A good incentive plan will bring the sales team together to work towards a common goal while promoting a friendly atmosphere and fair competition. Ideally, the stimulus plan should encourage the desired behavior or outcome, but sometimes it may not be well-targeted. It could be because they are individual, have no real motivational element, or simply aren't inspiring.
Sales managers and executives are responsible for creating effective trading team rewards plans and the key is rewarding the right behavior. Incentive programs are monetary or non-monetary. Cash programs are easy enough because they are designed to reward certain behaviors. Non-monetary incentive plans are better suited for increasing motivation, connecting teams, and sometimes retaining employees.
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The Key to a successful sales promotion program
Here are some things to keep in mind when developing the right incentive plan for your business:
Drive behavior, not results.
To measure your employees' performance against their efforts, link their behavior to an incentive plan. For example, vendors typically don't want to maintain regular schedules, update their channels, or plan follow-up assignments. They tend to take shortcuts or even skip these tasks. Linking consistent behavior with incentives will motivate your team to achieve these much-needed tasks.
Build a sales pitch plan that will make everyone successful.
Avoid making plans that only reward your best achievements. Look for the parameters that will help you turn your entire team into a productive sales unit. A good incentive plan motivates middle and below-average workers to go beyond their comfort zone. If your incentive plan consistently rewards the same vendor, other agents may lose interest.
Establish a strategic incentive schedule.
The promotion plan should have a time frame that aligns with your department's goals. To support the interests of the company, incentive plans can also be synchronized with sales cycles, performance reviews, and performance goals.