There are several objectives for sales rewards programs. A few of these are to increase engagement, motivate sales staff, build a broader customer base, and encourage self-drive and teamwork. Here are some tips to help your sales team reach its goals, especially in the field of procurement business.
Engage and motivate sales teams
When used correctly, sales rewards programs can engage and motivate salespeople to achieve goals. By providing incentives and recognition, these programs encourage employees to focus on building long-term relationships with customers. Regular feedback sessions to improve employee performance will encourage your salespeople to focus on these relationships. A playbook that encourages relationship-building activities can save you time and money. Engaging your sales team in goal-setting sessions can also improve morale and increase team productivity.
To engage and motivate salespeople, consider sharing wins. Not only will this encourage healthy competition, but it can also foster a competitive spirit within the core group. By recognizing top performers and sharing company success, your sales team will be more motivated than ever to exceed targets. And by sharing wins, you’ll be arming them with proven strategies to help them reach their goals. Moreover, rewarding individual salespeople with non-monetary rewards will encourage them to continue performing and achieving success.
Build a broader customer base
Using customer loyalty programs is a cost-effective way to grow your business. These programs can help your business avoid high churn rates by encouraging existing customers to keep coming back. By building relevant loyalty programs, you can allocate fewer resources to traditional advertising and spend more time building relationships with your existing customers. In addition, they can help you attract new customers. Below are some ways to build a customer loyalty program:
– Start building a customer database. Start with an existing list of customers or e-mail addresses. Capture important information from each customer. For example, online retailers can collect information during the purchase process. For brick-and-mortar retailers, enrolling customers can be done during the checkout process. Offering an instant reward can entice inactive customers to return to your business. These rewards programs are not only highly-effective but also cost-effective.
Sales rewards programs promote desired behaviors by rewarding employees for exceeding goals. Unfortunately, salespeople tend to weigh rewards against efforts to achieve desired outcomes. When these goals are too difficult to achieve, rewards will become ineffective, and reps will quit. Instead, create rewards around intrinsic motivations, such as public recognition and more autonomy. It will encourage self-drive and performance. But the rewards must be realistic and desirable to motivate employees.
While most sales incentives focus on individual performance, new research suggests that collaboration is important to successful sales. Incentives can be financial or non-financial, experiential, or even based on public recognition. Rewards should reflect the company’s culture. For example, DigitalOcean rewards its teams with Kindles loaded with its CEO’s favorite business books. PepsiCo bases 40 percent of its bonus on helping colleagues advance in their careers.
Were you looking for ideas to motivate your sales team? Look into a few famous examples. Pole vaulter Sergey Bubka was promised a bonus by Nike every time he broke the world record 35 times, including some by small margins. In sales, quotas should be in place and flexible enough to reward your entire team. Multi-tiered rewards have a significant impact on core performers.
Promote employee engagement
Businesses must offer incentives and recognition programs to retain top talent and promote employee engagement. These incentive programs are highly effective for boosting morale and demonstrating company values. In a Fast Track 360 study, 71% of company executives said employee engagement is essential to the success of their businesses. Moreover, employees feel appreciated when they see that their efforts and contributions are recognized. Furthermore, employee engagement helps retain employees and increase profits.
In addition to cash incentives, employees also love to receive free stuff and have the feeling of making a difference. Hence, companies must understand what motivates each salesperson before implementing sales rewards programs. During one-on-one meetings with each salesperson, managers should try to discover the motivations and needs of each team member. Then, they can choose the best incentive that matches their needs and culture.