Author Topic: Pay Cut / Switching Industries  (Read 2887 times)

mastrr

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Pay Cut / Switching Industries
« on: September 05, 2015, 10:13:48 PM »
I've been weighing the pro's and con's of switching industries for my job.  I currently work as an outside sales rep and make around $70k in total compensation (base + average year commission).  However, with my current company I am somewhat capped with small percentage increases in pay every year.  I would like to get into IT sales that includes selling software and hardware.  This industry will continue to explode for years to come and the switch may pay off when thinking long term.  I know a minuscule amount about the products so I would have to start at a entry level position which would most likely be inside sales.  I've done inside sales previously and it is something I excel at.  In that role average compensation is around $50k with the high probability of making less than that the first year or two.  The payoff would take when the next promotion happens as "seasoned" reps are making over $100k.  I then also would have the ability to do outside sales again.

Because these details are relevant in the decision making process...27 years old, single , $130k net worth, savings rate of 35% with opportunity to improve.  My base salary take home per month after tax, 401k contributions, and misc deductions is around $2,800.

Thoughts on the situation?  Any experience in the industry would be great. 

The MMM in me is saying don't do it but I like placing bets on myself to be successful.
« Last Edit: September 05, 2015, 10:17:33 PM by mastrr »

big_slacker

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Re: Pay Cut / Switching Industries
« Reply #1 on: September 06, 2015, 02:12:22 PM »
Well, you're right to not try to go outside right away. IT people *HATE* sales guys that don't have at least enough tech background to tell them why they should buy 'X' widget other than the data sheet you got handed. Some shops might be nice, but techs and even tech decision makers (managers, directors, C level) can and will throw the entire reseller out if you come in clueless.

No one expects a sales guy to code software, but you really do need to know a little bit about the entire IT forest as opposed to tree you're selling. The downside of tech is that just like the engineers you're a shark. New tech, every freakin day. Stop swimming and you die.

I'd say that there is HUGE opportunity in IT sales. I worked for a reseller for the last 4 years (as an engineering resource, but I worked with sales regularly as a subject matter expert) and yes Jr. guys might not make a lot. But I know I was offered mid 100's as a sales engineer and that's a higher base but a lower commission. The tops sales guys in our office do VERY well.

If you can handle the grind not just of selling but keeping up with the constant change then I would say go for it. Especially considering you're already outside sales and just need to learn the ropes. If you do it, buddy buddy with the sales engineers, they'll get able to give you enough conceptual knowledge of the technology without drowning you in details.

mastrr

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Re: Pay Cut / Switching Industries
« Reply #2 on: September 06, 2015, 07:37:18 PM »
Well, you're right to not try to go outside right away. IT people *HATE* sales guys that don't have at least enough tech background to tell them why they should buy 'X' widget other than the data sheet you got handed. Some shops might be nice, but techs and even tech decision makers (managers, directors, C level) can and will throw the entire reseller out if you come in clueless.

No one expects a sales guy to code software, but you really do need to know a little bit about the entire IT forest as opposed to tree you're selling. The downside of tech is that just like the engineers you're a shark. New tech, every freakin day. Stop swimming and you die.

I'd say that there is HUGE opportunity in IT sales. I worked for a reseller for the last 4 years (as an engineering resource, but I worked with sales regularly as a subject matter expert) and yes Jr. guys might not make a lot. But I know I was offered mid 100's as a sales engineer and that's a higher base but a lower commission. The tops sales guys in our office do VERY well.

If you can handle the grind not just of selling but keeping up with the constant change then I would say go for it. Especially considering you're already outside sales and just need to learn the ropes. If you do it, buddy buddy with the sales engineers, they'll get able to give you enough conceptual knowledge of the technology without drowning you in details.

Thanks for the insight, I'm glad that you see a large upside for the industry.  I'm still torn but I do see the benefit in going for it.

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Re: Pay Cut / Switching Industries
« Reply #3 on: September 07, 2015, 06:53:34 PM »
I've been weighing the pro's and con's of switching industries for my job.  I currently work as an outside sales rep and make around $70k in total compensation (base + average year commission).  However, with my current company I am somewhat capped with small percentage increases in pay every year.  I would like to get into IT sales that includes selling software and hardware.  This industry will continue to explode for years to come and the switch may pay off when thinking long term.  I know a minuscule amount about the products so I would have to start at a entry level position which would most likely be inside sales.  I've done inside sales previously and it is something I excel at.  In that role average compensation is around $50k with the high probability of making less than that the first year or two.  The payoff would take when the next promotion happens as "seasoned" reps are making over $100k.  I then also would have the ability to do outside sales again.

Because these details are relevant in the decision making process...27 years old, single , $130k net worth, savings rate of 35% with opportunity to improve.  My base salary take home per month after tax, 401k contributions, and misc deductions is around $2,800.

Thoughts on the situation?  Any experience in the industry would be great. 

The MMM in me is saying don't do it but I like placing bets on myself to be successful.

To really give you proper feedback, one would need to know what your life goal priorities are.  Long term career growth or early-as-possible retirement?  If early retirement, at what spending level?  What value do you put on job satisfaction?  And do you believe you will have much more of that if you do switch industries? Those are just some of the basic criteria one would need to know before expressing an opinion on your question.

But, anyway, good luck.