Is it fair for B/SDR's to have their commission tied to revenue pipeline?

So one of the reasons I left my last BDR job was because our CEO tied Revenue Pipeline to the BDR Commission plan. We had to put up $1,000,000 in Revenue Pipeline per Quarter from our opportunities.


As soon as I found out that it would account for 20% of my commission I started applying to other jobs lol. I'm under the mindset that B/SDR's are calling to open the door on new accounts. Plus when I cold call someone, IDK if they're going to buy $5 or $5 Million worth of product.


Curious to hear your thoughts on this one savages.

Is it fair?

Attached poll
*Voting in this poll no longer yields commission.
๐Ÿ’ฐ Compensation
๐Ÿคทโ€โ™‚ Poll
6
Rallier
Politicker
2
SDR Manager and Consultant
I don't know if I necessarily like the idea of that, but I can see why they do it.

It's an incentive to book BETTER meetings, not just more meetings.
funcoupons
WR Officer
0
๐Ÿ‘‘
I agree with this. If the payout rule is just book x meetings, BDRs are likely to put through any prospect that will agree regardless of how qualified they are. This is a waste of time and resources. If the BDR's money is tied to whether the deal is qualified/ends up closing they're going to put a lot more effort into prospecting and qualifying.
JoeRogasm
Politicker
0
Sales Development Rep
Yeah, this is fair tbh. Personally, I didn't like to waste my AE's time and I would make sure to qualify the prospect. Maybe there's a fair compromise that lists what is required for the meeting to count for the quota instead of throwing out a number.ย 
CuriousFox
WR Officer
1
๐ŸฆŠ
Maybe this is how they are trying to scale quality vs quantity.ย 
Justatitle
Big Shot
1
Account Executive
They donโ€™t control that so I donโ€™t find it fair at all.ย 
poweredbycaffeine
WR Lieutenant
1
โ˜•๏ธ
I was paid commission on closed deals as a BDR, and that was it (other than my base). If I didn't hunt down good ops then I wasn't getting paid, and it made me MUCH better at my job.
JoeRogasm
Politicker
0
Sales Development Rep
See I don't mind that because it creates an incentive to chase bigger deals. At that last job, I didn't even sniff any closed-won revenue. Kind of hard to be motivated to chase a huge pipeline when you're not gonna get anything significant out of it.ย 
Brando
Politicker
1
Account Executive
The way our comp is laid out for SDRs is tied to qualified meetings and an extra bonus for revenue.ย 

We don't pay for just throwing anyone who will listen through the door. The rep has to agree that it's "workable". It isn't perfect, but it works for us.ย 


CaptainSaas
0
Head of Sales
Revenue is the ONLY metric that matters at the end of the dayโ€ฆ if youโ€™re not thinking about it, even at the BDR level, youโ€™re sending shit opps to the AEs. Be happy it was only 20% my friendโ€ฆ others have 50% and donโ€™t get to touch the deal at after handing it off
YoursTruly
Politicker
0
Account Executive (SaaS)
A B/SDR's job is to book meetings with sales accepted leads. Book qualified meetings - that's the job.

AE's build/bill revenue.
10

At What Point Should You Get Concerned with Quota Attainment in a Sales Org?

Question
9
4

What % of qualified leads convert to revenue making deals?

Discussion
9
Lead qualification to conversion % and Strategy
77% SDR + AE teams work together and here is my tip (in comment)
23% Don't focus that much (but my tip will help you)
26 people voted
16

FEELINGS- Your commission is annual (ARR) but the customer paid monthly (MRR) and if there is a churn in the next few months, the company will deduct by increasing your quota and taking the equivalent amount $$ from your quota in the next month.

Discussion
17