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Salary Benchmarking To Ensure Competitive Compensation

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Salary benchmarking

Salary benchmarking is the systematic process of comparing an organization’s pay rates, bonus programs, and total rewards against market standards. This article walks through why benchmarking matters, how to prepare and run an analysis, the best data sources and tools, and how to turn findings into defensible pay structures and ongoing processes.

Why Salary Benchmarking Matters For Online Businesses And Agencies

Without benchmarking, organizations risk three costly outcomes: underpaying (leading to high turnover and loss of institutional knowledge), overpaying (inflating fixed costs and reducing agility), or misallocating compensation across roles (creating internal inequities and morale problems).

For agencies that pitch retainer-driven services, predictable labor costs tied to market rates enable healthier margins and clearer pricing decisions. For in-house ecommerce teams, benchmarking supports workforce planning when launching new product lines or scaling paid acquisition efforts.

Finally, benchmarking is not only financial: it signals professionalism to candidates.

Key Data Sources And Tools For Accurate Benchmarks

High-quality benchmarking blends public data, commercial platforms, and human intelligence.

Public Government And Aggregated Salary Data

Bureau of Labor Statistics (BLS) or national equivalents provide reliable occupational wage ranges, useful for baseline comparisons and compliance checks.

Industry Surveys, Salary Platforms, And Niche Reports

Platforms such as Payscale, Glassdoor, LinkedIn Salary, and specialized reports for marketing and tech roles give role- and location-specific distributions.

Recruiter Intelligence And Peer Networks

Recruiters and hiring agencies provide real-time insight into candidate expectations and accepted offers. Professional networks, Slack communities, and agency owner peer groups can also offer current market anecdotes that databases miss.

Internal Payroll Data And Turnover Metrics

Historical payroll, hiring velocity, offer-acceptance rates, and exit interview themes help normalize market data against internal realities. Using multiple inputs helps find a defensible midpoint.

How To Conduct A Benchmark Analysis Step By Step

A repeatable process keeps benchmarking actionable and defensible.

  1. Gather data from at least three sources: one government/aggregate, one commercial salary platform, and one recruiter/peer input.
  2. Normalize data for location and experience. Convert salaries to equivalent cost-of-living or remote-adjusted values if the company has distributed teams.
  3. Adjust for total compensation. Include expected bonus, commissions, equity, and benefits to compare total rewards, not just base pay.
  4. Build a comparison table with target percentiles (25th, 50th, 75th) for each role and highlight gaps vs. current pay.
  5. Prioritize changes. Use a matrix that weighs business impact, retention risk, and budget feasibility to recommend immediate, near-term, and deferred adjustments.

This framework produces a clear narrative: where pay is behind, how much closing the gap will cost, and which adjustments will most protect revenue and client delivery.

Translating Benchmark Results Into Pay Structures And Budgets

Benchmark results must become predictable pay structures.

Normalize Data For Location, Experience, And Role Level

Apply consistent location multipliers and level definitions (junior, mid, senior, lead) so internal fairness stands up to scrutiny.

Build Pay Bands, Ranges, And Target Percentiles

Create bands with minimums, midpoints, and maximums tied to the chosen target percentiles. Bands help managers make consistent offer decisions and reduce bias.

Model Total Cost Of Hire And Budget Impact

Factor in employer taxes, benefits, onboarding costs, and ramp time. Present scenarios that show both absolute costs and return-on-investment when a higher-paid senior reduces client churn or improves campaign ROI.

Design Salary Bands, Bonus Structures, And Noncash Benefits

Consider sales- or performance-linked bonuses for account managers and revenue-attributed roles. Align Compensation To Performance, Retention, And Career Paths

Tie movements within bands to objective competency milestones (e.g., “strategic link acquisition that improves DR by X points” or “reduced time-to-rank for client cohort”), creating transparent merit progression that drives retention.

Communicating, Implementing, And Ensuring Pay Equity

Change management is as important as the numbers.

Gain Leadership Buy-In And Set Change Management Steps

Present benchmarking findings with clear ROI scenarios and phased implementation options. Leadership will respond to cost/benefit clarity, show how targeted raises stabilize revenue-generating roles.

Communicate Changes To Employees And Handle Pushback

Be transparent about methodology and timelines. Provide managers with scripts explaining why adjustments are happening and how employees can progress to higher bands.

Document Compliance, Pay Equity, And Recordkeeping Practices

Maintain audit-ready records of data sources, decision rationales, and salary matrices. Regularly run pay-equity checks by gender, race, and tenure to avoid legal and moral risks.

