INFORMS Open Forum

Want to Optimize Sales Performance? New Research Says Reduce Commissions on Sales of Popular Items and Provide Sales Incentives, Not Customer Discounts

  • 1.  Want to Optimize Sales Performance? New Research Says Reduce Commissions on Sales of Popular Items and Provide Sales Incentives, Not Customer Discounts

    Posted 09-18-2019 12:05

    CATONSVILLE, MD, September 16, 2019– According to new research published in the INFORMS journal Marketing Science (Editor's note: The source of this research is INFORMS), companies can improve sales performance when they adjust sales commissions for the sale of more popular items. Further, the researchers found that when companies provide incentives to the sales force, that is more cost-effective than offering consumers discount pricing. The research centered on automotive sales at the dealership level.

    The study in this month's edition of the INFORMS journal Marketing Science is titled "A Salesforce-Driven Model of Consumer Choice," by Bicheng Yang of the University of British Columbia and Tat Chan and Raphael Thomadsen, both of Washington University in St. Louis.

    Click here for full press release.



    ------------------------------
    Ashley Smith
    INFORMS
    Catonsville MD
    ------------------------------