Apparently it's a 60% quota and if you don't hit that then you don't get commission. If you get it - specifically 100+ then you get paid a LOT
So what was it prior?
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It's not a 60% quota, it's a 60% attainment GATE.
Quota is a dollar amount that is required to reach a salesman's full earning potential for the measurement period.
Historically let's save you had a $100M quota. For every million dollars of revenue, you would earn 1% of your comp potential for that measurement period. This is an oversimplification as there are different buckets with different weights, but the gist of it is directionally accurate.
Let's say your commission potential for a given measurement period is $20k.
You attain 50% of your quota, you get paid out $10k commission.
With the new plan, you get $0 in commission until you hit 60% of your sales. at that point, you earn 2.5x for each 1% sold OVER 60%.
At 80% attainment, you would get 20% x 2.5 = 50% of commission - $10k - for the measuring period. On the old plan you would have received 80% of your commission - $16k.
Here is the real problem - since the start of CY 2025 Dell has been assigning quotas based on previous years + growth + market forecasts (new). This has resulted in quotas that in many cases have creased year over year at a far faster rate, essentially becoming almost impossible to achieve.
For example, Let's say in 2024 you sold $10M of Widgets. The following year, you would be assigned that number + a growth component. In my experience, it typically averaged about 10%. Your quota for the following year would be $11M.
With the new model people are seeing (quite commonly) something more like $15-$20M quotas (in this example).
When you work on a team that delivers $135M in a half, and the next year your quota is $205M you aren't going to get close (real world example).
Fellow non-sales colleagues, sales aren’t put on a pedestal , this really is a hard gig. Many of us having unrealistic quotas and gates weighted against us for one reason, reduce our take home pay. Now this POS SCP is the equivalent of them paying you 50% of your IBP, or worse still nothing. This is the time to show compassion. The problem isn’t each other it’s the greedy ba----ds who rub our noses in it when announcing another record year.
Before it was 1x to 100% so you get 100% of your variable comp when you hit your number, 60% you get 60% of your comp. That way made sense. I was talking to some sales folks from Palo and they said this is the craziest plan they had ever heard of.
Also, over 100% to 150% is 3x, it’s not “A LOT”, the old plans used to pay 3x as well several years ago, but they keep getting worse and worse.