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| *Ostroff, Fair and Company>>>Other - Advertising & Marketing |
If you were going to start your own business selling from a catalog, what type of commission would you pay rep |
My catalogs have all kinds of great gift items for the holidays, and for any other occassion. What type of commission should I pay my reps once I have put together a sells team???? --------PLEASE HELP!!!-------Preferably someone with experience in this field, Thank You! Depending on the industry, sales commission can range from 5% to 15% on sales but pay on funds collected from customers. You can set up commission structure based on performance. If one of your sales does a better job, perhaps you can give him or her a point extra. Consumer electronics reps commission is about 3% to 5%. Gift and general merchandise commission is from 5% to 10%. Pet industry commission is from 8% to 15%. Sales commission is based on sales not including shipping. Source(s): I'm a VP of sales and marketing with a group of sales and sales rep working for me. you have to see what the profit margin is on the items, then only pay a percentage of the profit, otherwise, you could wing up losing money big time you should limit it to around 30% of the profit margin, which may vary depending on the retail price and wholesale cost |
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