The traditional carrot-and-stick
type incentive programs put the focus solely on the result, and not on the
means of achieving the result. While these types of programs can achieve
results, they can also encourage bad behaviors that can do damage to the brand
and hurt sales in the long run by creating unhappy customers who speak out on
social media. It’s well known what some salespeople can do in narrowly focused
programs – shift the timing of sales to maximize points, sell something a
customer doesn’t want, push harder than is appropriate, make promises that
can’t be kept, etc. It is unfortunate, but since the only program measure is
the outcome, some salespeople do resort to such tactics!
For many years the incentive
industry has extolled the importance of designing programs that not only
address the results, but also the best ways to achieve them. The industry is
full of research and papers from groups like Incentive Marketing Association,
PPAI, SITE, Incentive Gift Card Council, Rewards and Recognition Network and
the Incentive Research Foundation. These
organizations house a wealth of knowledge and have produced extensive research
to help design incentive and recognition programs that will produce
results. Unfortunately these materials
are almost never used. Why?
In the high energy
quick fix mentality of today’s business, people planning incentive programs are
looking for a quick fix or a bright shiny object to motivate and often don’t want to hear
about, let alone pay for, a program design process, even with the promise of
better results or return-on-investment measurement. Many managers feel
qualified to follow their own instincts. This often boils down to a
determination that motivation is just a matter of dangling desirable carrots
with perhaps a few unwritten threats thrown in for good measure.
If you are interested
in planning a sales incentive program we would advise you to engage the award
companies who have the knowledge to help you make it successful. Award
companies have knowledge to design programs based on accumulated best
practices. Just like the
great mechanic, they not only know how to use a wrench, they know what nut to
turn.
For
more information on Ultimate Choice Inc.’s products or services or other white
papers please contact us at Ultimatechoiceinfo@cox.net
