I’m thinking your salespeople’s paychecks have been pretty good of late.
Especially if you’re paying on gross. Good for them. I’m an advocate for salespeople making more money.
But, wait…what did they actually do to earn those bigger grosses and paychecks?
I’m thinking they are a victims of a good set of circumstances which in part has been the law of supply and demand and the way you have priced and held the line on little or no negotiating of prices.
You have to ask yourself does it really make sense to be paying them on all that gross when they haven’t had much of an impact on it?
The same holds true for paying on gross in the overall scheme of things.
When you’re giving cars away, it’s not the salespeople giving them away. It’s the way you’re pricing them because you have too much inventory or need to make something go away.
This may not be a good time to change your pay plan. But, it’s a good time to ask yourself why are you still paying on gross? That’s all I’m gonna ask, Tommy Gibbs