Reboot Post: Sales Commission Conundrum

Let's start with this:
Conventionally, commission systems work in this format:
X sales gives you P% commission
X+Y sales gives you P+Q% commission
X+Y+Z sales gives you P+Q+R% commission
The more sales you get, the more commission you get.
And if you can't hit the target, you get eliminated.

How about we put in a commission system that is more inclusive? One that supports growth and community mentality rather competition mentality?
X sales gives you G% commission
X+Y sales gives you G-H% commission (because you already earn a certain level of liveable income)
X+Y+Z sales gives you G-H-F% commission (and you are living a comfortable life)

Now, here are the parts that are really fun:
- G is a very high value, i.e. business earns significantly less to support the salespeople
- The difference of commission, H% and F% are to be channelled to give this kind of supportive benefits to newcomers.

We'll give numerical example (values are theoretical and may not reflect realistic industry standards):
If sales is RM 5,000, commission is 30% => commission is RM 1,500
If sales is RM 10,000, commission is 30% => commission is RM 3,000

Assuming RM 3,000 is our live-able standard, next tier of commission is 20%

If sales is RM 10,500, commission is fixed => commission is RM 3,000
If sales is RM 14,000, commission is fixed => commission is RM 3,000

If sales is RM 15,000, commission begins to start at 20% tier => commission is RM 3,000
If sales is RM 15,500, commission is 20% => commission is RM 3,100
If sales is RM 20,000, commission is 20% => commission is RM 4,000

There needs to be a fixed commission period, so that one does not get RM 14,000 sales but commission of RM 2,800 (which is less than original RM 3,000 at sales of RM 10,000)

Do you think this will work? Especially if we apply this to the underprivileged groups like single parents, urban poor, and so on, as a way to help them transit into a decent income level away from oppression?

If you think this is something worthy to pursue, please like our page, share this post. We're going to move into really trying to implement this. A fund raise will be done soon by us to start a business that runs on this supportive and inclusive model.

More stories explaining our values and perspectives will be posted over the next 2 weeks.