Often times, the most effective way to improve your organization is to take a cue from those who are currently excelling in your industry. Organizations that exhibit superior performance have thrived for a reason, and not learning from their experiences would represent a major oversight. The Incentive Research Foundation (IRF) recently published a study conducted by the Aberdeen Group that evaluates non-cash incentives and rewards based on their utilization by “Best-In-Class” companies.
Best-In-Class companies were categorized as the top 20% of firms, and had “higher customer retention rates, higher year-over-year increases in the number of sales reps achieving sales quota” among other superior qualities. A majority of these organizations cited non-cash incentives and rewards as a “vital component” of sales performance management.
The key findings:
- Incentive Travel is Essential: 100% of Best-In-Class organizations utilize Incentive Travel to motivate their sales force
- Internal Sales Employee Recognition Programs Produce Results: 14.8% higher team quota attainment and 5.9% higher customer renewal rate was achieved by organizations with formal internal sales employee recognition programs
- Company Sponsored Events Are Vital: Best-In-Class firms were 75% more likely to offer company sponsored events as incentives
- Outsourcing Program Management Leads to Improved Sales Figures: Companies that outsource the management of non-cash incentive programs show higher lead conversion rates (30.4% vs. 23.9%) and lower average sales cycles (4.2 months vs. 5.3 months)
Best-In-Class firms are effectively utilizing and outsourcing the management of their non-cash incentive programs to further the success of their organizations. It is crucial to take a cue from the superior performers, and not fall in line with the laggards or industry average businesses.
Finding a company to manage your incentive program is a crucial decision that is vital to the success of your program. Visit our website at http://www.jnrcorp.com today and let us prove to you that we are the company that will provide results for you.
Kristopher HewkinSource: The Incentive Research Foundation “Press Release: ‘Best-In-Class’ Firms Prefer Non-Cash Rewards to Drive Sales Performance”