|
Article Excerpt
[ILLUSTRATION OMITTED]
PERHAPS REFLECTING a weakening economy and moderating sales, service centers held the line on compensation for their salespeople in 2007.
As usual, total earnings for sales professionals varied widely by region and company size. But according to the MCN survey data, average salary, commission and bonus for outside salespeople totaled $74,936 in 2007, virtually the same as the previous year's $74,966.
Calculated as the median (the point at which half the responses were higher and half lower), the "typical" take for an outside salesperson last year was about $71,000, up about 1.4 percent from the previous year's $70,000.
Total compensation for inside salespeople--including salary, commission and bonus--averaged $58,287 in 2007, also about the same as the previous year's $58,681. The new median, at $55,000, shows less than a 1 percent increase from the previous year's $54,500.
Metals prices have experienced a paradigm shift in the past five years. What is considered a "normal" price for steel, aluminum and copper today far exceeds the previous historical average. Salespeople have benefited significantly from the escalation of metals pricing, which has boosted commissions and bonuses for those not on straight salary. Service centers have been working to modify their sales compensation plans to reflect the new pricing realities. Developing a sales compensation formula that is equitable to both the salesperson and the company in today's
volatile pricing environment remains a challenge for service center management.
Companies responding to this year's survey ranged from less than $1 million in annual revenues to more than $5 billion. The average service center reported...
|
|
More articles from Metal Center News
Mills produce record results: sluggishness in the U.S. economy wasn't ..., February 01, 2008
Study suggests there may be a future for steel futures.(METAL INDUSTRY..., February 01, 2008
U.S. Steel, JFE enter technical exchange.(METAL INDUSTRY NEWS), February 01, 2008
Nucor, Duferco team up in foreign beam venture.(METAL INDUSTRY NEWS), February 01, 2008
Rio Tinto rejects BHP Billiton's $147.4 billion buyout offer.(METAL IN..., February 01, 2008
Looking for additional articles?
Search our database of over 3 million articles.
Looking for more in-depth information on this industry?
Search our complete database of Industry & Market reports by text, subject, publication
name or publication date.
About Goliath
Whether you're looking for sales prospects, competitive information, company
analysis or best practices in managing your organization,
Goliath can help you meet your business needs.
Our extensive business information databases empower business
professionals with both the breadth and depth of credible,
authoritative information they need to support their business
goals. Whether it be strategic planning, sales prospecting,
company research or defining management best practices -
Goliath is your leading source for accurate information.
|
|
