​Why Incentives Are Important

Incentives to your customers, clients and staff are so important, but unfortunately often overlooked. Over a two part series, we’re going to examine how this impacts business operations across our Prize, Incentive, and Award divisions. In this post we’re going to focus on staff, employment, and the HR benefits of a comprehensive incentive program. Part 2 will examine how the right prizes and incentives can drive revenue, profits, and additional business in the Fundraising, Family Entertainment, Amusement, and Loyalty Redemption industries.

Within your current team, Incentive plans can be tools used to encourage, recognize and reward exceptional behavior, or provide awards for particular achievements.

For your employees, that may link to job performance, whereby an established metric or goal is surpassed. The benefit employees receive could come in a variety of forms including cash bonuses, extra paid time off, or gift, award, or reward items. We’ve seen great success with clients and partners utilizing our products as a means to incent exceptional behavior, and reward performance. Items are used as a award for over achievement in a variety of capacities including sales, safety, customer service, and employee recognition programs.

Some of the major advantages we’ve witnessed with a strong employee incentive program include:

Additional Motivation for Employees ~ a well conceived program with quality rewards and incentives absolutely urge and motivate employees to strive for a higher achievement level. Incentive plans that reward employees for reaching pre-established goals provide encouragement and give your valued team-members something to strive for. The advantage to the employer is an increased level of productivity.

Employee Satisfaction levels rise ~ If you’ve ever taken a look at the list of reasons why employees leave, or conversely stay with a company, compensation tends to be midway down the list. Culture, which includes things like exciting work, opportunities for growth and development, supportive management, recognition, and being valued, all rank above pay. Employees tend to be much happier when they are rewarded for going above and beyond their everyday work tasks. In such a competitive job environment, incenting and rewarding your team will surely pay dividends.

Financially Self Supporting ~ Many incentive plans are tied to earnings. The more revenue, profit, or efficiency an employee generates for a business, the more they are rewarded through their incentive plan. Businesses providing incentive plans have the advantage of seeing their bottom line rise in direct proportion to gains generated by their employees. Incentive plans can be self-supporting, in that the additional business or performance essentially pays for itself. That’s a nice return on investment!

Increased Loyalty to the Company ~ another reason Employees tend to stay with a company is the ability to have a positive impact through meaningful work, and being able to make difference. Incentive plans that foster loyalty increase the term of employment providing the distinct advantage of longevity in the professional relationship.

Reduced Staff Turnover ~ is an additional by-product of employee loyalty. Employees often look for new employment opportunities when they feel unappreciated. Incentive plans are a way of rewarding top-performing employees and showing them you appreciate their contributions to the business. The advantage to the employer is reduced turnover, which also results in time and money savings related to recruiting and training new hires.

If you’re not presently utilizing a reward or award incentive program for your team, contact us, and we’ll be happy to share some of the items our client’s have had success with.