We just released our CS Compensation report and are showcasing the results for North America and EMEA in webinars earlier this morning and next week for EMEA.
A few common questions emerged - how are you solving this today? What other CSM comp questions do YOU have? Answer/ Add as responses to this post!
I’ve added a few of my answers in bold
- Regarding bonus compensation, do you have any insights on the prevelence of quarterly vs annual calculations/targets and payouts?
- Seeing more shifting to Quarterly (including Gainsight!) or semi-annually - more flexibility/cash flow for CSM, more flexibility to adjust the plans as year evolves
- I’d like recommendations or resources for identifying a comp structure for a CSM who’s sole role is upselling to existing customer base please
- How do you adjust comp model based on size of BoB per CSM. I’d say we tend to land at a much higher customer count per CSM than what’s the industry average.
- For smaller organizations, where CSMs are taking on churn risks (even if the client is digital touch), monthly meetings with strategic clients (high ARR clients), SoWs (one time revenue as opposed to ARR), and escalated support tickets… can you comment on how to position oneself for a growth path/ compensation? Sometimes, the tasks are so tactical (because volume of tasks are so high) that the strategic value is lost on both the team and management. Thank you!
- What kind of SPIFFS? 1%, 2%, 3%?
- We’ve typically looked at 1-2% ranges for closed won opportunities where the lead was via a CS Qualified Lead (awesome, super simple Gainsight feature!)
- Do you have any advice for splitting the rewards from renewals between a CSM and Account Manager?
- AM variable is 25% renewal / 75% expansion oriented
- CSM Variable is 50% renewal / 50% verified outcome achievement