A solar salesman typically earns a commission of 3-7% of the total cost of a solar panel installation, depending on the company and size of the project. This can result in a significant income for successful salespeople in the industry.

Selling solar panels has become a lucrative career for many people in recent years, as more and more homeowners and businesses are looking to reduce their carbon footprint and save money on their energy bills. One of the key factors in determining how much money a solar salesman can make is the commission they receive on each sale. In this article, we will break down how much commission a solar salesman typically makes and what factors can influence their earnings.

Commission Structure

The commission structure for solar salespeople can vary depending on the company they work for and the type of sales they are making. In general, solar salespeople earn a commission based on the total value of the solar system they sell. This commission can range from 5% to 10% of the total sale price, but some companies may offer higher commissions for top performers.

For example, if a residential solar system costs $20,000, a salesperson who earns a 7% commission would make $1,400 on that sale. If they sell multiple systems in a month, their earnings can quickly add up.

Additionally, some companies may offer bonuses or incentives for reaching certain sales targets or closing a certain number of deals within a specific time frame. These additional rewards can significantly boost a salesperson's earnings and provide motivation to excel in their role.

Factors Influencing Commission

Several factors can influence how much commission a solar salesman makes, including the size and type of the solar system they are selling, the location of the sale, and their personal sales skills.

Size and Type of Solar System: The larger and more expensive the solar system, the higher the commission a salesperson will earn. Commercial solar installations, for example, can cost hundreds of thousands of dollars, resulting in larger commissions for salespeople. Additionally, more complex systems with advanced technology or additional features may also result in higher commissions.

Location: The location of the sale can also impact a salesperson's commission. In states or regions with higher electricity rates or strong incentives for solar, salespeople may be able to sell larger systems at higher prices, resulting in larger commissions. Conversely, in areas with lower electricity rates or less favorable solar conditions, salespeople may need to work harder to secure sales and earn their commission.

Sales Skills: Ultimately, a salesperson's skills and experience play a significant role in how much commission they can earn. A top-performing salesperson who excels at building relationships, identifying customer needs, and closing deals is likely to earn higher commissions than a less experienced or lower-performing salesperson. Salespeople who continually meet or exceed their targets may also be eligible for promotions or additional rewards, further enhancing their earning potential.

Industry Outlook

The solar industry is one of the fastest-growing sectors in the United States, with demand for solar energy continuing to rise as consumers and businesses seek to reduce their carbon footprint and lower their energy costs. According to the Solar Energy Industries Association (SEIA), the solar industry added over 19,000 jobs in 2020 despite the challenges of the COVID-19 pandemic, highlighting the resilience and growth potential of the sector.

As the industry continues to expand, the demand for skilled solar salespeople is expected to increase, creating more opportunities for individuals looking to pursue a career in solar sales. In addition to earning competitive commissions, solar salespeople also have the satisfaction of knowing that they are contributing to a cleaner, more sustainable energy future.

Conclusion

In conclusion, solar salespeople have the potential to earn a significant income through commissions on the solar systems they sell. The commission structure for solar sales varies depending on the company, location, and salesperson's skills, but top performers can earn substantial rewards for their efforts.

As the solar industry continues to grow and evolve, the demand for skilled salespeople is expected to increase, providing ample opportunities for individuals looking to carve out a successful career in solar sales. By honing their sales skills, building relationships with customers, and staying informed about industry trends, solar salespeople can maximize their earning potential and make a positive impact on the transition to a more sustainable energy future.