Salesperson

Krista2
@krista2
07/15/14 02:17:20AM
32 posts
Hi, has anyone here ever hired an outside salesperson? I'm considering it on commission only. Any idea what the normal percentage is for this industry? I have no idea what is an acceptable percentage
updated by @krista2: 04/09/15 05:03:12PM
Daniel Herskovic
@daniel-herskovic
07/15/14 11:05:20AM
132 posts

This is a really good question and I too would love to hear from other members, especially those with sales experience. I wonder what kind of arrangement sales people are looking for? If sales people are open to commission only what percentage makes it worth theie time? If sales people need some type of base payment, I would really like to know what they require? what kind of arrangement keeps a sales person motivated to sell?

Mike3
@mike3
07/16/14 03:14:12PM
63 posts

A good way to decide is to figure out A) if sales for you is their only gig, and B) if so, what would be a decent monthly "salary" to make it worth it for them. From there, figure out what % of your sales gets them to that point. For example, if the sales person wanted to make $5000 a month, and you offered 10%, they'd need to sell $50,000 a month. If they have other sources of income, then less might be acceptable to them. It will also depend on how much responsibility you want to give them and what your production capacity is (if you can't produce $50,000 worth of chocolate, then recalculate based on what you can make).

Ultimately you will have to just put an offer out there and negotiate based on individual needs.

Krista2
@krista2
07/18/14 01:55:18PM
32 posts
Thanks for responding. I was more just wondering if there was an industry average percentage that a rep would be expecting and if I could even come close to.
Chocotoymaker
@chocotoymaker
07/18/14 04:16:22PM
55 posts

Industry Average

Broker 2-5%

Distributor 15-15%

As far as a salesperson is concerned, unless you have a well established mix of product/pricing/historicals, it will be difficult to obtain a qualified person, even if on a part time basis.

Krista2
@krista2
07/18/14 06:59:21PM
32 posts
Thank you for taking the time to reply. Its helpful & appreciated
Diane2
@diane2
08/01/14 12:10:13PM
4 posts

Hi Krista,

Not sure where you are located but I have used brokers in the NY metro area. The average is 10-15%

You can get a list of Brokers from Specialty Food Association, if you are a member. if not a member, I am not sure if the list is available but you could always try to google it

Diane

Krista2
@krista2
08/01/14 12:11:27PM
32 posts
Thanks, I'm in oregon. I'm not a member but maybe ill try searching.

Tags

Member Marketplace


Activity

Xocol855
 
@xocol855 • 2 months ago
Created a new forum topic:
slaviolette
 
@slaviolette • last year • comments: 0
Created a new discussion "Cost of goods produced":
"Hi Everyone, Been a long time member but I have not been in in a few years, the fact is that I had to close down my small chocolate business.. but now is..."
chocolatelover123
 
@chocolatelover123 • 2 years ago • comments: 0
Created a new forum topic:
New Chocolate Brand - "Palette"
Marita Lores
 
Marita Lores
 
Vercruysse Geert
 
Vercruysse Geert