Salesforce: Your Job’s at Threat If You Promote Much less Than $400k a Yr


So quotas are comparatively effectively understood, if generally difficult to get proper in apply.  Keybanc and Sapphire have some nice total metrics here:

General, the media AE closes $750,000 a 12 months, and that’s truly up from 2022 — primarily on account of hiring freezes and contractions.  In any occasion, that’s good median information.  Enterprise reps have a tendency to shut extra ($1m+), and SMB reps much less (perhaps $500k), with $750k web new bookings per 12 months the median.

And what number of hit quota?  Whereas completely different information sources report completely different numbers, the businesses themselves within the Keybanc Sapphire information report 80% hitting quota attainment.  That sounds excessive to me, however nonetheless helpful to see the information:

One factor I’ve by no means actually had a lot information on is precisely under what stage of attainment gross sales reps sometimes are prone to dropping their jobs, nevertheless.  40% attainment?  30%?

Salesforce not too long ago shared theirs in a Bloomberg article:

Their “PIPs” or being placed on a efficiency plan to be managed out kick in now:

  • After 1 quarter, not 5-6; and
  • If an enterprise rep closes lower than $100k 1 / 4 ($400k a 12 months annualized); or
  • If an SMB rep closes lower than $40k 1 / 4 ($200k a 12 months annualized)

That sounds a bit harsh on the floor, but it surely truly could also be beneficiant, because it doubtless ties to about 30%-40% attainment.  An enterprise rep at Salesforce in all probability has to have the ability to shut $1.5m or so a 12 months to take dwelling these comp ranges, and an SMB rep doubtless $800k or extra.  In case you can’t get shut, for too lengthy — any group will do significantly better routing these leads and accounts to those that can shut.

The article additionally notes:

  • Fewer people are actually in a position to declare fee on a deal; and
  • With development slower, Salesforce thinks there’s much less want for as many CS professionals.

All of it sounds a bit harsh at first — in comparison with the Go Go days of the 2021 or so.  However most of the metrics of these days didn’t actually make a lot sense, with hindsight.  They weren’t sustainable.

People falling under 40% attainment actually are simply taking leads away from these that may truly shut.  And giving people extra time, effectively, it sounds good and feels good.  However an excessive amount of time doesn’t make a rep that may’t shut any higher of a more in-depth.



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