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Sales & Retail vocabulary · Targets, Metrics & Commission

Residual commission

Meaning in sales & retail, with examples

nounAdvanced term

In sales & retail, residual commission means: Commission earned on continuing customer payments or repeat business after the initial sale, under a sales pay plan.

In Turkish: devam eden müşteri gelirinden alınan prim

How it is used

Use for continuing earnings tied to earlier sales; specify duration and eligibility in the compensation plan.

Example sentences

  1. She earns residual commission while the maintenance subscriptions she sold remain eligible.

    Later customer payments can generate earnings from an earlier sale.

  2. The plan ends residual commission when the customer cancels the service.

    Continuing commission depends on the conditions of the underlying business.

Common collocations

  • earn residual commission
  • residual commission plan
  • commissionMoney paid to a salesperson based on the sales they make, usually a percentage of the value of each sale or of total revenue.
  • renewalThe act of extending a contract or subscription for another period when the current one ends, or the new contract itself.

More terms: Targets, Metrics & Commission

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