Clearly Defined and Diversified Incentives Will Help Motivate Sales Teams

by: Nichole Gunn December 21, 2010

Comprehensive incentive strategies are used by many businesses to motivate sales teams to enhance their sales efforts and bring in new business. The majority of the incentive and rewards are monetarily based, the philosophy being that monetary rewards boosts motivation, thereby increasing sales.

There is though, a camp of incentive experts who believe direct monetary compensation does not motivate all salespeople.

Paul Shearstone, writing for About.com, explains, "The monetary values of incentives are often not the critical factor in motivating salespeople to succeed. The problem, from the vendors' point of view, is that not all salespeople are motivated the same way."

Having a comprehensive incentive program that offers other than monetary rewards should be in place. But, the experts warn to keep the details as clear and simple as possible. “A complicated chain of incentives will distract salespeople from their work, if not in the short-term then in the long term.”

Overly complex incentive programs may frustrate sales people, or they may become overly involved in simply reaching each goal, thus the next reward. A company’s purpose of incentive programs is to foster focus on the company and its clients, along with leads.

To implement or overhaul an incentive program that will generate motivation and even excitement for the company’s success takes creativity, and possibly the help of an incentive expert. Incentives and rewards should be in place to motivate the sales team to further the company’s success.