Sales Incentives Key Terms

Find motivation using sales incentives key terms

Organizing a sales incentive program can be a great way to increase sales, thus increasing profits. In a sales incentive program, greater sales are incited through the exchange of a quality product or other reward for increased effort of employees or customers. Every business is different, with different products or services and different employees; a sales incentive that works for one business may not work for another. When developing a custom program, keep the following sales incentives key terms in mind.

 

Employee incentive

An employee incentive is something used as a reward for increased employee productivity designed as a source for motivation, such as a raise, a trip somewhere or a quality product.
Try: Learn more about tried-and-true employee sales incentives from Perks.com.

Consumer incentive

A consumer incentive is a product, discount, benefit or other reward given to a customer for purchasing a product or conducting business. It is used to increase sales by encouraging customers to buy rather than encouraging employees to sell.
Try: Read more about consumer sales incentive programs at the website of Sales Promotion Services.

Dealer incentive

A dealer incentive is a premium or other reward given by a manufacturer to retailers and distributors in return for an increased purchase from the manufacturer. It is designed to motivate larger than usual purchases.
Try: Visit Cars.com to read about how dealer sales incentives, like the ones commonly used in the auto industry, work to increase sales.

Close-ended program

A close-ended program is a type of sales incentive program that has a pre-determined number of awards given, such as rewarding the top sales person or top three sellers.
Try: Find a guide on how to run a successful close-ended incentive program at AllAmericanClocks.com.

Open-ended program

An open-ended sales incentive program is a type of incentive program that has no limit on the number of rewards that can be given, and rewards any employee that achieves a specific goal.
Try: Discover why some experts claim open-ended incentive programs generate more sales at FIRE Light Group.

Continuity program

A continuity program is a program designed to offer an incentive to a customer for repeated business. It motivates the customer to return again with future business with incentives such as frequent flyer miles, hotel points or discounts.
Try: Learn about using continuity incentive programs by reading how the Wine of the Month Club's program is a success.

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