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ElevenLabs implemented a controversial 20x quota-to-OTE ratio. The key to success was leadership's public commitment to fairness: if quotas proved unattainable due to market changes, they would be lowered. This trust attracted top performers and enabled reps to hit 300-600% of their ambitious targets.

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VP of Sales Carles Reina sets a sales quota of 20 times a rep's base salary (e.g., $2M quota for $100k base), far above the 6-10x industry standard. Reps who don't hit their quota are let go, creating a high-performance culture where over 80% succeed.

Quotas shouldn't be used as a false comfort to cover a revenue target. Instead, they should philosophically reflect the work's difficulty. Harder, strategic sales motions—like Figma's—deserve more achievable quotas (e.g., 3-4x OTE) to reward and retain top talent capable of that complex work.

Companies set quotas as revenue targets, but for most reps, these become mental limits. Top performers ignore these external lag indicators and instead focus on their own internal lead indicators and what is possible, which allows them to consistently shatter perceived limitations and redefine success.

At ElevenLabs, top-performing account executives refuse salary increases, preferring equity instead. A higher base salary would increase their 20x quota, making it harder to reach the lucrative 1.5x and 2x commission accelerators for overperformance. This is a powerful, non-obvious incentive alignment.

A high, seemingly unreachable quota can fuel an overachiever's drive, leading to increased activity. However, for many reps, the same target is demotivating, causing them to disengage. Leaders must tailor motivational strategies to individual personalities rather than applying a one-size-fits-all approach to quota.

The most effective way for a salesperson to challenge a perceived unfair quota is not through complaints, but through data. By presenting an analysis of their own average deal size, sales cycle length, and win rates, they can build a logical case for what is achievable and force a more constructive conversation with leadership.

Simply hitting 100% of your individual sales quota is insufficient for team success. Top performers must aim for "100 plus X" to compensate for colleagues who will inevitably miss their targets. This demonstrates strategic value and helps ensure the manager's overall number is met.

The cost of setting quotas too high is catastrophic: you demoralize and lose your A-player sales team. The cost of setting them too low is manageable: you overspend on commissions but exceed targets and retain a motivated team. The latter can be adjusted; the former is an unrecoverable error.

To make quotas feel achievable and generate true buy-in, leaders must go beyond assigning a number. Break the quota into a tangible plan by defining the required number of deals at different size bands (e.g., $150k, $500k) and then mapping them to specific target accounts in the rep's territory.

ElevenLabs sets an extreme 20x sales quota, far above the industry standard, to challenge and attract the very best salespeople. Generous commission accelerators are justified because each $1M in revenue adds an estimated $33M in enterprise value, making it a no-brainer to reward over-performance heavily.