Spiff Program: The Best Way to Motivate the Salesmen


Do you know that most people selling real-estate are paid by a sale? If they don’t make a sale, they won’t get paid. That way, they are as highly motivated as possible to do their job great and with it make more money. See how agents in real estate get paid here.

Making more money makes everyone happy. The clients find what they are looking for, the market is working, and the companies make revenue.

Some smart people thought that this model can be used in retail stores too. The best example of this is in the automobile industry. The seller almost always receives a bonus when they manage to sell some of the cars in the store.

If you’re an employer, and you’re looking for a way to motivate your workers to do a better job at the retail stores, you might give this a better thought. This idea is called a spiff program. Read on if you want to learn more about it.

What is spiff?

It’s not really clear where the origin of the word comes from but it doesn’t really matter. What’s more important is what a spiff program is? It is a way to reward the seller for selling a specific product.

Research showed that in over 90% the results of this method are positive. People are always motivated to do more if they know that they are going to be rewarded for this.

As an employer, you need to come up with a strong plan of what needs to be rewarded and what is not so important. The best idea is to offer a reward to salespeople when they manage to sell something that’s not being sold often. For example, if you manage to sell every shoe of the last year’s collection, you’ll get a bonus of 20%.

This is important because if you don’t sell these items now, later it will be even harder. Their price will only drop more and you’ll have to throw them away which means losing a lot of money. Do a calculation of how much you’ll lose and how much you’ll earn by doing a move like this. See more thoroughly what it means on the: https://en.wikipedia.org/wiki/Spiff.

Usually, you can still be in profits even by offering a larger bonus for a job well done. Just the effort of throwing away some items can cost you more than keeping them, so it is definitely something to think about.

The spiff makes everyone happy

We don’t have to mention that the businessman is happiest when their stock is being sold. Making sales means a growing business.

On the other hand, the sellers are also happy because they receive more money for doing their job. All they have to do is put in a little extra effort to convince people to buy a certain item. Sure, sometimes it’s really hard to do this, but they’re at their workplace anyway so why not give it a try.

The only way to sell expensive items

Car dealerships, jewelry stores, and places selling expensive products almost always lean on the spiff program. Since it’s not simple to sell products worth thousands of dollars, the bosses always tend to reward their employees for making a certain sale.

This is only normal and if you’re in a similar position you should do it. Don’t wonder why no one wants to buy your most expensive products. People are not going around throwing money in the air. Everyone values their income and wealth and no matter how rich some people may be, they won’t just buy anything. You need someone to tell them why it’s important to buy from you. If you don’t motivate this person, they won’t convince anyone to do this.


Some see this method as just paying people to do what they are already paid for. It may be true, but at the end of the day, it’s important to have the business running and be successful. If that means spending a little more to motivate someone to do a better job – well why not?

If you’re looking for an idea of how to make more sales, this is probably it. Try this method and see how it works for you.