Sales is a tough gig, but hitting targets and receiving incentives means it can also be one of the most rewarding jobs there is. However, there are a number of hurdles sales incentive programmes can run into which can have a negative impact on motivation. Here are some of the most common.
There's no getting away from it - a job in sales is a tough gig. However, it's also one that can be hugely rewarding, where employees get the opportunity to consistently hit targets and make a positive contribution to their companies.
When businesses get motivation and encouragement right, it can have a huge effect on the bottom line. In fact, highly engaged businesses see a 20 per cent increase in sales, according to Officevibe.
But, if your sales incentive programme isn't up to scratch, not only could it have no impact, it could even have a negative effect. What hurdles might your sales incentive programme be running into?
Highly engaged businesses see a 20 per cent increase in sales, according to Officevibe.
1) They don't have the necessary tools
It's all very well setting targets or rewarding certain behaviours, but if you're not giving your sales team the right training or tools to achieve this, they're never going to receive the rewards you're offering. This may lead to harboured resentment and turn them completely off your workplace.
To address this, it's important to focus on training from the get-go that is specifically related to their KPIs and targets. It's also a good idea to regularly check in to ensure your employees have everything they need and aren't suffering any technical glitches with the software or CRM (customer relationship management) platform they're using.
2) Sales goals aren't clear
There's an acronym that's been cropping up in sales talk for a while now. It's known as KISS or "keep it simple, stupid." When applied to sales, it means not getting too technical when explaining a product or service and just generally being as clear and easy to understand as possible.
KISS is also something that businesses should be applying to the targets they set for sales incentives. Ask your team to explain what they have to do to win certain incentives. Their response should be crystal clear - i.e. I need to do X to get Y. If it isn't, you need to review and simplify how you set and measure your employees' KPIs to ensure they do understand it in the future.
It's also important to communicate this effectively and show exactly how their individual sales and the work they do to win their incentives fits in with the wider company's goals.
3) You're not taking individual differences into account
If you develop a rewards programme that only your high flyers are able to achieve, core performers or inexperienced sales reps may lose heart and stop trying completely. This would obviously have a worse effect than if there was no incentives scheme at all.
Many sales programmes have different tiers for different levels of experience or positions within the sales team. For example, you may want to set a separate scheme for your senior sales representatives, who will be able to achieve higher targets than more junior employees.
4) There's no choice
The final key hurdle a sales incentive scheme often meets is a lack of choice. Sales teams can be made up of diverse groups of people, all with different backgrounds and tastes. This means they will be motivated by different types of prizes, and if you have one set reward for everyone, many people may simply not bother trying to achieve it.
Power2Motivate gives employees access to a huge Rewards Gallery that they can pick individual prizes from. It includes electronics, household appliances, event tickets and even holiday packages. Web-enabled and available in 17 separate languages, it's a solution that will work with even the most diverse of sales teams.
For more information, contact the team today.