How much commission should I pay to my employee? (2)
Hello everyone,
Hope you guys are doing well
I’ve hired people to do stuffs. Their jobs include
1. Contact and build relationship with network and account manager, and ask offers and better price.
2. The most important one! Test Ads campaign. This includes brainstorming/figuring out angles/wording and testing them (building traffic Ads and lander, they have to know basic graphic editing)
3. Create report from
4. Other Administration jobs
I am control the budget they could use (~$100 per day per person). If I think a campaign is profitable, I’ll put in more money. They have no right to enlarge a campaign
I paid them basic salary to cover their living – in the bay area, I pay them about 40K per year. This is just about enough to live. Besides, I pay the fee of Trackers, Hosting, spying software… any other software/hardware fee!
I got this question: How much commission I should pay to them for the ads they build? Is there a standard there in the industry? 1%? 5%? Or?
Thanks!
If you're paying them a base a salary you don't 'need' to pay them a commission of ad spend. Profit base comm. would be a better move. At the end of the day, it will depend on a lot of factors, mainly dictated by the type of employee, experience, dedication, creativity, effectiveness, trust etc.. trust your own judgment and do what you think is best to motivate them. Find what they love and exploit it. Make them happy to work for you - a happy employee won't steal campaigns. They'll be excited to come to work and help you grow.
A flat ad spend commission can easily be abused, you don't want people getting lazy. Give them rewards based on creative ideas they come up with, winning campaigns, weekly leaderboards in the office. A whiteboard works well for this. Healthy company competition is always a good way forward. The person who finds the highest CTR image, highest conversion, most profit.When you find a winning formula, rotate the campaign around your employee's to maximize idea spin.
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