Marketing Generics Application Note:

Margin Dollars

A continuing challenge for Sales & Marketing leadership is how to purpose, incentivise and reward business performance. Which metrics should you use, because many of the traditional metrics seem one dimensional, focused on top line rather than bottom line revenues, and ill-adapted to a business seeking to maximise its profit potential?  Also, Sales and Marketing functions often end up with apparently conflicting and mutually exclusive targets, whereas ideally we want them to share at least the same overall goals for the business. Margin Dollars is a way to purpose, incentivise and reward business performance which takes into account the apparently conflicting goals that Sales and Marketing may have. This Marketing Application Note explains what Margin Dollars is, and how it works.


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Keywords: Margin Dollars, what are margin dollars?, Margin $, KPI, Sales force performance, sales force reward, top line revenues, metrics