Incentifying your customers is one of the best ways to drive sales and increase your bottom line. It helps bring current customers back into the fold while assisting in catching new customers interested in your products. However, there is no such thing as a one-size-fits-all incentive approach. What works for your business may not be the same as others, so you need to find the sweet spot of what your customers are interested in and what also helps you develop sales without impacting your profit margins. An analytical approach can help some with this, as it gives a better look at your customers, their buying habits, and what kind of sales attract them. Yet, there are still some data insights that will require experimentation to see what works and what might prove less than beneficial. This is why it is necessary to go over the different types of incentives and awards in order to help you and your company determine the best course of action for 2022 and beyond.
Rebate Incentive Program
This is a sales-type incentive program that promises to give a customer a desirable award for buying a specified object or service/subscription, such as. They will pay full price for the products, but once the customer fulfills their end of the agreement, your business will then provide the promised award. This might be a return on some of their funds, it might be to significantly discount a future purchase, to offer something for free, or brand swag. With a rebate program, it protects your business and its bottom line. A sales discount can sometimes increase the number of units sold in order to make up for the thinned-out profit margin, or it might not. There’s always a risk in discounting the price because it might only lead to the customer saving money and you not increasing sales. Incorporating a rebate incentive program can be an effective way to increase sales.
While a rebate program is desirable, it doesn’t always draw in the new customers who need some swaying to test your services or products. Current customers already know the quality of what you offer and are more likely to take advantage of a rebate offer. However, a customer that doesn’t have experience working with you, might not want to pay full price for something they aren’t fully confident in.
You, obviously, are confident in the services and products you sell, which is where a discount incentive comes in. The discounted price makes the starting point of a new customer more accusable and attractive to them. This can help generate not only new sales for your business but long-term customers. So while a rebate offer is desirable, you shouldn’t fully abandon discount incentives as well.
There will always be those customers who are more cautious and don’t want to dive in right away. Even a discounted price may not win them over. They simply are not interested in investing money into a service or product that they do not yet have any experience with. With a presale incentive, you are basically offering a test drive. You need to win them over with an actual experience prior to the customer paying money for it.
There are a number of presale incentives available for you to consider. You might offer a service for free for a set period of time. Software companies do this with applications or other services where they allow a customer to utilize the software for a few weeks and then begin charging once the free trial has been completed. Your business can offer something similar. Every customer needs to be wowed and brought in differently. Some are willing to pay the up-front cost of admission to working with your business, while others would be more tempted by a sales price. And yet there are still those that need the pre-sale incentive.
This type of incentive is almost completely used to bring in new customers. Your current customers are already paying for the service and, as such, they don’t need to be incentivized to use what they are already paying for. By looking through the analytical data of your company’s sales department, it is possible to see where you’re doing well and where there are opportunities. A presale incentive can help target these areas. This is why you need to work with an incentive service provider, such as Incentive Insights, to assist you in creating a customized program that works best for you as well as the customers you’re interested in attracting. Connect with us today to get started.
Begin Developing and Executing Your Incentive Programs Today
Finding the ideal incentive program is not something that comes together overnight. You need to study the analytical data to determine which programs have the best probability of succeeding and drive the type of results you’re looking for. We understand you’re busy and you want to ensure that the incentive program you start is right. That is exactly why it is so important to partner yourself with an incentive service provider that understands the ins and outs of not only what an incentive program is, but how to properly execute them. That is where we can step in, Incentive Insights has the experience to help plan and execute your incentive program.
So, whether you’re ready to begin implementing these new incentive programs into your business model, or you want to learn more about the company and how it can boost your incentive programs, now is the perfect time to reach out and contact the team at Incentive Insights. Call us today to jumpstart your business in 2022 and beyond.