Thoughtful communication reduces rumors and ensures raises are seen as strategic investments, not arbitrary rewards.

Ongoing Monitoring: KPIs, Review Cadence, And Market Adjustments

Benchmarking isn’t a one-off. It requires monitoring and simple KPIs.

Track Competitive Positioning, Turnover, And Time To Fill

KPIs should include average comp vs. market percentile, voluntary turnover by role, offer-acceptance rate, and time-to-fill for critical positions. These metrics signal when the market has shifted.

Schedule Regular Reviews And Trigger-Based Market Rechecks

A typical cadence is an annual formal benchmark with quarterly spot checks for priority roles. Trigger-based rechecks, when turnover spikes, when offer-acceptance drops below a threshold, or when the market is disrupted, keep pay competitive between formal cycles.

With a small set of KPIs and a clear review cadence, agencies and online businesses can avoid reactive panic hires and keep compensation aligned with strategy and market reality.

Conclusion

Salary benchmarking equips online businesses and agencies to hire and retain the right talent without sacrificing profitability. When done well, benchmarking clarifies where to invest, makes offers defensible, and reduces turnover among roles that materially affect client outcomes and rankings.

Dipo Olowookere is a journalist based in Nigeria that has passion for reporting business news stories. At his leisure time, he watches football and supports 3SC of Ibadan. Mr Olowookere can be reached via [email protected]

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Alleged N36m Fraud: EFCC Arraigns Blessing CEO

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Blessing CEO EFCC

By Modupe Gbadeyanka

A social media influencer, Ms Okoro Blessing Nkiruka, also known as Blessing CEO, has been arraigned by the Economic and Financial Crimes Commission (EFCC).

The self-styled relationship therapist was brought before Justice D.I. Dipeolu of the Federal High Court sitting in Ikoyi, Lagos, on Friday, May 15, 2026, over an alleged N36 million fraud.

The EFCC, in a statement today, said Blessing CEO is facing a two-count charge bordering on obtaining money by false pretence and stealing to the tune of N36.0 million.

“That you, OKORO BLESSING NKIRUKA, between July 14 and 17, 2024, in Lagos, within the jurisdiction of this court, did obtain the sum of N36,000,000.00 from Mrs Ifeyinwa Nonye Okoye under the false pretence of leasing a six-bedroom detached duplex situated at No. 1B, Tunbosun Osobu Street, Off Kuboye Road, Lekki, Lagos State, which representation you knew to be false, and you thereby committed an offence contrary to Section 1(3) of the Advance Fee Fraud and Other Fraud Related Offences Act, 2006,” one of the charges read.

“That you, OKORO BLESSING NKIRUKA, between July 14 and 17, 2024, in Lagos, within the jurisdiction of this court, fraudulently converted to your own use the sum of N36,000,000.00 property of Mrs Ifeyinwa Nonye Okoye, and you thereby committed an offence contrary to Section 383 and punishable under Section 390 of the Criminal Code Act, Cap C38, Laws of the Federation of Nigeria, 2004,” another charge read.

At the commencement of proceedings, the defence counsel, Mr P.I. Nwafor, informed the court that the defendant had refunded part of the money to the petitioner.

“We have an application to make. The defendant approached the nominal complainant and refunded N24 million out of the N36 million.

“We are asking for a short adjournment to resolve the outstanding balance. The nominal complainant agreed that if the balance is paid, they can prevail on the EFCC to drop the case,” he said.

Responding, the prosecution counsel, Mr S.I. Suleiman, stated that the prosecution was not privy to any discussion between the defendant and the nominal complainant.

“The complainant here is the Federal Government of Nigeria, and we are here for the arraignment. We urge that the defendant take her plea, as that is the business of the day,” he said.

In his ruling, Justice Dipeolu held that “the defence and the nominal complainant can have discussions even during the pendency of the charge. It does not affect the proceedings before the court. The defendant will take her plea.”

After pleading not guilty, the prosecuting counsel applied for a trial date and prayed the court to remand her in a correctional facility pending trial.

But the defendant’s counsel informed the court that his client had only been served with the charge on Thursday, May 14, 2026, and that efforts were ongoing to file her bail application.

He, therefore, prayed that the defendant be remanded in EFCC custody pending the perfection of her bail conditions. This plea was granted, while the matter was adjourned till June 5, 2026, for the commencement of the trial.

