Sales channel incentives, you’ve surely received or given one (or more) in your lifetime but have you ever stopped to review your approach and understanding of incentive programs and their profit? If not, you are missing out on an opportunity to drive the behavior you’re looking for in your partner base while increasing revenue and improving relationships.
Incentive programs have been around for years because, simply put, they work. The ability to gamify your partners into “above and beyond” performance is not an easy feat and there’s no reason to reinvent the wheel. People are motivated by a lot of things, one of them being money. Money can buy freedom, things, experiences, food, and the list goes on. And while we understand that money motivates, it’s equally important to understand what makes a channel incentive program truly effective with an ROI that wows.
Here are 8 Effective Ways to Increase Channel ROI with Incentives.
This may seem like a no-brainer but as we discussed earlier, the first motivating factor needed
Create Tiered Loyalty Levels
By gamifying your loyalty program, you are giving ongoing incentive and motivation to your partners to reach higher levels with more rewards that align with your company goals.
Tie warranties, registrations and aftermarket services into incentive programs
Don’t let your loyalty program end on a sale. Acquiring a new customer is five times as expensive as retaining an existing customer. By enticing your partners to grow their client and customer relationships on your behalf promotes easier to close deals for service, warranties and registrations.
Listen to your audience
What kind of rewards do your audience members want? What type of feedback are they looking for? Do they want to be trained on new products and offerings?
If you create a loyalty program, you want it to be used. Make sure to set frequent or better off, automated reminders via email, social and text updates to inform your audience about their chances to earn rewards. You can also host special month exclusives for slower months.
Ignite the Competitive Spirit
Be proud of your loyal partners and audience members. You can promote your program’s success by congratulating your top performers in your social posts, emails and updates. This allows people to know that the rewards are real and that someone out there is getting rewarded extra for their loyalty from your company.
Modernize the experience
Punch cards and excel sheets are a thing of the past. You can now put your loyalty program right onto your customer’s cell phone and be with them everywhere they go. And it’s important that your program be as smoothly run as the best. Think about the Starbucks app. There are approximately $1.2 billion loaded on the Starbucks mobile app and the company’s loyalty cards. Customers love the ease of paying by their phone and receiving their rewards for their loyalty right onto their phone where they can see it. You may not be a coffee house but your customer will expect your program to run as smoothly as theirs.
Now that you know you can digitize your program. The next step is TRACKING. Your loyalty program should make you more money and save you time. By automating your promotional processes and rewards. You’ll be able to track which partners are sending you the most leads, which rewards are most enticing and what months you can use a stronger incentive.
After reviewing these 8 ways to increase channel ROI with incentives, do you feel you have truly built an incentive program embedded with promotional efforts, analytics and that also drive the behavior you’re looking for in your partner base?