Sales Incentives - Motivate Your Sales Team 

Sales incentives are rewards or bonuses offered to motivate salespeople to achieve specific targets or improve performance. These incentives can take various forms, such as earning points to spend against our online catalogue, cash bonuses, trips, gift cards, or other valuable items. They are designed to encourage and reward outstanding work, helping to boost morale and increase overall sales productivity.

To structure effective sales incentives, we begin by identifying clear, achievable goals that align with your company’s objectives. These might include targets for revenue, customer retention, or market penetration. Next, we look at incentives that will motivate your sales team, such as our online points platform, experiences, events or trips abroad. It’s crucial to tailor these incentives to the preferences and motivations of your sales staff, so if you’re unsure what that may be, we recommend sending a quick survery around to all sales staff to get a clearer picture. Additionally, ensure that the terms of the incentives are transparent and the criteria for earning them are clearly communicated. We regularly review and adjust the incentives with you to maintain relevance and effectiveness in driving desired sales behaviours.

The most common form of incentive for salespeople is still typically a commission-based structure. This means that they earn a percentage of the sales they generate, motivating them to increase their sales performance. However, many companies also offer bonuses for reaching targets, as well as other benefits such as profit-sharing schemes, awards, incentive travel and our online recognition programmes.

To inquire about sales incentives, we recommend directly discussing this with your line manager or HR representative. Prepare specific questions or points you’d like to clarify, such as eligibility criteria, types of incentives available, and how they are calculated. This will ensure you have a clear understanding and can fully benefit from any sales incentives offered within the company.

Sales incentives are calculated based on a combination of factors including sales targets, performance metrics, and predetermined incentive structures. Typically, an employee’s sales figures are compared against their targets, and incentives are awarded accordingly. The exact formula may vary depending on company policy and the specific terms outlined in the employee’s contract. It often encompasses base salary adjustments, commission percentages, and bonuses for achieving or surpassing specific thresholds. Our online sales incentive platform allows you to set KPIs, adjust and measure targets, and award top performers.

The ROI (Return on Investment) on sales incentives can vary significantly depending on the structure and implementation of the incentive programme. Generally, well-designed sales incentives lead to increased motivation and productivity among sales staff, which can result in higher sales volumes and improved revenue. The ROI can be calculated by comparing the incremental gains in sales against the cost of the incentives offered. It’s essential to tailor the incentives to align with your company’s strategic goals and ensure they are measurable and attainable to maximise the return on investment. Properly designed programs can increase sales productivity by 18% and produce an ROI of 112%.