A sales spiff is a sales performance incentive fund (often written with an extra "f"), which is a short-term incentive used to motivate sales representatives. Sales spiffs can incentivize sales rep engagement and help to meet immediate sales goals.
A sales spiff requires a set sales goal and an incentive, often a financial incentive or another kind of reward like prizes, recognition, or time off. A successful sales spiff requires a clear objective, a clear articulation of how reps will achieve the goal, a timeframe, a budget, and an incentive. When planning a sales spiff, consider the risk of sandbagging (when reps know a spiff is coming so they wait to close deals they could close earlier) and creating an overly competitive work environment (team spiffs rather than individual spiffs can help avoid this).
Example: Kristin was noticing a drop in new leads and sales rep engagement. She planned a sales spiff for her team wherein if they brought in 500 new leads by the end of the quarter, they each received a $500 bonus. The reps worked hard to meet the goal and were happy with their bonus cash.
Sell-through, or sell-through rate (STR), is the amount or percentage of goods that have been sold to an end customer relative to the total available quantity of goods. A high sell-through demonstrates the effectiveness of a SaaS company's marketing efforts and sales strategies.
Example: Our B2B SaaS company achieved significant growth through our sell-through strategy with a key partner, as they successfully marketed and sold our software to their existing client network, resulting in a substantial increase in SaaS sold.