Dive into the role of a software sales representative and how factors such as the company you work for, your location, your credentials, and potential commission earnings can impact your software sales salary.
Creating relationships is fundamental in software sales jobs, and it involves technical know-how and sales skills. Combining them in this unique sales role can bring excellent salary possibilities.
As a software sales representative, you'll introduce technology products and software solutions, including software as a service (SaaS), to individuals and organizations with the goal of making sales. The typical salary for this role varies considerably depending on the commission structure in your organization and the product you sell.
Read on to learn more about the factors that contribute to the highest salaries, which will give you an idea of what you might expect to make and how to maximize your earning power.
Read more: SaaS Sales: A Guide to the Growing Sales Industry
Software sales is a career based on selling software and technical products to consumers and businesses. Software sales representatives work with customers, businesses, and organizations, helping them assess their needs and then sell a product to meet them.
Today, that often means selling access to SaaS or platform as a service (PaaS), subscription-based products that provide high degrees of access for customers. They often also have a long sales cycle for sales professionals, which means you’ll spend a lot of time building relationships with potential customers and understanding their needs to match them with the software products that best support them. The process can involve multiple salespeople working in several different roles.
According to the US Bureau of Labor Statistics, sales representatives for computer systems design and related services earn a median total pay of $110,900 [1]. When comparing that to the data from several reliable job listing sites, the average software sales base salary ranges from more than $55,000 to over $85,000. Those salaries reflect annual base earnings. Commissions, bonuses, and other income sources could add a substantial amount, ranging from $65,000 to $120,000 annually.
Average annual salary information from four websites are as follows [2,3,4,5]:
Payscale | Zippia | Glassdoor | ZipRecruiter |
---|---|---|---|
$57,489 | $82,188 | $87,135 | $63,500 |
*All salary data current as of January 2025
Software sales salary varies depending on who you work for. Some organizations, like big tech companies, have a reputation for paying very well compared to small start-ups.
The following lists some of the top software sales companies and their average annual US salaries, according to Glassdoor [4]. You may notice these salaries are considerably higher than those noted in the table above as they represent the median total pay.
Microsoft: $221,000
VMware: $212,000
BMC Software: $174,000
Oracle: $186,000
Hewlett Packard: $228,000
Dell Technologies: $147,000
IBM: $238,000
Aside from who you work for, factors influencing the salary you can take home as a software sales rep include your experience, education, relevant sales skills, geographical location, and available commission structure.
Let’s examine each factor in more detail to understand better its impact and what it might mean for you.
To work as a software sales representative, consider a bachelor’s degree in a relevant subject such as business, marketing, or a technical major like computer science.
Selecting a minor to make sure you cover all bases can be helpful. If you have chosen a business subject for a major, your minor might be something more technical, and vice versa.
According to Zippia, 72 percent of software sales reps have a bachelor’s degree, and 7 percent continue to study for a master’s degree. Roughly 11 percent hold an associate degree and just 6 percent have only a high school diploma [6]. The average annual salary you can expect according to your degree type is as follows [6]:
High school diploma or less | $71,418 |
---|---|
Associate degree | $73,750 |
Bachelor’s degree | $90,334 |
Master’s degree | $99,098 |
The amount of experience you have can also affect what you earn. You’ll discover specific skills you can develop to grow as a software sales representative, and experience is often a straightforward way to gain these.
Sales experience in any industry or field could open the door to some of the highest-paying positions. You’ll also likely gain a leg up by understanding the software and products you are selling, which may include technical knowledge. Workplace skills are also necessary, such as friendliness and rapport building, and you can hone these through experience.
If you are studying for a degree, you might consider an internship to build experience and demonstrate your essential sales skills.
Software sales salaries at different levels of your career are below [3]:
Entry-level: $65,737
Mid-career: $84,693
Senior-level: $135,288
Read more: Sales Techniques and Other Useful Information for Salespeople
Your salary will likely be highly affected by your ability to make a commission. Commission structures vary from company to company, but you usually receive a base salary with a commission for hitting sales targets or the ability to take a percentage of contract value earned. Some companies also offer commissions in the form of bonuses, such as extra vacation time, gift vouchers, and days off.
Glassdoor reports additional pay ranging from $60,000 to $112,000 for software sales representatives. The average additional pay is estimated at $79,680 per year [4].
Where you live and work will likely impact your salary, with some areas, states, and cities paying more than others. For software sales reps, the highest-paying states and their average annual base salaries are as follows [3]:
Alaska: $104,160
Washington: $103,901
Nevada: $102,206
Wyoming: $101,856
California: $100,752
Wages for a software sales rep are highest in Alaska, considering the cost of living and the extra difficulties of working in such an environment.
Sales skills are essential in a software sales role, as workplace skills such as communication, negotiation, and relationship building are vital. However, technical skills are also helpful for recording and tracking sales and understanding the software you sell. Skills like cold calling, software lead generation, and using SaaS models are also valuable.
When it comes to salary, specific skills are worth more than others. For example, software and technical knowledge will likely increase your salary the most compared to more common sales skills like lead generation.
Within the software sales cycle, you’ll find several roles that collaborate with one another and are options for advancement within a software sales career. Examples and their associated salaries include:
Inside sales rep: $51,483
Outside sales rep: $96,112
Account executive: $83,518
Account manager: $67,622
Sales operations manager: $92,568
Sales engineer: $113,452
Regional sales director: $153,569
Vice president of sales: $170,407
Read more: Inside Sales vs. Outside Sales: How Are They Different?
*All annual base salary data is sourced from Glassdoor as of January 2025 and does not include additional pay, such as commission and benefits.
Software sales salary averages range greatly depending on your skill set, areas of interest, and geographic location. You’ll typically find high-earning opportunities and room for advancement.
If you are interested in a software sales career, consider taking an online course or earning a Professional Certificate to demonstrate your skills to future employers. A great place to start is the Salesforce Sales Operations Professional Certificate, available on Coursera.
US Bureau of Labor Statistics. “Sales Representatives of Services, https://www.bls.gov/oes/2023/may/oes413091.htm.” Accessed December 18, 2024.
Payscale. “Average Sales Representative, Software Salary, https://www.payscale.com/research/US/Job=Sales_Representative%2C_Software/Salary.” Accessed January 23, 2025.
Zippia. “Software Sales Representative Salary, https://www.zippia.com/software-sales-representative-jobs/salary/.” Accessed January 23, 2025.
Glassdoor. “How much does a Software Sales Representative make?, https://www.glassdoor.com/Salaries/software-sales-representative-salary-SRCH_KO0,29.htm.” Accessed January 23, 2025.
ZipRecruiter. “Salary: Software Sales Representative, https://www.ziprecruiter.com/Salaries/Software-Sales-Representative-Salary.” Accessed January 23, 2025.
Zippia. “Best Colleges and Majors for Software Sales Representatives, https://www.zippia.com/software-sales-representative-jobs/education/?src=chatbot_popout_displayed.” Accessed January 23, 2025.
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