**London**: A recent study by Maritz demonstrates that channel incentive travel programmes significantly boost motivation among customers, with 83% stating reduced benefits would lower their brand advocacy. The report offers insights into maximising incentive budgets and enhancing supplier-customer partnerships for improved sales outcomes.
A recent study conducted by Maritz highlights the significant impact of channel incentive travel programmes on the motivation and sales efforts of participating customers who sell a company’s products. The findings reveal that 83% of respondents would be less likely to advocate for a brand’s products should there be a reduction in programme benefits. This research underscores the role of supplier relationship management (SRM) in fostering preferred partnerships between suppliers and their customers.
The survey, which gathered insights from hundreds of channel partners across various industries, was aimed at assessing their experiences and preferences regarding incentive travel programmes. The ensuing report, titled “Channel Incentives: Protecting Your Budget, Boosting Your Returns for 2025 & Beyond”, provides valuable guidance for meeting planners focused on maximising the effectiveness of their incentive budgets.
In an interview with Smart Meetings, Casey Epley, director of product advancement at Maritz, outlined the findings, noting that “91% of respondents said incentives have a ‘high’ or ‘very high’ impact on their motivation to sell.” This statistic indicates that channel partners are significantly influenced by incentive programmes, which in turn can enhance sales figures.
Epley explained the mechanism by which these incentives function, stating, “Successful programmes don’t just influence a single sale; they help your brand stay top of mind, ensuring partners continuously engage with and advocate for your products.” The report further indicated that 92% of sellers keep earning opportunities in mind while undertaking daily tasks, which reflects the deep integration of incentives into their selling behaviours.
The removal of travel and financial incentives can have drastic consequences on sales efforts, with 83% of participants confirming that reduced incentives would adversely affect their level of engagement with the products. This data positions these programmes as revenue generators rather than mere cost centres, suggesting that when crafted strategically, they can also assist in managing supply shortages or disruptions.
However, not all channel incentive programmes yield the same success. The report revealed that partners are likely to disengage when rewards are perceived as too difficult to attain, when communications lack relevance, or when the rules are unclear. Emphasising best practices, Epley highlighted the importance of simplifying the rules, personalising reward experiences, and ensuring effective communication of benefits.
Flexibility in rewards is critical, with points programmes allowing participants the freedom to choose from various appealing options, ranging from merchandise to travel experiences. In addition, introducing competitive elements with unexpected prizes at various levels can significantly enhance overall engagement.
When designing these incentive programmes, it is essential to tailor the structure to the specific partners and their industry. Epley stated, “Personalise the behaviour you are trying to incentivize for best results.” Understanding the unique dynamics of different sectors—whether it be technology, manufacturing, or others—can drive better participation and performance.
Interestingly, the study also found that many participants valued training programmes as a form of incentive, emphasising the critical role of learning as a beneficial component of these engagements. This insight reflects a growing recognition of the importance of development within the context of customer-supplier relationships.
In summary, the findings from Maritz highlight the crucial nature of channel incentive programmes in not only boosting sales and engagement but also in shaping the evolving dynamics of supplier-customer relationships amidst competitive markets.
Source: Noah Wire Services
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