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Saastr

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Dear SaaStr: Should We Pay Our Sales Reps on Renewals?

  • Most SaaS companies don't pay sales reps on renewals as they specialize in different roles for better efficiency.
  • In the early days, it is possible to pay sales reps on renewals as an experiment to impact behavior.
  • Reps may own new bookings on accounts for the first 12 months, but not receive a large commission just for renewing at the same deal size.
  • AEs can own upsells and receive full commissions for deals growing more than 20% in size.

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