D2D glossary / How reps get paid
What is a cancellation rate in door-to-door sales?
Cancellation rate: Your cancellation rate is the share of your signed sales that cancel before or shortly after installation or first service. It decides how much of your sold commission you actually keep.
Every door-to-door sale carries a cancellation right, and some customers use it. Others cancel later, fail a credit check or never schedule the install. Companies track each rep's rate because canceled deals cost them money and signal how the rep is selling.
A low cancellation rate comes from how you sell: setting honest expectations, making sure every decision-maker is present, and confirming the customer understands the price and the term. Many pay plans tie tiers, back-end pay and chargebacks to this number.
Ask before you sign
What is the team's average cancellation rate, and how does mine affect my pay?
Related terms
Read next
Cancellation rate: quick answers
What is a cancellation rate in door-to-door sales?
Your cancellation rate is the share of your signed sales that cancel before or shortly after installation or first service. It decides how much of your sold commission you actually keep.
What should I ask a company about cancellation rates?
Ask this before you sign: "What is the team's average cancellation rate, and how does mine affect my pay?" Get the answer in writing, in the rep agreement or the pay plan.