Do sales incentives work?
Craig Thomas

Do sales incentives work

18th November 2015

Effective sales incentives can be immensely powerful, whether you're looking to motivate teams in-house, contact centre staff, field sales teams or channel partners across multiple platforms. With the right combination of factors you can drive performance, increase sales and diversify success, adding a new layer of impetus in a few simple steps. If you're considering investing in sales incentives then here are a few very good reasons to go ahead.


Beat motivation issues

No matter how fantastic your salesforce, there are times when everyone finds it difficult to motivate themselves - this is where sales incentives can have a really positive effect. Whether you choose to time the launch of incentives with traditional slump periods or run them all year round, you'll see that employees find it much easier to remain engaged and focused on their job requirements when a new set of enticing rewards has been put in place.


Win: Win

The great thing about sales incentives is that everybody wins. On the one hand you have a happier and more productive salesforce getting better satisfaction from meeting targets and able to preserve motivation. On the other hand you're seeing better sales results and an increase in performance, as well as a rise in general levels of enthusiasm.


Boost morale

Goal and target setting are a key part of motivating any salesforce and sales incentives provide a much more effective solution than imposing negative penalties for failures. If you opt for the stick, rather than the carrot, you will most likely find morale drops through the floor, performance levels fall and productivity flat lines. Instead, offer the kinds of incentives that will motivate employees to take that extra step and to go that extra mile - you'll reap the benefits on the balance sheet, as well as in the office.


Cement loyalty

When employees are happy they find it much easier to be loyal and a company that rewards its salesforce for achievements can count on it during times of growth and also in recession. Create a positive working relationship with your team by rewarding their commitment and loyalty in a way that they can quantify. There's plenty of research out there to show that employees respond more positively to non-cash rewards that don't simply disappear into monthly budget overflow or savings accounts. Offer incentives that employees will enjoy and they will feel rewarded, satisfied and driven as a result.


Reduce your costs

This may sound strange but sales incentives programmes can actually help reduce your costs. Absenteeism is one of the biggest problems for UK businesses, costing upwards of £30 billion a year. High attrition rates can also put pressure on budgets as recruitment costs money and a fast employee turnover means people must continuously be replaced. With sales incentive schemes in place you can work towards a happier and more committed salesforce and, consequently, a drop in sick days and people leaving because they are unsatisfied with their day-to-day. Employees are rewarded for excellent work and always have something to aim for, which means there's a higher chance of contentedness and commitment.


Active are experts in delivering sales incentives. For more information or to get a quote, please contact us.

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Craig Thomas
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