Activity Quota

AAA

DEFINITION of 'Activity Quota'

A minimum level of sales-oriented actions that must be met by a salesperson during a given time period. An activity quota may require a salesperson to make a certain number of outbound calls, send a certain number of emails to potential clients or submit a certain number of statements of work. The quota is not typically based directly on a revenue figure requirement, but is related to the actions that lead to a sale being made.

INVESTOPEDIA EXPLAINS 'Activity Quota'

Activity quotas are often used in situations in which salespeople have to contact potential clients. The quota is designed to ensure that the salesperson is making a minimum level of effort to attract new clients, and employers may reward employees who surpass the activity quota as an incentive to put in more effort.

RELATED TERMS
  1. Warm Calling

    The solicitation of a potential customer with whom a sales representative ...
  2. Commission

    A service charge assessed by a broker or investment advisor in ...
  3. Cold Calling

    The solicitation of potential customers who were not anticipating ...
  4. Boiler Room

    A place where high-pressure salespeople use banks of telephones ...
  5. Dialing and Smiling

    A telemarketing technique in which unsolicited, or "cold" calls, ...
  6. Broker

    1. An individual or firm that charges a fee or commission for ...
Related Articles
  1. Personal Finance

    How To Identify A Micro-Cap Scam

    Discover how to distinguish a real investment opportunity from a fraudulent one.
  2. Professionals

    How To Target Ideal Customers

    Expand your definition of a lucrative client and uncover a new realm of possibilities.
  3. Professionals

    Tips For Fitting In At Your Brokerage Firm

    Part of starting a successful career as a broker is finding the right place to work.
  4. Brokers

    Alternatives To The Cold Call

    Want to build your business as a financial professional? We provide some choice advice.
  5. Retirement

    Cold Call Without Getting The Cold Shoulder

    Learn how to warm up prospective clients to your business and your abilities.
  6. Professionals

    Swim With The Sharks As A Stockbroker

    This job takes guts, hard work and a predator's instincts. Do you have what it takes?
  7. Economics

    What is Value Added?

    Value added is used to describe instances where a firm takes a product and adds a feature that gives customers a greater sense of value.
  8. Economics

    What is a Wholly Owned Subsidiary?

    A company whose common stock is 100% owned by another company, called the parent company.
  9. Economics

    What is the Breakeven Point?

    In general, when gains or revenue earned equals the money spent to earn the gains or revenue, you’ve hit the breakeven point.
  10. Investing

    What's Marginal Revenue?

    In microeconomics, marginal revenue is the additional revenue generated by increasing sales revenue by one unit. Another way of saying this is that the marginal revenue is the revenue generated ...

You May Also Like

Hot Definitions
  1. Interest Rate Risk

    The risk that an investment's value will change due to a change in the absolute level of interest rates, in the spread between ...
  2. Income Effect

    In the context of economic theory, the income effect is the change in an individual's or economy's income and how that change ...
  3. Price-To-Sales Ratio - PSR

    A valuation ratio that compares a company’s stock price to its revenues. The price-to-sales ratio is an indicator of the ...
  4. Hurdle Rate

    The minimum rate of return on a project or investment required by a manager or investor. In order to compensate for risk, ...
  5. Market Value

    The price an asset would fetch in the marketplace. Market value is also commonly used to refer to the market capitalization ...
  6. Preference Shares

    Company stock with dividends that are paid to shareholders before common stock dividends are paid out. In the event of a ...
Trading Center