Salary vs. commission for web reps: Crutchfield refines its formula
Who are the most valuable agents at the web-enabled call center—phone agents who possess sharp selling skills when the phone rings or e-mail and chat-dedicated agents who steadily plow though the volume of customer queries that come in online? It’s a question that’s sparking a reexamination of the call center agent compensation structure at home and auto electronics retailer Crutchfield Corp.
All agents, in addition to in-depth product training, are trained in phone skills and phone selling. From the phone, some agents move on to dedicated positions supporting e-mail and chat, where they also still use sales skills as needed. However, the phone-dedicated agents’ compensation is largely commission-based, while the online agents’ compensation is salaried.
While phone agents continue to work on commission, the agents moving to e-mail and chat give up the added earning opportunity in exchange for salary, a more predictable workload, and less risk. Crutchfield’s call centers added the chat function to the mix in June, and attempting to design a compensation structure for chat-dedicated agents that incorporates both salary and commission raised questions that “forced us to re-evaluate our entire compensation package and develop a system that works for all three mediums,” says Chris Lilley, senior director of sales. “We’re in the process of doing that right now.”
Doug Smythers, director of operations at Crutchfield`s Charlottesville, VA, headquarters facility, adds that the goal of the call center agent compensation plan in development is to find the right balance. “One thing we’ve recognized is the ones who are probably the most valuable to us are able to make a lot of money on the phone, but also can do chat and e-mail efficiently,” he says. “That’s part of the struggle, to find the right balance in how to compensate them because they are being the most efficient.”
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