Blessing CEO EFCC1

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Maryland Mall Lagos Opens Bidding for Investors in Major Property Sale

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Maryland Mall Lagos

By Adedapo Adesanya

Maryland Mall, one of the prominent retail and entertainment centres located in Lagos, has been put up for acquisition.

In what is shaping up to be a competitive bidding process targeted at qualified investors, the offering coordinated by Broll Property Services in partnership with Renaissance Capital Africa describes the property as a “high-yield income-generating investment” situated in a prime commercial corridor within the commercial capital.

According to details contained in the investment teaser seen by Business Post, interested investors are expected to submit expressions of interest before proceeding to due diligence and final bid submissions.

Final bid submissions are scheduled to close by 12 pm on Monday, June 30, 2026, according to the advisory firms.

The sale process is expected to attract interest from institutional investors, private equity firms, real estate funds and high-net-worth investors seeking exposure to Lagos’ commercial property market.

The mall, strategically located along a major road network in Maryland, boasts strong visibility and accessibility, factors considered critical in retail real estate performance.

The document disclosed that the facility, which hosts facilities like Genesis Cinema and Workstation, currently maintains an occupancy rate of 87 per cent and is professionally managed to maintain operational standards.

However, people who frequent the facility told our correspondent that the facility has faced several operational challenges. This development presents challenges for potential investors who will likely scrutinise factors such as tenant sustainability, operating costs, power expenses and consumer spending trends before making final commitments.

Under the outlined transaction process, shortlisted bidders will enter negotiations following due diligence and submission of financial offers.

Launched in June 2016 by Mr Akinwunmi Ambode, the then governor of Lagos State and Mr Atedo Peterside, Chairman of Stanbic IBTC, Maryland Mall boasts the largest outdoor LED screen in West Africa, under Purple Group’s management.

In 2020, the company officially rebranded the mall from Maryland Mall to Purple Maryland as part of its broader lifestyle and mixed-use real estate strategy.  However, due to some macroeconomic headwinds, the company fell into a receivership in October 2023, with Mr Richard Ayodele Akintunde named the Receiver Manager.

Years ago, the management agreement between Purple Group and the receiver manager was terminated, and Broll was appointed the new Facility Manager.

Maryland Mall Lagos

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UK Strengthens Ties With Kano, Jigawa on Sustainable Development

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UK Kano Jigawa

By Adedapo Adesanya

The United Kingdom has reaffirmed its development partnership with Kano and Jigawa States, as part of its long-term commitment to development and reform in northern Nigeria.

The Head of Development Cooperation at the British High Commission Abuja, Ms Cynthia Rowe, recently completed high-level engagements with governors of both states as well as senior government officials and civil society leaders.

The discussions underscored the UK’s modern approach to development as a genuine partnership with Nigeria, which prioritises state-led ownership and sustainable development that delivers lasting impact through strengthening systems and partnerships grounded in investment, trade, climate financing, technical expertise and joint accountability.

According to a statement, the Foreign Commonwealth and Development Office, via the British High Commission, said Nigeria remains one of the UK’s most significant development partners, adding that the engagements underlined the strength and ambition of the bilateral relationship reaffirmed during the recent UK-Nigeria State Visit.

In Kano, Ms Rowe met with Deputy Governor Alhaji Murtala Sule Garo and senior officials, including the newly confirmed Head of Civil Service and Secretary to the State Government. The visit recognised Kano’s progress on climate finance, health system reform and private sector investment supported through UK technical assistance.

In Jigawa, she met with Governor Umar Namadi and heads of key ministries, departments and agencies. The meeting celebrated more than 25 years of UK-Jigawa partnership, one of the most longstanding bilateral development relationships at the subnational level in Nigeria. Discussions covered the state’s continued progress on health systems reform, agriculture, and governance and the path forward under UK technical assistance.

Since 2022, PLANE has supported Kano, Kaduna and Jigawa to strengthen state-led education delivery systems, working through Ministries of Education, SUBEB and key agencies. Its RANA+ foundational learning packages have reached 1.4 million pupils across the three states, alongside wider system strengthening.

Speaking on this, Ms Rowe said, “For more than 25 years, we have worked side by side with state governments, including Jigawa and Kano states, their communities, and civil society to build stronger health systems, improve learning outcomes for millions of children, support farmers to grow their businesses, and help states attract the investment they need to thrive.

These visits have reinforced our confidence in what this partnership can achieve. We are working together to deliver lasting change, and deepening a relationship built on genuine mutual respect and shared ambition for Nigeria’s growth and development.”

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