An important aspect of sales performance management is ensuring agents are satisfied with their roles. A happy salesperson is better suited to dealing with clients than a disgruntled employee, and is less likely to leave a company. According to its most recent survey, Globoforce, a performance review consulting firm, found that 42 percent of workers plan to seek new jobs within the next 12 months because their efforts haven't been recognized.
Additionally, rewards and commendations affect to workplace productivity. The news source writes that recognition programs that are directly tied to performance are more effective in increasing job satisfaction and efficiency than plans that don't have clear guidelines and objectives.
To prevent a mass exodus of salespeople, managers should offer sales incentives that are scaled to returns. Employees can earn rewards based on their individual performances, which can influence their sales strategies.
New SPM software has simplified the process of motivating representatives through incentives. Cloud-based applications can be created to give employees real-time updates of their sales figures, so they can measure themselves against the pace to earn their prizes for a specific pay period. Some programs feature social options that allow agents to monitor their co-workers' numbers when only the top earner is awarded a prize.
Picking the best incentives
Technology has replaced many traditional businesses practices, but it doesn't have much place when it comes to employee recognition. Globoforce reports that digital thanks are unsatisfying and aren't sufficient rewards for a job well done. Tangible gifts like cash bonuses are more effective tokens of appreciation than their digital counterparts.
The most common awards plan is money, because many salespeople rely on commission checks for the bulk of their income. Lance McCollough, CEO of ProSites, believes that using the same compensation solutions multiple times might not keep agents motivated.
"If your compensation plan is normal, your staffers will just think, 'It's my job, I've got to do this, I hope I get a bigger check,'" McCollough told Inc. Magazine.
McCollough uses entertainment and activities as compensation for meeting sales quotas. The news source writes that he offers short vacations, meals and exclusive events as incentives.
Another popular reward is additional vacation time. While days off aren't tangible gifts, they are extremely rewarding for hardworking agents. Employees want to enjoy lengthy breaks and the occasional vacation day during the year, so time-off might be the best way to recognize top performers.