Compare Cash or Non Cash as Employee Awards

Many people in the incentive industry will say that cash as an award doesn’t motivate as well as non-cash.  Frankly to say that cash doesn’t motivate is disingenuous. It is innately tied to our perceptions of reward as a universal motivator in this country.   It is easy to use, easy to distribute, and fulfills many of the needs that people have.  In difficult economic times it can certainly be very motivating. 

However, there are two sides to using cash as a motivator, and to understand when to use cash and when to use alternative awards requires an understanding of both sides.

Over the years we have spent a great deal of time researching cash and non cash as an employee or sales award and have come up with at least eight reasons why non cash may be a better choice when attempting to motivate and award employees. 

All too often when faced with the choice of choosing an award in a program designed to change behavior, the planners immediately go to cash thinking that it is the best way.  There are times, especially when the objective is to increase sales performance, when cash may not be the best award and in fact may not motivate at all.  In the least, research has shown that it takes 3 times more cash than other rewards to receive the same results.  That reason alone may be sufficient to investigate other reward options.

For a systematic and thorough review of the features and benefits of cash and non cash please click here.

For more information on Ultimate Choice Inc.’s products or services or other white papers please contact us at Ultimatechoiceinfo@cox.net

What Wellness Awards Do Companies Use?

Incentives “Safety & Wellness IQ” survey, the top rewards in wellness programs are:

Award Type	Included in Program
Retail & Bank Gift Cards	58.9%
Merchandise	41.2%
Cash	27.9%
Insurance Premium Reduction	25.5%
Individual Travel	10.3%
Experiential Awards (Spa treatments, etc.)	7.4%
Group Travel	4.4%

It’s no surprise that gift cards are the number one award group as the vast majority of individual budgets for these types of achievable objectives are less $50 to $100 ea.  And gift cards are by far the best value in that denomination of award especially considering the high margins on merchandise that tends to deflate the value and group or individual travel awards that are quite expensive.  

Communications and Technology Are Key

Communicating the range and complexity of health services can present a challenge. Individual motivation or apathy, sensitive health issues, and the cultural, geographic and demographic differences in your organization can all pose problems that need to be addressed when deciding on the communication strategy. Intranet portals, email campaigns, mobile devices, well thought out promotional items and the use of a host of Technology apps that speak to fitness can all help to make your program a success. 

Activity trackers and wearable devises such as FitBit and smart watches are simple ways for employees to measure performance against goals.  The American Council on Exercise reports that “people are 30 to 40 percent more likely to be active just by wearing a fitness tracker.” By using gift cards redeemable for Amazon and other online suppliers you can help offset the cost of activity trackers that can be expensive. Two top apps that unlock this ability for iPhones and Android devices are Argus and Pacer, both free, as are a host of others..

Safety programs for years have used triggers to motivate intended behaviors to avoid accidents.  Wearables are a great trigger.  The device on your wrist, the blinking light and vibration are physical reminders to change your behavior. 

The Future

When you add financial planning, life style education, stress management and life-stage management to the equation, you move into the future from the wellness of the past to the entire well-being of the employee in the future.  With a wellness program designed to change every day habits and reinforce improvement, these holistic well-being programs can help improve business outcomes like productivity and employee engagement, essentially the health of the business. 

 

Companies that have seen measurable success know that these wellness programs take time to show results.  They are long term objectives with very positive long term consequences. 

There is abundant evidence to support the return on investment evident in the wellness programs of today.  A quick search of the net will provide many.  How is your wellness effort going? 

For more information on Ultimate Choice Inc.’s products or services or other white papers please contact us at Ultimatechoiceinfo@cox.net

Wellness Award Programs Today

According to Incentive magazines “Safety and Wellness IQ,” almost 50% of companies today have some sort of employee wellness program in place.  The biggest difference today is that most CEOs while eager to invest in wellness efforts, are demanding a better return on these investments.  Healthcare costs and healthcare insurance are high, too high, and companies are looking for everything they can do to reduce them.  With an aging workforce these numbers may only get higher.

A study conducted by the Global Wellness Institute, “2016 Future of Wellness at Work”, states the economic enormity of worker health is approaching 10-15% of global economic output.  Some economist’s estimate this can amount to over $2 trillion each year.  According to the research company Gallup, the cost to U.S. employers is $153 billion a year just counting workdays missed.  Whether these global estimations are pertinent to your company or not, unhealthy workers have been a persistently growing problem.

Wellness efforts of the past amounted to websites with articles about exercise and nutrition with links to other resources; and wellness coaches and or company nurses who did health risk assessments (HRA).  This communication effort often left it up to the worker to motivate them to “get healthy”.  Today, doing an HRA is just the starting point, the admission ticket to the program.  From a push using incentives to get employees involved by taking the HRA, today the effort is on participating, doing something to improve your health.  Programs goals have changed from getting employees to join to improving health and fitness and thus reducing costs. 

Participative Goals

Another change in programs is not just focusing on people who are unhealthy, but getting to the rest of the employee base to ensure they don’t fall into chronic health conditions in the future.  Today it’s about what your programs stress, what you want your employees to do.  Incentives “2016 Safety & Wellness IQ” survey showed the top activities a program encourages are:

Activity	Included in Programs
Physical fitness (walking, running, cycling, swimming) etc..	68.5%
Regular Medical Checkups	64.4%
HRA Survey	56.3%
Smoking cessation	54.8%
Monitoring Health Issues (hypertension, diabetes, etc.)	49.3%
Gym, Fitness Classes	41.1%
Obesity Reduction	39.7%

As all of these goals have specific and easy to obtain measurement are participative and outcomes based, awards can be easily used to achieve thems.  By using a wellness portal with video to  provide advice and material on all of these objectives, you  can appeal to your entire workforce, especially millennials.  Challeng goals and team objectives can also add to the interest because you can have groups supporting each other. 

For more information on Ultimate Choice Inc.’s products or services or other white papers please contact us at Ultimatechoiceinfo@cox.net

"Let Me Have the Gift Card I Want!"

In employee interview after employee interview we constantly hear the complaint that their company just doesn’t listen to them and rarely gives them rewards that appeal to their own lifestyle.

Thousands of companies purchase and issue gift cards to their employees but it is exceedingly rare for a company to purchase and inventory a multitude of the most favorable gift cards in order to give their employees a choice.  It’s just not feasible to spend company budgets on dozens of different gift cards that sit a drawer waiting for the employee to choose it.  It doesn’t even make sense.  It’s also expensive and has the risk of loss.

So the company picks one or two gift to keep around and limits the choice and cost.  Unfortunately that doesn’t do much for the employee, especially if they don’t really like or use the cards the company chose. 

There are several gift card systems that allow an employee to pick the card that best suits their needs, the one that they really want.  One company, Ultimate Choice Inc., sells this system without fees so on a one to one basis the systems can cost you less than doing it yourself, and will provide so much more. 

If they cost the same as buying the gift cards on your own, wouldn’t it just make sense to give the employees the choice?

For more information on Ultimate Choice Inc.’s products or services or other white papers please contact us at Ultimatechoiceinfo@cox.net