Head of Commercial vs Commercial Director: Roles, Salary and When to Hire Each

Head of Commercial and Commercial Director are distinct roles with different accountability levels, reporting structures, and salary expectations. Confusing the two when briefing a recruitment search produces a misaligned candidate pool and extends time-to-hire significantly. This guide, produced by Advocate Group's specialist commercial leadership team, clarifies the differences and helps consumer goods businesses decide which role they actually need.

Key Takeaways

• A Head of Commercial typically reports into a Commercial Director or CEO and manages the commercial team without full P&L ownership at board level.
• A Commercial Director holds board-level accountability, reports directly to the CEO or MD, and owns the full customer P&L including trading terms and commercial investment decisions.
• Head of Commercial base salaries in UK consumer goods range from £65,000 to £95,000 in 2026; Commercial Director base salaries range from £90,000 to £160,000.
• The step from Head of Commercial to Commercial Director is primarily one of accountability and authority, not just seniority - the role requires board-level judgment and direct CEO relationship management.
• Businesses that conflate the two roles in a brief consistently attract candidates who fit one but not the other, extending search timelines by four to six weeks on average.

What Is a Head of Commercial?

A Head of Commercial leads the day-to-day commercial function of a consumer goods business, managing the national accounts team, overseeing customer relationships at senior level, and delivering the revenue plan within a framework set by the Commercial Director or CEO above them.

The Head of Commercial is a senior operational role. The accountability is real and the impact is significant, but the authority is bounded: trading term decisions above a set threshold require escalation, and the P&L sits with the Commercial Director or MD rather than with the Head of Commercial directly. In smaller consumer goods businesses without a Commercial Director layer, the Head of Commercial may report directly to the CEO and carry broader accountability - which means the role description must be written carefully to reflect the actual scope.

Typical Head of Commercial responsibilities:

• Manage national accounts team day-to-day performance
• Senior customer relationship management (typically at buyer or senior buyer level)
• Delivery of revenue and volume plan within trade investment budget set above
• Recruitment, development, and performance management of the commercial team
• Input into JBP development and execution, but not typically leading the process at board level

What salary does a Head of Commercial earn in 2026?

A Head of Commercial in UK consumer goods earns between £65,000 and £95,000 base salary in 2026, based on Advocate Group's placement data. Annual bonuses of 15-25% bring total cash packages to between £82,000 and £122,000. London-based roles command a 15-20% premium over equivalent positions elsewhere in the UK. For a full salary breakdown by company type and geography, refer to Advocate Group's Commercial Director Salary Guide UK 2026, which covers both Head of Commercial and Commercial Director benchmarks.

What Is a Commercial Director?

A Commercial Director owns the full commercial function of the business at board level. The role carries direct P&L accountability, reports to the CEO or MD, and holds the authority to commit the business commercially - signing off trading terms, approving major promotional investments, and leading the joint business planning process with the business's most important customers.

The Commercial Director is not a more senior version of the Head of Commercial. It's a qualitatively different role. The step up requires comfort with board-level accountability, the ability to manage up to a CEO and across to Finance, Marketing, and Supply Chain directors as peers, and the judgment to make high-stakes commercial decisions with incomplete information.

Typical Commercial Director responsibilities:

• Full customer P&L ownership across all channels
• Lead annual trading term negotiations with major customers
• Board-level commercial strategy contribution
• Direct CEO relationship management
• Cross-functional leadership across commercial, marketing, and supply chain
• Senior talent development and commercial culture leadership

When should a business hire a Head of Commercial rather than a Commercial Director?

A business should hire a Head of Commercial rather than a Commercial Director when the commercial leadership need is operational rather than strategic, when the CEO or MD is willing to maintain the senior customer relationships directly, or when the business is not yet at a stage where a board-level commercial voice is required. Start-ups and early-stage consumer goods businesses often hire a strong Head of Commercial as their first senior commercial appointment, building toward a Commercial Director hire as the business and customer portfolio grow. Advocate Group advises on the right hire for each business stage as part of the briefing process.

FAQ

Is Head of Commercial more senior than Sales Director?

Head of Commercial and Sales Director sit at a similar seniority level in most consumer goods businesses, though the scope of accountability differs. A Sales Director focuses on revenue generation through the customer-facing team. A Head of Commercial typically carries broader accountability including trade investment management, category commercial inputs, and cross-functional commercial coordination. In businesses with both titles, the Head of Commercial usually sits above the Sales Director; in businesses with only one title, the responsibilities are similar.

Can a Head of Commercial become a Commercial Director?

A Head of Commercial can progress to Commercial Director, and this is a common career path in consumer goods. The transition requires developing three capabilities beyond the Head of Commercial skill set: full P&L ownership and accountability at board level, confident cross-functional leadership with finance, marketing, and supply chain as peers rather than service providers, and the judgment to make high-value commercial decisions without a director layer above to escalate to. Advocate Group supports both current Heads of Commercial targeting their first Commercial Director role and businesses assessing whether internal candidates are ready for the step up.

How do I write a job description that attracts the right candidate?

Write the job description to reflect the actual accountability of the role rather than the aspirational title. If the role reports into a Commercial Director and doesn't carry full P&L ownership, call it Head of Commercial and set the package accordingly. If the role requires board-level authority and CEO reporting, call it Commercial Director and benchmark the package against that market. Mismatched titles and salaries are the most common cause of commercial leadership search failure. Advocate Group's briefing process includes a role scoping conversation before any search is activated to confirm which role the business actually needs. Submit your brief to get started.

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Not sure whether you need a Head of Commercial or a Commercial Director? Advocate Group's specialist commercial leadership team advises on role scoping before any search begins.

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