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Business Case   Increased Knowledge Leads to More Sales for Third-Party Channel 

Target Audience
Third-Party Partner Sales Associates

Situation
A leading manufacturer of communications hardware wanted to increase sales. It sold its product through distributors and independent partners, but the manufacturer had limited contact with or influence over the partners and their frontline Sales Associates who actually sold the product to the end customer. A smart solution was needed to educate – and motivate – this third-party channel.

Objectives
The major challenge was making contact with the hard-to-reach Sales Associates, and then influencing their behavior. The manufacturer didn’t need a quick fix; it needed an enduring solution grounded in knowledge. To achieve its goals, the incentive program had to:

  • Capture mindshare
  • Energize and motivate
  • Make participation easy, convenient, and enjoyable
  • Communicate and activate the power of knowledge: Through online training, the Sales Associates would gain increased knowledge and technical aptitude, leading to increased sales and tangible rewards.

Solutions
The solution was a three-month incentive opportunity for Partner Sales Associates that rewarded ePoints for desired behaviors. ePoints were redeemable for a wide variety of tangible rewards. The successful program included both training and sales components:

Knowledge: Sales Associates earned rewards for passing three online quizzes, covering four categories:

  • Product knowledge
  • Application knowledge
  • Market knowledge
  • Competitive knowledge

Sales: Sales Associates and Managers earned rewards for sales of specific products.

Smart Features
Communications Campaign: A combination of creative print, chocolate themed gifts, and electronic elements delivered key messages on a regular basis.

Web Platform: Everything necessary to participate in the incentive was available online. Participants could take quizzes, submit sales, check their account balance, and redeem rewards 24/7.

Rewards Catalog: The incredible variety of rewards guaranteed satisfaction, and the elements of choice and goal-setting were powerful motivators.

Results
The incentive exceeded all expectations by increasing sales, product knowledge, channel mind share, and market share. Sales Associates who took and passed the quizzes sold 78% more than their non-participating colleagues. And, revenue per participating Sales Associates increased by 48% in three months:

 

After three short months, the manufacturer’s investment paid off. Rewarding both knowledge and sales gains was definitely the smart thing to do!

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