Sales Assembly partnered with the events expert and CEO of Ladidadi, Noelle McInerney, to answer these questions and more. What we’ve found is that with this one program, you can not only reduce employee turnover but you can improve employee engagement, drive revenue and build high-performing teams.
Read on to see 5 reasons why a President’s Club is right for you.
1. Retention
Recognition is one of the top 5 drivers of engagement for employees across all tenure groups and is directly linked to retention. By strategically using your President’s Club program throughout the year, you can recognize your top performers AND high-potential team members on a regular basis.
2. Recruitment
A strong President’s Club program is not just a tool for the Revenue channels, but also for your HR department in terms of Employment Branding. You & your recruiters can and should leverage your President’s Club as you look to hire top performers to join your teams. Wouldn’t you want to join an organization that incentivizes and rewards its people with incredible experiences?
3. Reward
You may be asking (or already asked yourself): “Why not just give them CASH?! It’s much easier and I will spend WAY less time working on this!” Easier, yes, but as impactful? No. The Incentive Research Foundation (IRF) reports that across studies over several decades, people consistently report more long-term satisfaction, happiness, and well-being from their experiential purchases than their material ones. They also report that organizations that provide non-cash rewards such as incentive travel have 3 times higher revenue increases. And while people tend to “adapt” quickly to new cars, raises, and bonuses, the same is not true for experiences. In fact, people actually tend to upgrade their memories of trips, adventures, and other experiences in retrospect, remembering the best elements and forgetting or downplaying the worst.
4. Revenue
Do incentive trips like Club actually drive revenue? Yes! In almost 100% of cases, the cost of a President’s Club trip is far less than the incremental revenue generated from the higher goal. Not only does the performance of the top reps go up, but the trip drives competition that increases the output across the business.
5. ROI
A program like this is an investment. You will allocate budget ahead of the increased performance, but the investment will prove to be worth its weight if you & your leadership team use the trip to strategically drive performance over a 6-12 months period. And while some of the benefits to a great program are qualitative like improved morale and competition, you will be able to track sales performance and justify the spend after the first year. According to the IRF, properly designed and executed incentive travel programs can increase sales productivity by 18% and produce an ROI of 112%. Win-win-win!
Found this insightful? Contact your Sales Assembly member experience partner for an introduction to Ladidadi and your complimentary President’s Club consultation. Stay tuned for the rest of the President’s club series: an article highlighting Five Lists of 5 to Make Your Club One to Remember and sit down with Noelle to hear all about marketing your event and Making President’s Club Last All Year Long.
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