I am interested in pursuing a career in radio sales. My question is what should I be looking for in the way of compensation? Not so much the average income, but what the base should be (if there is any) and what commission percentage I should expect. Also, if there is reimbursement for expenses, i.e. fuel, entertaining clients etc. Any insight would be greatly appreciated.
If you are an actual station employee, you will probably receive a small base salary or draw-versus-commission, usually between $1,200 and $1,800 per month, plus commission or bonus (basically the same thing - it's incentive pay). Most of the time, you will also eventually be offered group health, life, maybe vehicle expenses, etc.
But, if you are on straight commission or self-employed, as I am, you will probably have to provide your own benefits. I earn 25% of all sales, plus I usually have to type up my own scripts. But, I also have to pay for my own vehicle expenses and other sales expenses. In essence, I have a lot of freedom to make a great income - and I have the freedom to flop on my face!
Thanks for the insight. Is there a industry standard for the commission rate if you are a station employee? As for your situation, are you kind of a "gun for hire" and silicate all business opportunities and then market them to the station/genre that makes the most sense for their market? Again, thank you for the response.
I work for only one station, which was a requirement of the owner's contract with me, and I agreed to this restriction. Why? Because they played the most popular music format in America - and in rural Wisconsin - namely, country music. (Not my personal favorite, but hey, we're talking about money here.) In addition, I knew this station had a tiny sales staff, far less than the market area could support (some retailers hadn't spoken to the station's sales reps in five years!). Finally, the station manager agreed that I could call on all prospective customers who hadn't been on the air (at WDMP) during the previous 24 months. This meant I had hundreds of prospects to call on, although only a few large accounts were available.
If you want to consider my approach, try to find out everything you can about the station(s) you might want to work with, including the market area involved, the popularity of the station's format, the station's management attitude and a survey of the competing radio stations within the market area.
That's almost impossible to answer and give you good information. A lot depends on the market and the company. Personally, I negotiated the base vs 15% commission. Unless you are given a nice account list, which rarely happens, you can expect it to take 18 months before you really start to hit your stride.
Greg~all companies are structured differently, but most radio account executives are paid 100% on commissioned. You can negotiate a temporary guarantee for the first 6-12 months while you build your account base, and the amounts are typically based on your past experience. Ask up front what billing accounts you may be given upon joining the station(s). Radio sales have changed quite a bit over years with digital technology so learn as much as you can about the stations/companies and the assets you will have to sell. Also learn who your competitors will be and why you feel your prospective station(s) will have more to offer. Creative thinking is a MUST since clients are always looking for unique ideas. You have to be quick on the feet and think outside the box. Multitasking is a MUST as you will find yourself doing many things at once. Being self motivated and organized are also a MUST. It's a lot of hard work and you have to be persistent and have very thick skin for rejection. Sell what you are most passionate about and it will make your work more fun! Expense accounts are few and far between these days, but typically you are given a small set amount to cover expenses like client meals or gifts. Radio is a lot of fun, but also a challenge filled with the typical pressures in the world of sales. Best wishes!
