I am in a similar situation as the above poster.
One question that I have is if they start you out with a salary of $57,000 and a small commission structure, how are you ever supposed to make the transition to straight commission-only without taking a big hit in income when you make that transition. What I mean is that if you are taking over a scratch territory (doing $200,000) and you do grow the territory to 1.2 million in 3 years, that only equates to around $65,000 per year on the commission-only plan. By that point won’t you be making significantly more than $65,000 per year with the base plus commission – since you’ve grown the territory so much year after year? Does this question make sense?
Any thoughts from the veterans with Patterson?
The starting commission for rookies is 5% of the gross profit margin...which typically is between 28-43% on most products sold by Patterson. This varies depending on what products are sold, what brands of sundries, equipment etc.
You are right to be concerned. When I was with Patterson, there were quite a few rookies that had reached that 3 year mark...and had done their best to kiss-a-- , lick boots to get scraps tossed down to them from veteran reps (in the form of some accounts here and there that veteran reps may give to you if they are sick of working with those accounts) + building up your own territory though busting your tail...
The problem is this: The bulk of your numbers in the first 3 years will be Cerec...and Cerec related products... if you are lucky enough to get some solid leads, and are able to convert them... the best rookie rep sold 4 Cerecs in one year in our area... and she was given those leads specifically by the regional manager who loved her...well that accounted for really only about $500K of her first year, and she did similar numbers in her second year with a slight increase of a few hundred thousand due to sundries increasing.
But her, and several others who had reached that magical 2-3 year mark...were still well below the 2-2.5 million that one needs to earn a good living ($80K or more earnings) as a commissioned only rep...
They were all pulling their hair out...because they knew they wouldnt make it.
** (Perhaps this is another reason why Patterson is looking for more Rookies...because the smart ones left after 3 years seeing the writing on the wall...its a continual churn with Patterson rookies)
Why is this? Well, as I wrote above: Dental Markets are MATURE...and the good accounts are long gone, repped by the senior reps, or by Shein, or other competitors....
With the proliferation of dental practices buying their sundries from online or cutline distributors... you will find as a new rookie...HOLY COW...PATTERSONS SUPPLIES ARE TYPICALLY 30-40% HIGHER THAN WHAT THEY ARE PAYING ELSEWHERE!!!! HOW DO I COMPETE WITH THAT??
You will find yourself trying to "Price Match" ... using Patterson Private Label brands (aka the generic stuff that Patterson pays other manufacturers to use) and trying to match those with the name brand items that your assigned accounts are currently paying 30-45% less from other dealers!
This will drive you nuts. You will find yourself spending hours and hours and hours going through your accounts sundry lists and trying to find an equivalent, that Patterson sells that is a comparable price (most often you will trying to plug the Private Label stuff because there is no way Patterson will match prices on the known label stuff)...
Your accounts simply will not accept that... and your Patterson Branch Manager, who typically is a pompous d-bag will be telling you "sell Cerec and Adec...those are the quickest ways to build your territory...blah blah blah... " while at the same time wondering why your sundry accounts are not growing...
This is why Patterson's sales are 70% equipment and only 30% supplies... there is no way a dental office will pay Patterson prices in this economy, unless they are already hooked in with Cerec, and a veteran rep who has been servicing their account for years and years...
well as a Rookie...you are not going to have this luxury...and will you be able to build those kind of numbers and relationships in 3 years, walking off the street from another non-dental industry? doubtful.... very doubtful unless you have a veteran rep who is retiring and will throw you his/her accounts...
In fact, the only way that a veteran sales rep should even consider Patterson...is if they already have a pipeline, iron clad agreement with a rep who is retiring who will turn over their accounts to them...
and...this wont happen if you are already not plugged in elsewhere as a dental rep with Dentsply etc... the Patterson dBag Branch Manager will not allow that transfer to happen to someone walking in off the street... he will otherwise just turn those accounts over to other veteran reps...
do you see the catch 22 here? Take a rookie job with patterson and you will be fighting an uphill climb vs. a) dbag Branch Manager who is not looking out for your best intrests b) declining sundry market share due to overpricing and non competitiveness c) the push for you to focus on Cerec and Equipment...which will take you at least one good year to get up to speed on alone d) the general sliminess that goes with the entire dealer sales industry... the under handed deals, sneakiness, even within your own branch....
its a losing proposition...and only one that you should take as a veteran sales rep in other industries...if you have no other choice and need a few months of guaranteed salary.... that is just how it is.