Mike May
@SpearOne
8 Emerging Trends for Channel Incentive Programs
Channel Challenge
“Channel incentive programs have become ridiculously hard
to understand and comply with.”
- Channel Executive
“Reps get a check and don’t know what it’s for.”
- Channel Executive
Channel Challenge
Environmental Challenges
• 200 emails / day
• Doing job of 2-3 people
• Changes in job, direction, territories, products
1. Attribution2. Targeted & Recurring3. ‘Thud’ Factor4. Gamification5. Behavioral6. Award Pyramid7. SoMoGlo8. Enablement
Breathe Life into Your Channels
TREND 1
ATTRIBUTION
Attribution
A B C D E
1 2 3 4 5 6 7 8
MANUFACTURER
RESELLER
REP
Attribution
General IT VAR Dell 20%HP 12%
Cisco 10%Avaya 8%
Polycom 6%Microsoft 12%McAfee 8%
VAR service 10%All others 14%
100%
DellHP
CiscoAvaya
PolycomMicrosoftMcAfee
VAR serviceAll others
Attribution
Security Specialist
DellHP
CiscoAvaya
PolycomMicrosoftMcAfee 60%
VAR service 10%Symantec 10%
Trend Micro 10%Websense 7%
ESET 3%100%
AttributionDellHP
CiscoAvaya
PolycomMicrosoftMcAfee 60%
VAR service 10%Symantec 10%
Trend Micro 10%Websense 7%
ESET 3%100%
Dell 20%HP 12%
Cisco 10%Avaya 8%
Polycom 6%Microsoft 12%McAfee 8%
VAR service 10%All others 14%
100%
Insights
Awards
• Bigger behavior shift requires bigger award
Communication
• Segment audience by attribution %
• Target different messages by segment
Design
• Remember others aren’t at 100% as we are
• Simplify!
TREND 2
TARGETED & RECURRING
Message to where they are!
Targeted Communications
Partner Sales Reps
Audience Non- participants
Member with No Points
Silver with Points
Silver with Points, but No Redemptions
Gold Platinum
Objective Increase registration
Build mindshare
Initiate participation
Increase mindshare
Move to Gold level
Increase redemptions
Share unique rewards
Keep 'Top of Mind‘
Move to Platinum
Provide extra
recognition
”…with any considerable number of repetitions a suitable
distribution of them over a space of time is decidedly
more advantageous than the massing of them at a single
time”
- Ebbinghaus, H.
Spaced Repetition
Throughout the year
• Definitive start and end
dates
• Set optimal duration
During the campaign
• Capture attention in
short intervals
• Example: Blitz weeks
Rythmic
Insights
Awards
• Match awards to audience interest
Communication
• Segment & target
• Personalize content
• Create rhythm
Design
• Personalize web experience (PUX)
TREND 3
THUD FACTOR
200 emails / day10% read rates2% click thru .4% connection
Challenge
Campaign in a Box
Campaign in a Box
• Custom kit boxes• Collateral• Branded giveaways• Job training aides• Banners and posters• Catering• Motivational awards
Campaign in a Box
Job Training Aids
Job Training Aids
Insights
Awards
• Not all cash and cards
• Ship some stuff
Communication
• Change it up!
• Add print or promo item
• Job aids
• Vary email formats
Design
TREND 4
GAMIFICATION
Gamer Types
Achiever Explorer
Socializer Killer
Game Mechanics
Performance
• Real-time Feedback• Progress Tracking• Goal-Setting
Status• Badges• Leveling Up• Mastery
Social
• Teams• Competition
• Creating a virtual identity
• Earning badges, trophies, achievements
• Tracking activity
• Competing for a leading position
Game InterfaceGame Interface
Leaderboard
Participants will receive virtual rewards such as badges and ‘leveling up’
Badges
• Team badge notification
• Digital activity stream
• Message board• Peer-to-peer
recognition• Group-specific
leaderboards
Socialize Success
Web Training GamesGamification
Web Training GamesGamification
Insights
Awards
• Add social recognition
• Add prize drawings
Communication
• Promote the game
Design
• Try a game!• Determine
the goal of your game
TREND 5
BEHAVIORAL INCENTIVE
Sales Incentive
SALE
Learning ProposalDemoCertificationQuiz
Benefit: Behavioral incentive breaks down & rewards successful steps.
Behavioral Incentive
Challenge: Reps often struggle with mapping steps to a complex sale.
SALE
Learning
ProposalDemoCertificationQuiz
Behavioral Incentive
Learning
SALELearning ProposalDemo
Certification
Quiz
Behavioral Incentive
Certification
SALELearning
Proposal
DemoCertificationQuiz
Behavioral Incentive
Proposal
Insights
Awards
• Reinforce key steps with rewards
Communication
• Educate channel on important behaviors
• Narrow focus
Design• Roadmap
your steps to success
• Evaluate key drivers
• Determine where focus needed
TREND 6
AWARD PYRAMID
$$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$ $$
Where?
Why?
How?
PRO CON
Easy Monotony
Disconnected
Stale
Compensation
Distinct Promotability
Grand Prize
2n
d
Prize
3r
d
Prize
create excitementattract interest
WOW factor
lots of winnerstouch more participants
reminds that people do win promotes contest
fun awardsmore winners
promote contest
Award Pyramid
Mexico
ChinaChile
Paris
Awards that Motivate
Awards that Get Noticed
Awards that Motivate
InsightsAwards
• Cash & cards are hard to promote
• Avoid award monotony
• Add overlay contests
Communication
• Align message with channel strategy
Design
• Simplify offers
• Increase awards to match strategy
TREND 7
SOMOGLO
So - Social
Mo – Mobile
Glo - Global
Insights
Awards• Social
recognition: what are you doing?
• Badges, virtual recogntion
Communication
• Check your web stats for location and browser type
Design
• Prioritize theatres
TREND 8
ENABLEMENT
Channel Challenge
“Enablement is everything.”
- Channel Executive
The Kirkpatrick Model
Donald Kirkpatrick, PhD, The Kirkpatrick Model
The Kirkpatrick Model
Engagement - - - - - - - - - - - - - - - - Enablement
Insights
Awards
• Reward enablement behaviors
Communication
• Stop sending same emails
Design
• Ask “how are we doing?”
• Evaluate rep turnover & competency
1. Attribution2. Targeted & Recurring3. ‘Thud’ Factor4. Gamification5. Behavioral6. Award Pyramid7. SoMoGlo8. Enablement
OR …
SUMMARY
rapid channel enablement
Mike May | Spear One | President | [email protected] | 972.661.6010