How do you...

Question

How do you feel about the sales compensation structure right now at Zendesk?  Does it change materially year to year?

Former Employee · Accepted Answer

It changes year to year. Since the company was purchased it's been a soulless place to work. If you have other opportunities I'd look into those.

Former Employee · Answer

They raised sales compensation last year because they were starting to hemorrhage so much veteran talent. This year, they lowered quotas to try and encourage people to stay, but on the flip side they started putting people on performance plans even faster. So yes it can change year to year.

Current Employee · Answer

This year they gave almost every rep the same target in the commercial segment. It did not matter whether your territory is enterprise or mid-market or a developed or an emerging market. The size of the books of businesses of the reps are differing big time (1x vs 2x sometimes 3x). So this makes some reps' compensation rocket while some is left without proper.

Current Employee · Answer

They lowered this year. I expect quotas to change next year to be less attainable. If you work with current customers, half of your commission comes from customers who self serve, but you are only “graded” on your managed sales. So you can “hit quota” in mgmt eyes and only make 50% of your OTE.

Current Employee · Answer

Sales compensation is above market rate. It does change year to year as they make adjustments. Quotas have since been reduced for the most part since PE took over.

Current Employee · Answer

Changes every year and for the worse since the PE firms took over in late 2022. They look for every reason to not pay you the full commissions now. If you discount even the slightest, you get reduced commissions by a certain % depending on how much as a penalty for discounts. ZD is more expensive.

Current Employee · Answer

They keep increasing quotas while it's becoming less attainable.

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Anonymous Q&A

How do you feel about the sales compensation structure right now at Zendesk? Does it change materially year to year?