“Promoted” with no pay raise

In a week, I'll be "promoted" from an Enterprise SDR to a SMB/MidMarket Account Manager with no base pay (45k) or OTE (65k) increase. 
According to the sales director, the other account managers are paid the same as the SDRs (I know, it doesn't make ANY sense.) and the promotions weren't budgeted last year. He hinted at potential pay raises at some point upcoming but nothing definitive. 
On the one hand, I'm grateful to be promoted just after 5 months in my first SDR role. It will also give me valuable experience with the full sales cycle. However, it feels like I'm being undercut substantially from what the market dictates for the position. 
What are your thoughts? Any advice?


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28
sketchysales
Politicker
14
Sales Manager
One thing here is you are pretty new, I assume you have only been in sales for 5 months total.

Depending on your situation, I'd run with it a bit, build up your experience and then negotiate something better or as others suggest, look elsewhere where it will be recognized.

Grass is always greener though. Personally if it is only 5 months of experience and I were in your position, I'd focus on experience for now and worry about pay later.
CuriousFox
WR Officer
2
🦊
Yes sketch yassss
detectivegibbles
Politicker
7
Sales Director
OTE is pretty low to begin with IMO, even for an SDR.

Maybe keep busting ass but start putting feelers out for other jobs?

The last thing I want to see is a fellow savage working MORE for the same wage.
RandyLahey
Politicker
6
Account Manager
Yeah that's not cool, not exactly a promotion and sounds like you are actually taking on more responsibility for the same pay.
Sunbunny31
Politicker
6
Sr Sales Executive 🐰
The pay is very low, but now you are getting experience in closing business - which will be key to getting a role with another company, so it's a bit of a tradeoff. Can you stick it out for a while so you get that experience? Also, hopefully your commission isn't capped so there's at least the possibility you could make more.
HVACexpert
Politicker
5
sales engineer
As you said. You will now have experience as an account executive on your resume, and with people always looking for experience in a role it will be a plus for you. Do you like working here? Enjoy the product? If the only issues is the pay, then maybe tough it out for a bit, try to sell yard and make some money, and gain that experience. If pay doesn’t improve or it’s not what you anticipated you can always look elsewhere.
BTQ
Politicker
5
Account Manager
Looks great on the resume getting more responsiblity but thats sucky it’s not showing up in your paycheck.

I don’t know your situation but I’d keep plugging away until they have to give you the raise.

If you wanna leave it is a difficult time to look for a new gig but maybe put some feelers out, your base + OTE seem low to me as well.
Pachacuti
Politicker
5
They call me Daddy, Sales Daddy
So you take the promo, stick around for 6-12 months, go find another job leveraging the new title (and the fact you got promoted) to get more money. Pretty simple plan.
Diablo
Politicker
4
Sr. AE
This is a gateway to growth. Though it’s disheartening (happened to me as well) but I am at a far far better place.
Gyro25
Notorious Answer
3
Account Executive
Even for being in Austin, that's pretty low $. I have colleagues based there that are definitely earning more on avg for the same role and similar experience.

Given that you received a title promotion, I'd use this opportunity to get more experience, polish your resume and start applying for other roles and explore the job market more.
Justatitle
Big Shot
3
Account Executive
If they "promoted" you but didn't give you any pay increase then I regret to inform you that it was not a promotion.
ChumpChange
Politicker
3
Channel Manager
OTE of 65K as a BDR and the same for an MMAE??? That quota better be uncapped and lower than a snail's ass!
Kosta_Konfucius
Politicker
2
Sales Rep
That's super unusual, however gaining that experience is huge. I wouldn't hold your breath for a base increase as they always say that but rarely provide one.
J.J.McLure
Politicker
2
Owner at *redacted*
This article in Forbes breaks it down perfectly. Employees who stay at jobs for longer than 2 years make on average 50% less by the end of their career. So financially it makes sense to learn and grow in a company, take the promotion, then use that to get a job at a new company and earn more. The article weighs the pros & cons.

Personally, I signed on with a company that was just about to exit the "startup" phase. I thought I would prove myself invaluable to the company and grow with them while they become a giant in the space. After 4 years though, I got laid off. Using what I learned though, I'm in a new position that should get me about a 30% raise (100% comission, so only if I hit my targets which should be possible)

https://www.forbes.com/sites/cameronkeng/2014/06/22/employees-that-stay-in-companies-longer-than-2-years-get-paid-50-less/?sh=16b49c6fe07f
Maximas
Tycoon
1
Senior Sales Executive
I wouldn't even call it a promotion unless there's an obvious increase in my payout otherwise, it would be just an extra responsibility for nothing in return!
Hoopnip
Politicker
1
Commercial AE
Stick it out until Q4 then negotiate. I’d also worry about the health of the company not being able to pay their reps….
AnchorPoint
Politicker
0
Business Coach
Ummm... you were not promoted, you were simply assigned greater responsibility without additional compensation.
lowhangersalesbanger
Executive
0
Director of Sales
Better than demoted with a pay cut
0
Branch manager
Sounds like cintas...
MrAnderson
Executive
0
AE
Take it, learn as much as you can and if in the end of the year you are bit happy start applying.

Don't get me wrong it sucks, but consider it education, where you get paid to learn. Many people invest in degrees to get the base salary of an AM, you'll get paid to learn and in a year you'll be qualified to switch to a competitive company if they don't change.
3

Pay raise?

Question
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8

Pay raise

Discussion
9
10

Pay raise without promotion?

Question
11
Have you received a pay raise w/o a promotion?
79% Yes
21% No
87 people voted