consider the team to be a MM/ENT blend. With that, most accounts are passed off to the AM/CSM team for renewals and expansion.

I just landed a massive logo (public, F500) that has significant potential for growth in the current department, and the broader organization (6-10 other departments). My exec team has already agreed that I should run the account for expansion and it will not follow our typical model.

I want to put together a plan for how to manage the expansion in the org, upsell into the same dept, product functionality upsell, renewals, etc. I want to have the roles and rules of engagement established for everyone in the account so there is no confusion, AND by presenting it myself get the best payout likely.

Would love to see what reps have currently, experienced in the past, what has worked, and what hasn't. Trying to figure out how to make sure I get paid, but do not want to fuck over the additional support team that is key on the account.

Account Considerations:

Currently in 1 of 10 potential departments
Potential to 5x account that is already 7x ACV
This is part of a broader effort to consolidate the depts, if this effort is successful rollout to the others over the next 1-3 years
I am bought in to our company and product, and would have no issue staying 1-3 years to grow this account
Contract will have minimum commitment of platform and units; and "floating variable" for units
We took a hit on Y1 ARR to land the account knowing the expansion potential

Comp Considerations:

AE New Biz Comp: 10%-15% Y1ARR
depending on % to goal and a few other accelerators
AM/CSM comp: 2%-5% on upsell / renewals
Want to define what is just a quick add on vs a expansion
Ideally do not want my AM to lose comp just because I own the account
The team should still get paid via their normal comp, with me just leading the sales within the account
Quota assignment
What counts towards new biz team quota attainment
What counts towards expansion team quota attainment
Possibility to negotiate additional equity as well

👑 Sales Strategy

💰 Compensation

3

10 comments

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Sunbunny31

Politicker

2

Sr Sales Executive 🐰

This has the potential to get extremely and overly complicated. Drawing a line between what’s expansion and what’s add on is possibly going to cause more time than it’s worth, unless you simply consider selling into the other 9 departments your purview and anything into the already sold department(s) the role of CS to keep it clean and simple.

CuriousFox

WR Officer

2

🦊

I don't know who the fuck downvoted you but it's obviously someone who is hurt that they are not an ENT specialist.

Sunbunny31

Politicker

1

Sr Sales Executive 🐰

I got downvoted? I somehow never notice. I guess I’m also in the club. Yay?

CuriousFox

WR Officer

1

🦊

We are elite

ChunkyButters

Tycoon

1

AE

That's what I was thinking. Trying to avoid complicated and avoid issues with the team. I'm not going to be the AM, but due to complexity of the use case, run the sales of new departments. The AMs will still be doing their job, but they aren't sellers. They get comped on expansion / renewal so was more picking the hive brain to see if I'm missing a key variable to consider.

Sunbunny31

Politicker

2

Sr Sales Executive 🐰

I don't really think so, but there's also the risk of overthinking it and complicating it. Go land those departments - more for the AM to sell into once you've done it too.

ChunkyButters

Tycoon

1

AE

Appreciate the help, thanks!

Sunbunny31

Politicker

0

Sr Sales Executive 🐰

Looking forward to your success!

Pachacuti

Politicker

0

They call me Daddy, Sales Daddy

Many times the largest accounts become "House Accounts" and no comp is given because of the aggressive pricing these large accounts expect. I would consider that in your personal calculations. So don't be surprised if something like this happens.

And remember - they probably want you out there landing new logos, not doing AM activities no matter how big the opportunity. Don't be surprised if your mngt does a 180 on letting you expand the account - especially if there's a long sales cycle involved.

ChunkyButters

Tycoon

0

AE

I don't think they will 180. I've been here long enough to see how they operate, and do trust the team. That said, anything can happen. That's also why I'm trying to formalize something so that it's "in writing". Given the size of the account, and size of the potential expansion, I'm anticipating eventually crossing a line where the "we should review how this account is compd" conversation happens. Before that happens, I want to take advantage of everything I can and pocket a few extra large checks in the mean time.

Our AM/CSM team are not sellers. They have struggled with expansion and cross sell in the past, and have needed AE involvement before. That's part of the reason that my CEO and VPSales have already agreed that I should manage the overall selling of the account.

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