SaaSSalesSpecific

Sales Executive

Quota Changes

Is it normal for a SaaS company to change quota every single month? As well as sometimes not release quota a few days into the selling month? Also, what is a standard quota to OTE ratio?

I am happy in my current role, however, I'm noticing the walls around me shift a bit too constantly.

📳 SaaS

19 comments

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Diablo

Politicker

Sr. AE

I have seen this happening in a high transaction SMB business but a few times in a year (not at this speed).

Sunbunny31

Arsonist

Sr Sales Executive 🐰

Monthly changes? No, I haven't seen that. It does seem excessive, but my sales cycle is far longer and I'm not measured to a monthly quota. What's your sales cycle? And do you have monthly attainment goals?

SaaSSalesSpecific

Valued Contributor

Sales Executive

I've had any from a few days up to over a month. I'm newer to the team, other reps tell me they have gone months with some larger clientele.

lowhangersalesbanger

Politicker

Account Executive

Not every month. Is it extreme changes or minor changes?

SaaSSalesSpecific

Valued Contributor

Sales Executive

I've only been on the team for 3 months, however we're up to $8k monthly quotas and I believe they were around the $6k mark not too far before I got here.

jefe

Arsonist

🍁

Monthly is NOT normal. 1-2 times a year, sure. And it's often a little late. But that's insane.

SaaS is often 50/50 base/commission to get your OTE

SaaSSalesSpecific

Valued Contributor

Sales Executive

ya I've done some math, I'm around a $112k OTE. Yet with quotas around $7k-8k monthly, I'm seeing a pretty large gap. Each deal we sell is a term of 12 months

jefe

Arsonist

🍁

So the monthly changes aren't encouraging at all, but if your annual quota is $84K-96K and you're making $112K on that, you're doing PRETTY DAMN WELL.

Is that $7-8K MRR that's an annual contact? Because otherwise it doesn't make sense.

Also, you should upvote the people that respond to you trying to help you. It gives us commission, just as our replies to this post give you commission. And assistance.

SaaSSalesSpecific

Valued Contributor

Sales Executive

Thanks for letting me know about upvoting! Happy to do so.

So the math I was looking at was average quota per month = $7500 x 12 for $90,000 x 12 for ARR = roughly $1M. So essentially I'm getting 1/10th what I'm generating for the org. Should I be taking away the idea of ARR entirely?

Because you're right when you put it that way, if my quota is 84-96 things are looking good if I'm breaking 100k. I appreciate the clarifications here!

FoodForSales

Politicker

never seen monthly changes. but I have seen them make mid-year changes

Beans

Big Shot

Enterprise Account Executive

No.
Big red flag.

TennisandSales

Politicker

Head Of Sales

damn monthly changes?? no that is not common and how does that even work??

SaaSSalesSpecific

Valued Contributor

Sales Executive

we find out the first week of that selling month.. not ideal which I'm learning from all of you fine folks.

ChumpChange

Politicker

Channel Manager

Monthly quotas is an immediate red flag brochacho! That signals that there's no clear line of sight on what the business expects to bring in. From what I've seen, each dept will take part in what is known as annual operating plan (AOP) where each team will give their expected metrics to achieve for that year. Sales/ RevOps/Finance model out and land on an expected revenue deliverable which feeds into quota attainment and construction for each sales resource. Reading your post tells me that there's some goal post moving happening which only screws you and your peers.

SaaSSalesSpecific

Valued Contributor

Sales Executive

I appreciate this, I think you're 100% correct. As someone who's been in Ops Management in the past I've always understood the importance of forecasting and it seems that my higher ups do not... thanks for the input!

Kosta_Konfucius

Politicker

ERP Sales

Every month no fucking way

Sales executive

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mmoneyman

Executive

Sr. Mid-Market Account Executive

But every time it's somehow for the ae's benefit right?

SaaSSalesSpecific

Valued Contributor

Sales Executive

no haha. no change in payout, just a higher quota month over month.