Photo from Unsplash
Originally Posted On: https://www.kinitro.com/blog/7-ideas-for-sales-incentives-to-motivate-your-team
40% of sales teams say prospecting takes up most of their time, followed by 36% on closing and 22% on qualifying.
It can be demotivating to get a prospect close to paying but to realize that they found other opportunities. Without a strategy to keep your sales team motivated to get leads and close deals, your company will sink faster than the Titanic.
So why not reward them with sales compensation plans, a trip to their favorite place, or more money? Anything to keep them motivated, but the question is how? Keep reading to learn seven amazing ideas for sales incentives to help your team drive results.
1. Sales Commission
Let’s face it: your team is working to make money to support themselves. To make this incentive effective, you should establish a clear commission structure. Show your sales rep how the numbers can add up, leading to a lucrative career if they close more deals.
For example, digital marketing agencies often reward a 20% commission on each deal they close. That means if an individual closes a prospect for $5000 per month, they can take home $1000 each month the client stays in the company.
If they keep closing these deals every month, they can take home a six-figure salary, making it a worthy incentive compensation.
2. Product Prizes
You should not assume that your team favors cash over other prizes. Distributing tangible products as sales incentives is an excellent approach to inspire your team. You could provide the following:
- Electronic devices (iPhone)
- Home entertainment items (coffee maker, 4K television, etc.)
- Rock-climbing equipment
- Musical instrument
Product prizes are an excellent motivator for your team as long as it’s something they want. After all, it serves as a concrete reminder of their accomplishments.
It is something that people may inquire about in the future, enabling them to enjoy the glory of victory. To ensure this reward is attractive to all team members, you may provide a selection of two or three products.
3. Development Rewards
94% of millennials said they are happy to spend over $294/month on personal development and growth. Offering your sales team the option to engage in a course or development seminar shows them you value their well-being. Here are some incentives to give to your team for reaching a milestone:
- Training for professional growth
- No-cost online courses
- Classes for a group pastime or interest
- Fitness or gym discounts
- Public speaking workshops
- Language courses
- Sales development classes
This allows team members to learn new skills to enhance the company’s sales results. It shows your employees that you care about their personal growth in the company. It also reflects how you are willing to put in the effort to help them grow within the company.
It’s a thrill to win tickets to the championship game or front-row tickets to see your favorite band. A romantic meal for two people can motivate your team to go above and beyond.
These incentives include activities your teammates would like but may not spend money on for themselves. You may need to be more inventive with your selections. For example, if you have an introverted sales genius, you can reward them with a gourmet supper delivered to their home.
5. Experience-Based Reward
The best sales incentives allow workers to create memories. Just imagine how motivating it can be for the whole team to get a spa day after reaching a competitive quota.
Don’t get us started about paid vacation days and discount air travel.
6. Recognition in the Company
44% of employees are dissatisfied with the recognition they get from their company. Therefore, acknowledgment, like the “employee of the month” recognition, can be very inspiring.
So how can you use recognition as a sales incentive without posting a photo of your team on the wall? You can try ideas, like lunch with the CEO or sharing a Cameo video with their favorite star. You can also make a special mention in the organization’s Slack channel.
7. Let Them Choose
Your team consists of people with distinct preferences, interests, goals, and demands. Instead of selecting a single incentive that may not appeal to most of your team, let them choose their reward. Don’t forget to place a budget or limit; the last thing you want is a request for a Lambo.
You can urge your sales team to imagine what they would choose if they won at the beginning of the month. This will motivate them to work hard for the prize.
Tips for an Effective Sales Incentive Plan
When implementing a sales incentive program, you want to establish a rewards system that is relevant to the team as a whole. Not only that, you want to ensure you can automate the whole process. With that in mind, here are some tips to help you:
Sales Compensation Software
You want to automate complicated or simple commission distributions with transparency and precision. For example, our platform Kinitro uses an Excel spreadsheet to convert current commission systems. Our system can manage complex transactional data and accounting regulations.
It makes it easy for teams and managers to check commission computations and identify success factors. We have dashboards that roll up according to your reporting structure. You can also see KPI and performance data throughout your business.
Determine What Drives Your Team
Determining what inspires your team might help you create a strategy to pique their attention. You may develop a simple poll to find what most of your sales team love. Find your team’s common interests and motivators, and explore these concepts with them.
Set Attainable Goals
Individual goals may be used to calculate an overall team average. For instance, a car sales manager can establish individual dollar-based sales targets. At the same time, the team shares the sum of these individual goals.
The team works toward an objective while honing the individual abilities necessary for achieving that goal. Consider analyzing the average revenue per employee to identify an objective to achieve and surpass.
Consider establishing quantifiable metrics that indicate whether your team has accomplished its goals. This might be a daily sales number, a weekly quota of items sold, or any indicator that can be measured. This will help you monitor growth and performance to know which areas need improvement.
More Ideas for Sales Incentives
Your sales team is the lifeline of the company. If they are not motivated to go above and beyond, it can stunt your organization’s growth. From commissions to paid vacation days, the rewards are limitless.
Make sure you know what incentivizes them and shoot for the stars. If you need robust software to keep up with the performance metrics and incentivizing plan, we can help. Request a demo to check out our automation platform that will make rewarding your team a breeze.