We all know that channel partner incentive programs work if they are implemented properly. We also know that effective incentive programs are difficult to set up, organize and track. If you’re not sure if you have the time and resources to dedicate to the project, nor are you certain that it will be worth the effort, consider the following four reasons to create a channel partner incentive program:
1. Incentive programs give B2B partners the knowledge that provides motivation to sell your product
You know that your product is the best in the market. Your channel partners don’t have your knowledge depth, though. Give them the knowledge and the incentives, and they will perform.
Using in-person or online tools such as a rewards platform, you can give product demonstrations to show channel partners key features, or even let them take the product home for a period of time so they can witness the benefits for themselves. Once they are familiar with the product, they will be better equipped to convince the end customer that yours is the best in the market.
Incentive programs are proven to improve channel partners’ performance and more fully engage them in the selling process. In fact, some studies show that properly implemented incentives can increase performance by up to 22 percent!
2. Unique incentive programs increase participation
Money is not always a primary motivator. Some people are motivated by the competition itself, others are motivated by earning time off and still others are motivated by earning points that can be redeemed for unique travel experiences or rewards.
The first rule of thumb for a successful incentive program is to find out what motivates the majority of your channel partners. If you offer the same incentives that your competitors propose, your product will never take center stage in the show room.
Yes, it takes more effort and creativity to differentiate your rewards program from the pack. But if you have already put time and effort into differentiating your product, you would be doing your business a disservice not to do the same for your incentive program. Taking the time to cater to the unique desires of your channel partners will make them that much more likely to sell your product.
3. Increase your partner and customer loyalty
Incentive programs are not simply designed to sell more product. They create a chain reaction and a win-win situation for both your channel partners AND your bottom line.
Incentive programs build brand loyalty. With the advent of an incentive program, channel partners learn more about your product and are better able to explain its benefits to their end customers. As a result, the end customer is happy with the superiority of your product and becomes loyal to your brand. After you reward your channel partners for their hard work, they experience increased satisfaction in their work, staying loyal to your brand and continuing the cycle.
A properly constructed incentive program will train hundreds of brand advocates for you as your partners generate more customers, and in turn their customers recommend your brand to others.
4. Engage your partners in specific behavioral segments
A great incentive program takes into account all manner of behaviors that your company would like to reward. For example, if you have a loyal existing client base, you may want to reward your channel partners for signing new clients. If you are launching a new program, you may want to incentivize overall sales performance.
Anything that can be measured can benefit from a channel partner incentive program.
Create your program today
If all of this seems overwhelming, know that you do not have to go it alone. You can reap the rewards of a tailor-made incentive program without expending your time and resources by choosing the right partner. ESG Incentives is that partner.
With years of experience designing rewards programs across multiple platforms and for companies of all sizes, ESG Incentives has the right combination of experience and innovation to design a channel partner incentive program that is perfect for you and for your partners.