Why does H...

Question

Why does Hubspot reduce their managers quotas when a rep is let go? Doesn’t this make them want ramping reps at all times to boost their numbers?

Current Employee · Accepted Answer

Yes it's a major pain point because they try to pip people out actively instead of coach and they only get paid if the team has a small quota. It's a conflict of interest in multiple points

Current Employee · Answer

Its called holding managers to 0 standards.

Current Employee · Answer

This is one of the biggest issues at HubSpot.  The management is actively incentivizing churn to front line managers.  The three top managers in mid market last month had under 22k MRR.  Each rep at full quote is 6.8k MRR meaning even though they only did 3 reps full number they are “winning”

Current Employee · Answer

Its a huge conflict of interest.

Current Employee · Answer

Yup. If you're on a team with a bunch of reps on full quota, you can expect 1 or 2 to get PIP'ed or fired within a month or two.  Managers are at a disadvantage having tenured reps on their team

Current Employee · Answer

Nothing like having an unattainable quota and a manager who is actively incentivized to get rid of you.

Current Employee · Answer

What is the point of paying 10 months of ramp + RSU’s just to do this?

Current Employee · Answer

I think there are leadership bonuses for rep attainment. So they want as many low quota ramping reps as possible.

Former Employee · Answer

Yes that's right. It seems managers benefit financially when tenured reps leave. Now, If a ramping rep quits, the manager carries their quota for the duration of their ramp period, but after 12 months, some managers pressure reps onto "Success Plans" leading to PIPs so that they leave. There is a lot of money at stake for Managers. What I don't get is why a company rewards managers for losing tenured reps when a rep doesn't become profitable to a business until after 18 months. Is this intentional?

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Anonymous Q&A

Why does Hubspot reduce their managers quotas when a rep is let go? Doesn’t this make them want ramping reps at all times to boost their numbers?