[pianotech] Commissions

[wimblees at aol.com]

Greg



It doesn't make any difference what the customer originally wanted to spend. It's what the customer bought that should determine the commission your employee should get. Don't get in a "war" over who or what influenced the customer to buy the higher priced instrument. How much that commission should be is up to you, but sales persons usually get a percentage of the profit, instead of a percentage of the sales price. That percentage can range from 5% to 25%. It's all depends on how much the sale was worth to you.



Once you've come to a conclusion as to how much you are willing to pay, I would suggest that put that in writing, and use as a standard from now on, so that other employees, piano tuners, teachers, etc, know in advance how much they can expect.  



Wim

-----Original Message-----
From: Greg Newell <gnewell at ameritech.net>
To: pianotech at ptg.org
Sent: Thu, Aug 13, 2009 6:26 am
Subject: [pianotech] Commissions




Greetings list members,
    I need some advise. I am selling a piano to a new customer which an
mployee (who also happens to give piano lessons on the side) has referred
o me. What should his commission be? The employee referred this new
ustomer through his piano lessons with her. She originally had the idea of
nly spending about $2,000 and this employee says that he talked up the new
alters that I carry. It seemed to me that I had her leaning toward the
alter from her very first visit not necessarily after he talked her up on
hem. I
 want to be fair to all concerned … including me. Any thoughts? Is
here a standard commission rate that I should be aware of? Are there 2
ifferent rates for a full fledged salesperson or someone who simply refers
nother? Your thoughts, experiences will be much appreciated!


reg Newell
reg's Piano Forté
ww.gregspianoforte.com
16-226-3791 (office)
16-470-8634 (mobile)

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