Choosing the Right Rewards to Drive Sales in 2025

ATLANTA, Jan. 30, 2025 /PRNewswire/ -- Data from Extu sales incentive programs shows that companies who implement their programs see an average 30% increase in sales. Achieving this growth is largely dependent on the program's implementation strategy and the rewards offered.

Some of the most unique rewards redeemed through incentive programs include new vehicles, an elaborate engagement trip to see the Northern Lights, and plastic surgery procedures.

"The 20-60-20 rule is a proven framework for success. It focuses on rewarding the top 20% of performers with premium incentives, while strategically motivating the middle 60% to push their performance to the next level. This balance drives results and fuels team engagement," said Nichole Gunn, Global Chief Marketing Officer at Extu. "This proven approach has consistently increased sales while energizing and engaging teams across our clients' organizations."

There are six key benefits of successful sales incentives programs, according to Gunn. They are:

1. Boosting Sales Volume – Extu helped a home-building manufacturer target over 2,000 contractors with an incentive program resulting in an increase in order volume.
2. Shaping the Product Mix – A global HVAC company ran an incentive program to promote ductless systems over standard ducted models. The introduction of reloadable debit cards as rewards resulted in a 45% increase in eligible units claimed. Due to its success, the short-term initiative turned into a recurring seasonal event.
3. Building Market Share – By incentivizing teams to promote your product over competitors, businesses can increase market share and brand loyalty. A global lift truck manufacturer introduced a dealer incentive program via a mobile app, utilizing emails and push notifications, creating a 205% increase in app adoption and engagement.
4. Ensuring Profitable Growth – A global manufacturer of electrical controls used an incentive program to reward sales of higher-margin products. With a leaderboard and tiered point system, the program encouraged participants to focus on more profitable transactions. Over a four-year period, this approach led to increased profitability and stronger market penetration.
5. Educating and Empowering Sales Teams – Incentive programs that incorporate training components, such as online modules and gamified elements, improve both product knowledge and sales performance. A leading chemical manufacturer employed this strategy with 1,700 sales representatives, resulting in increased sales and enhanced product knowledge.
6. Leveraging Data for Smarter Sales Strategies – By incentivizing partners to share insights into customer preferences and buying behaviors, companies gain critical data to inform decision-making. For example, a wholesaler used an incentive program to encourage distributors to provide key channel data. This allowed Extu to adjust content marketing strategies to achieve stronger sales results.

Sales incentive programs are not just about short-term wins – they're about building lasting growth, increasing market share, and fostering continuous improvement.

"When tailored to specific industry needs, these programs can drive sustained success," said Gunn. "As companies are finalizing 2025 plans, those that invest in strategic, data-driven incentive programs will be better positioned to stay ahead of the competition and achieve long-term growth."

About Extu

Extu specializes in providing innovative channel incentive and marketing technology solutions to mid-market companies in various industries, including automotive, energy, building and construction, and IT. With a focus on delivering measurable results, Extu's solutions empower businesses to drive growth and enhance channel performance.

SOURCE Extu