Case study

A SaaS Software Company achieved a 13% increase in bookings per rep

Categories

Product & PricingMarketing

Solutions provided

Account Segmentation

Sales Force Sizing

Current State Plan Assessment

Compensation Plan Abstracts

Backwards/Forwards Financial Model

The key insight

5% year-over-year increase on SaaS Bookings

Results at a glance

13%

Bookings per rep

Take an assessment

This client was experiencing declining revenue, largely driven by the decision to bifurcate the business units and limit the portfolio of what reps could sell, which resulted in misalignment between what the customer wanted, and what the reps were measured against. Cortado recommended restructuring the business and developing a compensation plan that would drive growth

The challenge

Sales & Marketing misaligned and often at odds with each other

Sales reps were not able to sell the entire product portfolio

Misalignment between selling and buying process

Plan design was complex and did not drive desired behavior

Insufficient upside opportunity for top performing reps

Outdated quota and territory methodologies resulted in the organizations top performers being penalized

Sub-optimal quota attainment levels (40%) resulted in below-market pay for sales reps and high turnover (27%)

The Cortado Group solution

Restructure the Sales Organization

Optimized the current sales structure to enhance efficiency and empower sales representatives for improved performance

Lower Cost of Sale Efficiencies

This client had the opportunity to recognize many efficiencies by reps being able to sell the entire portfolio of solutions, and this yielded a lower cost of sale

New Quota-Setting Methodology

Developed a new quota-setting methodology, which was informed by account segmentation and potential

Compensation Plans

Created compensation plans that aligned with the corporate strategy and revenue growth targets

Sales Rep Incentivization

Modified the accelerators for above-plan attainment to drive top-performers to overdeliver

Analyze Rep Impact

Built a backwards and forwards model to understand rep impact and ensure design adhered to cost envelope

Effective Sales Strategy and Compensation Rollout

Developed communication material to ensure seamless rollout of sales strategy and compensation plans

Results

13%

Bookings per rep

Cost of Sales decreased by 2%: due to new org. model

Number of reps attaining quota increased: from 40% to 57%

Bookings per rep increased: by 13%

Rep turnover decreased: from 27% to 20%

5% year-over-year increase: on SaaS Bookings