Employee Incentives: How Employee Appreciation Leads to Better Sales
When it comes to brand advocates, the biggest and best champions of your business are right in front of you: your employees. A happy, engaged employee is focused on the health and success of your organization, and your customers will take notice. As the direct liaison between you and the market, your employees are the “first line of defence” in terms on ensuring you have loyal customers. A motivated employee will preach the benefits of your company and ensure that they deliver an excellent customer experience with every interaction.
The Numbers Don’t Lie:
- High employee engagement can increase revenues by up to 2.5x as much as companies with lower engagement.
- Highly engaged employees help businesses achieve 2x the annual net income of organizations whose employees lag behind on engagement
- Companies with high employee engagement scores had twice the customer loyalty (repeat purchases, recommendations to friends) than companies with average employee engagement levels.
- Nearly 50% of customers would take their business to a competitor within a day of experiencing poor customer service
- 73% of consumers would consider purchasing from a brand again if they had a superior customer experience.
- Each year, the estimated worldwide cost of customers switching businesses due to poor service is $1.6 trillion
- Companies with employee engagement levels of over 50% (which is high) retain over 85% of their customers
- A mere 5% increase in employee retention can result in a 25-85% boost in profits
Ok, those numbers are amazing. But how does employee engagement increase customer loyalty?
Engaged Employees = Excellent Service = Happy Customers
This isn’t rocket science: motivated and engaged employees are willing to go the extra mile for customers and make sure they receive a top-notch experience shopping with your brand. Why? Because they actually care! A happy employee will spend that little extra time with a customer, and an employee who feels respected will take pride in meeting a customer’s expectations. Customers who experience–and are made happy by–superior customer service are 10 to 30 percent more loyal than other customers.
Engaged Employees = Better Brand Experience
If you’re doing it right, employees should be interested in the products or services they are selling. They will promote your company and their excitement will make consumers more likely to purchase from you. An engaged employee will understandably be more productive than a disengaged employee, and the results are hard to argue with. Properly engaged and incentivized employees can lead to an increase in performance by as much as 44 percent! Your customers will remember.
When Your Business Values Your Employees, Your Customers Will Value Your Business
“Customer centricity,” the act of understanding a customer’s problems and looking out for their best interests, is a business strategy you need to incorporate if you want to achieve long-term success. Customers will be loyal to you if they see that you make serving them a priority. Make your customers feel empathized and treat them as individuals. The best way to do this is having engaged and valued employees.
So, how can you engage your employees?
Don’t worry, we’ve got you covered. Here are 5 great ways to increase employee engagement in your company.
A great way to increase employee engagement is through an incentive program. Annual revenue increases are 3x higher in companies that use a tangible sales incentive over those that don’t use an additional incentive. An incentive program can increase employee retention.
Want to know more? Check out 5 Employee Incentive Programs That Work.