Go Back   DealershipForum.com > Domestic Franchises and Independent Dealers > Chrysler > Parts


Thread Tools Display Modes
Old 12-10-2011, 01:46 PM   #1
Senior Member
Join Date: Aug 2008
Posts: 341
Default Parts Dept. Pay Plans

I'm looking at different ways to incentivize our Parts employes going into 2012. I'd like to come up with something to help icrease sales that's an attainable monthly goal that works for everyone. Anyone have a favorite one?
birch3x is offline   Reply With Quote
Old 12-11-2011, 06:49 PM   #2
New Member
Join Date: Nov 2011
Posts: 18

we've been paid a number of ways in the past but the one I cared for the most was paying parts advisors a salary, a set percentage of the gross and then a percentage of the advisors own monthly sales.

for example, normally about 1/2 of the monthly 'bonus' would be made up of what the department did and the other 1/2 would be based on what the individual did. as an added incentive, if an advisor sold over $200K a month, the individual sales percentage would be increased. if the individual had a really GOOD month, then they were compensated for it.
F500 is offline   Reply With Quote
Old 12-12-2011, 09:36 AM   #3
Senior Member
Join Date: Oct 2009
Posts: 224

I pay a base salary (roughly half of total pay) + a % of total department gross. I also have small bonuses for certain goals (number of invoices processed, achieving a certain GP%/volume mix, percentage of returns, etc.)

I've tried several different methods ranging from straight salary (low productivity) to straight individual commission (horrible teamwork/morale) and everything in between. What I settled on has proven to be the best balance, in my experience.

Corporate thinks that I shouldn't have the salary % of total pay as high as I do, but they lose the argument and change the subject when I point to the results.

JoeRocket is offline   Reply With Quote
Old 12-14-2011, 11:30 AM   #4
Join Date: Nov 2007
Posts: 14,869

Great thread - I always think it's interesting to hear about pay plans and what works and what doesn't.

I don't know if this would ever be possible with a dealership pay plan but I always liked it when Chrysler's old VPA/MPA program gave the dealers a chance to earn a missed incentive with the "Quarterly Wrap." I can remember being in situations where our dealership already hit our monthly number but we were pushing hard to hit the "Quarterly Wrap" because we had missed our objective in the previous month.

Having both a month and a quarter objective prevented us from "coasting" once we hit our monthly objective.
XDCX is offline   Reply With Quote

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Pay Plans twkrantz Parts 24 01-17-2013 12:18 PM
USED car sales pay plans tbrillant Sales 2 09-19-2011 09:12 AM
Service Sales Dept. ghostrider Automotive Discussions 2 06-06-2011 07:47 AM
Dealership pay plans for Salespeople XDCX Automotive Discussions 5 06-15-2010 05:40 PM

All times are GMT -7. The time now is 11:50 PM.

Powered by vBulletin® Version 3.8.5
Copyright ©2000 - 2023, Jelsoft Enterprises Ltd.
Copyright DealershipForum.com - 2008 - 2016