HR IS playing an increasingly important role in incentive marketing, as organisations seek more effective ways of motivating employees and lifting productivity.
Kevin Moloney, president of the Incentive Marketing Association Australia, said that marketing and HR are increasingly coming together to create an effective incentive program.
“From an HR perspective, we’re going to have happier employees and more fully engaged employees, so ultimately the retention rates are going to increase and the employee satisfaction rates are going to increase,” he said.
This will translate to sales, according to Moloney, however he said this was contingent on getting HR working with marketing so there was a common language being spoken between the two.
“If you focus only on the sales side it can only be achieved through the efforts of the employees and the efforts of the employees can only be enhanced by providing an incentive,”said Moloney.
Programs within an organisation are often designed to increase performance and engage employees, and perhaps channel partners or sellers of their products, and he said that these programs helped in the retention of staff and increasing their earning capabilities.
Moloney, who will be speaking at the Incentive Show in Sydney on June 3-4, said organisations may also use incentive programs to reduce absenteeism, improve their OHS record or gain support for environmental initiatives.
As such, the delivery of incentives is much more broadly focused, said Moloney.
The trend is now for much broader consumer-based incentives, where marketers use them to engage consumers in their product. This takes companies into experiential marketing whereby, instead of just advertising and selling to a particular audience, they are provided with an incentive to buy, he said.
Moloney added that the incentive industry had benefited a lot from technology whereby people can access their program online.
“If they’re connected to an incentive program within a retail distribution network, they register online for the incentive program, can track their sales targets and choose their reward online,” he said.
For more information on the Incentive Show, see our special report or visit the Incentive Show website.