Rewards are well known as one of the most effective ways to motivate others. The importance of incentives is known internationally. Calista Lai of the Jyväskylä University of Finland wrote a research paper exploring the benefits of incentives and rewards.
Whether it’s channel sales teams, market research panelists, customers, or employees, or anyone else, the equation for productivity is:
Motivation + Ability = Productivity
According to the research done by Calista Lai, the difference between Incentives and rewards is as follows:
“An incentive is defined as something that triggers a particular course of action, a reward is given following a desired behavior to increase the probability that the behavior will be repeated.”
Ideally, rewards and incentives are used together, both to encourage desirable behavior, and to reward positive action.
There are three categories that rewards/incentives fall into:
Some examples of monetary rewards include company stock options, paid time off, bonuses, etc.
- Intangible non-monetary
- Tangible non-monetary
Intangible non-monetary rewards typically take the form of social recognition. This could be an employee of the month award, top salesperson of the quarter, etc. The important thing with intangible rewards is that the recognition feels meaningful to the recipient.
Tangible non-monetary incentives include Visa Prepaid Cards, Gift Cards, merchandise, experiential rewards, etc.
A study in Performance Improvement Quarterly found that incentives can improve performance by as much as 44% and increase productivity by 27%.
If you’re ready to start a reward program or take your existing reward program to the next level, All Digital Rewards has the technology and capabilities to set you up for success. All Digital Rewards’ reward program management software, SaaS with RewardSTACK™ can simultaneously support multiple rewards and incentive programs with the click of a mouse. While our real-time reward management solution functions as a turnkey modular platform, it can be customized and tailored to accommodate individual client and project needs, deploying thousands of rewards in over 150 countries, and supported by industry-leading reporting and analytics.
Our reward platform technology features include:
- Marketing Automation
- Modular Design
- 3rd Party Integrations
- Points Liability Reduction
- Points Calculation Engine
- Tier Management
- Rules Management
Our dynamic technology architecture allows us to offer a customized solution specific to your company’s needs. For more information or to speak to one of our channel partner incentive program specialists, call us now at 866-415-7703, or click on the button below to schedule a demo.