Incentives are additional income that every sales representative gets in case a business is provided by them to the company. Every corporate uses either its own in-built software or generally spread sheets to manage the incentives to be given. Sales people keep following up with this spreadsheet to make sure that their incentives aren’t missed out. If the incentive management is automated, it will eliminate the time taken by the sales people in always double checking their incentive scheme. Incentive management system is provided as an additional feature of the sales force automation scheme of web based CRM software. In the automated system, the commissions are visible both to the sales representative as well as to their managers and it also gives additional information regarding how much of the target is achieved and how much is yet to be achieved. Since the system is automated any change in the commission structure can be easily applied to all members by making a single change in the formula. It also makes possible to view the commissions on different basis like profit made on the product sold, quantity of sales, total amount made by selling, services sold and percentage of target achieved. This feature helps in analyzing the performance of sales team on different basis and can help to work out customer preference also.