Key Takeaways:
- Bigger commissions don’t always lead to better results
- Misaligned targets can derail even well-funded compensation programs
- High turnover in new hires often points to flawed incentive design
- Inconsistent sales performance signals deeper issues in planning and tracking
Incentives are meant to motivate, not misfire. However, for many companies, sales compensation plans turn into a quiet drain on resources rather than a driver of revenue.
If your business is spending heavily on commissions and not seeing results, the problem may not be your people; it may be your plan.
Here are four warning signs that your sales incentive model might be working against you and how to fix them before they become costly mistakes.
1. You’re Spending More, but Selling Less
Big incentives without strategy = big waste
It’s easy to assume that increasing commissions will drive more sales. But simply throwing money at the sales team rarely leads to sustainable performance.
If your commission budget keeps growing while revenue stays flat, you’re not incentivizing smarter, just spending harder.
This is where structured Incentive Compensation Management (ICM) comes in. With tools like Motiwai, companies can tie payouts directly to measurable impact, adjust incentives in real time, and monitor ROI per rep or product line.
Incentives should drive performance, not inflate costs.
2. Your Sales Goals Don’t Align with Company Objectives
Misalignment kills momentum.
A common issue in underperforming plans is a lack of connection between high-level business goals and individual sales targets.
Let’s say your company wants to focus on recurring revenue, but your reps are being rewarded mostly for one-time deals. That’s a mismatch, and your incentives will drive the wrong behavior.
With a system like Motiwai’s strategic plan designer, you can ensure every target set supports the bigger picture. That way, sales teams are motivated to work toward outcomes that actually matter to the business, not just what earns them a quick bonus.
3. New Sales Hires Leave Too Soon
Turnover isn’t just about culture — it’s about compensation clarity
When a new rep joins and exits within months, it’s rarely just bad luck. Often, the issue is that expectations are unclear, goals are unreachable, or the compensation model feels unfair.
Salespeople want to succeed, but they also want to know how they’ll be rewarded for doing so. If the commission plan is too complex or based on unrealistic quotas, motivation drops fast.
That’s why companies using tools like Motiwai build transparent, fair, and customizable incentive plans that scale with a salesperson’s journey, from onboarding to long-term growth.
More clarity. Less churn.
4. Your Top Performers Feel Like a Coin Toss
Inconsistent results mean inconsistent planning
If some reps constantly overperform while others never hit their numbers, you might be dealing with randomness instead of a reliable strategy.
Yes, people are different, but incentives should create structure, not confusion. A strong incentive program reveals which behaviors drive results and rewards them in a way that’s repeatable.
With real-time performance tracking, Motiwai helps you move from guessing to knowing:
- Who is excelling and why
- Which territories are underperforming
- What reward structures actually work
Consistency matters. Especially when your sales team is responsible for predictable growth.
Final Thoughts
A well-designed incentive plan should be a growth engine, not a gamble. If you recognize any of these red flags in your own compensation strategy, now is the time to reassess how you’re rewarding performance.Want to build a model that motivates and scales?
Let’s talk. https://motiwai.com/contact/