Channel - Sales Incentives
Grass Roots channel incentives best practice is to develop an integrated program where the emphasis can be placed on one of three different approaches according to market. Each of these can be supported by the other, together with an effective channel communication plan.
- Short term local (national) tactical activity;
- Medium term (national or regional) strategic sales incentives
- Long term (national, regional or global) activity around behavioral change or channel loyalty program.
Best-practice channel incentives programs provide rewards for partners who contribute to higher levels of customer satisfaction, increase mind share and sales share with the vendor, and build higher, deeper relationships within targeted accounts (a requirement for successful complex services and solution selling). This is achieved by aligning your incentive program to your overall channel strategy, and by developing the right rules structure to reward and recognize desired activities and behaviors.
Our solutions can segment your incentive program by:
- Channel type and tier: distributor, reseller, dealer, VAR, VAD, OEM, DMR, system builder, system integrators, service providers, retail store, etc.
- Participant type: principal, manager, admin, sales rep, sales engineer, product manager, etc.
- Partner competency: accreditation, certification, specialization, bronze, silver gold, etc
- Region: North America, EMEA, APAC, LATAM
Channel incentive program design and rule structure should always take into account not only “product transaction” revenue, but also solutions or services intensive deals won by partners where the product portion is transacted elsewhere (e.g. through distribution). A well balanced incentive program always rewards second tier value, and cuts back “rewards” that go to tier one partners who simply take orders.
The reward mechanics of our Sales Incentive Programs (SIP) include point accumulation with redemption on a rewards catalog including:
- Cash equivalent
- Gift certificates
- Merchandise
- Travel
- Experiences
- Sweepstakes of high value prizes like travel, vehicles, plasma TV’s, etc.
- Instant wins
- Accelerators (reach your target and points double)
- A combination of all of the above
In the past, many channel incentive programs were largely tactical in nature, consisting of a “sell x today and get y tomorrow” offer. While there is still a role for such programs, particularly for vendors that have a newly created channel, others who have been at this for years, are able to achieve better performance from a range of solutions designed to supplement and, in some cases, replace the pure incentive element.
Incentives are assigned to each participant by:
- Mapping your POS data to your sales incentive program
- Sell-in, Sell-out, Sell-through data provided by your company or directly by the channel
- Assigning validated sales data to sales participants
- Assigning validated and approved rebate payments to principals
- Claiming sales invoices, SKU’s, serial numbers, and more
- Validating all claimed sales against a POS database
In the current business environment, the complex needs of the channel marketing office require leveraging best practices and platforms into a single global below-the-line agency, for cost efficient and more effective handling of your resources. Grass Roots understands these challenges and has a wealth of experience in designing and developing programs that drive channel performance across national and international boundaries.
Our channel sales incentive platforms include:
- Multi tier sales incentive programs (Sell and Earn)
- Multi tier and country sales incentive programs (Sell and Earn)
- Multi country promotional channel branded incentive platform (Learn, Sell and Earn)
- Promotional sales platform (Vendor ”RewardsYou”)
We manage everything including:
- Communication (offline and online media)
- Promotion materials and launch events
- Enablement, education, learning
- Measurement, reporting and surveying
- Reward fulfillment (in accordance with local law and taxes)
- Events and Public relations
Grass Roots sales incentive solutions inspire and motivate the members of your channel, to promote and sell your brand over your competition.
The Grass Roots Group employs over 1,000 professionals working from 27 Grass Roots companies spread out thorough the largest 16 economies of the world. Grass Roots is your local channel marketing agency, that supports all your global channel needs.
