Page 41 - PBT Bangkok

“ We pay our sales reps on gross margin only. And we pay on their total 41
book of business. The smart ones have figured out that going into each
month they have a portion of their quota already met from their recurring
revenue business. This somewhat allows them to balance the need to sell
a big deal with the need to build a sustaining backlog of recurring revenue.
BUT…This may not have worked if our sales team was more transient in
nature.
– Cisco Cloud Reseller with sales reps that have significant tenure at the
company

We pay our reps on the total contract value upfront. We have
enough cash flow from our organization to cover the sales

”compensation even though the customers have not paid us yet.
“ Our account managers sell our complete portfolio so this helps

with potential compensation issues compared to larger upfront
deals. But our reps do not get paid for renewals. We have a
dedicated team that handles that.
– Larger (>$100M in annual revenue) Cisco Cloud Reseller

We put an overlay sales force in place to address the issue of having
mostly hardware based sales reps. This will cost more in the

”beginning, but it is a variable cost on a small portion of our overall

revenue right now
– Cisco Partner in the process of implementing XaaS solutions but 80+% of

“ ”revenue is still from product resale
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