SPIFs: Short-Term Sales Fuel
Keeping with last week’s theme around Sales, we’re staying focused and talking about SPIFs.
For the last 25 years, I’ve had a real passion for sales. But when I started my career, I wasn’t sure it was for me. My opinion had been framed by manipulation, pressure tactics, and icky experiences from pushy sellers like telemarketing or door-to-door stuff.
But then I learnt how to sell without any of the yuck stuff.
- Identify the problem.
- Quantify the impact of that problem.
- Align a solution that fixes it.
That’s selling.
I love the finite outcome. It’s black and white.
One sales tool that creates real leverage when used properly is the SPIF, particularly amongst your team if they are non-sellers:
What is a SPIF?
SPIF stands for:
Sales Performance Incentive Fund
It’s a short-term, targeted incentive designed to drive specific sales behaviour.
The motivation for this week’s post came from my sister and brother-in-law (also EBS clients), as well as a hairdressing client who has been absolutely killing it over the last 18 months.
When to use a SPIF
A SPIF is a short-term targeted incentive used to drive specific sales behaviour. It’s typically layered on top of standard commissions or bonuses and is designed to create focus, urgency and momentum around a particular product, service or timeframe.
Businesses use SPIFs to:
- Clear excess stock
- Launch a new product
- Lift performance in a slow quarter
- Drive upsell or cross-sell behaviour
- Shift focus toward a higher-margin service
- Create urgency around a campaign
They create temporary intensity around a defined priority.
Why SPIFs Work
Teams respond to, clear targets, short timelines, visible rewards & competitive energy and enthusiasm.
A SPIF creates focus.
It says:
“For the next 30 days, this is the priority.”
When structured properly, it can shift revenue mix and margin in profound ways because fixed costs are already absorbed in business-as-usual operations. What you’re really influencing is contribution margin and at EBS we really like that leverage.
How to Use SPIFs Properly
- Keep them short – 2–6 weeks is ideal. Too long and they lose energy.
- Tie them to profitable behaviour – Don’t reward revenue alone. Reward margin, product mix, or strategic outcomes.
- Make them visible – Leaderboards. Weekly updates. Recognition.
- Keep rewards meaningful – Cash works. Experiences work. Public recognition works.
- Avoid creating bad habits – If your team only sells what’s incentivised, you’ve built the wrong culture.
The Bigger Picture
Last week we talked about Strike Rate and Win Value percentage and how they tell you how effective your sales engine is.
SPIFs are levers you can pull when you need acceleration.
But the big picture lesson is:
Metrics tell you what’s happening.
Incentives shape behaviour around what happens next.
If you’re serious about growth, you don’t just hope sales improve.
You test, measure and adjust behaviour and strategies deliberately.
Do that consistently and you’ll drive outcomes.
Cheers,
Darren Gloster
CEO – Australia & New Zealand
Entrepreneurial Business School
