Successful distributor incentive programs understand the importance of channel partner engagement and its relationship to loyalty. The whole point of engagement is to captivate, activate, and motivate partners to choose your product or services over your competitors. Anyone in this sphere of influence knows keenly though that there are challenges when it comes to engaging with B2B partners.
1. Poor Communication
Communication is essential between businesses and their distribution channel. Clear and transparent communication ensures that everyone is on the same page and pursuing the same goals. But the opposite is also true. Poor communication leads to goal misalignment. It leads to misunderstandings, missed opportunities, and conflicts.
How can organizations overcome this challenge? By establishing clear lines of communication in advance. At Motivation Excellence, we suggest reaching out to channel partners involved in an incentive or loyalty program multiple ways. Some people prefer email to text. Others prefer a printed piece over a phone call. Sometimes participants like to be able to tune in on their own time.
We always recommend a variety of engagement channels. A custom program website that can house important program information, training modules and instant performance tracking gauges is great for the “one stop shop” approach. Sending well-timed emails with data analytic options is critical for getting increased open rates. Sending materials to the home can engage the significant other as well as the participant. Texts can be easy ways to keep the program top of mind. We put together a monthly schedule so we aren’t being too intrusive, while also knowing we are being timely and consistent.
2. Competing Interests
Your channel partners are probably not exclusive to you. Most partners work with multiple distributors or manufacturers, increasing the chances of competing interests. Channel partners may prioritize a competitor instead, leaving your business with partners who are not as engaged as they could be.
That’s where loyalty or incentive programs play a critical role. If your business is offering an incentive that ignites excitement, you’ll likely capture attention. At Motivation Excellence we take a deep dive into your industry to find out what competitors might be doing for incentive or loyalty programs. Then we look at what options could bring the focus to your program, and thus, bring you more market share.
Our programs drive incremental growth, but also, stronger relationships which, in the long run, builds loyalty and trust.
3. Business Support and Training
If your business invests in the success of your channel partners, you’ll see a greater ROI in your incentive or loyalty program. One of our clients has seen great success and increased loyalty with their distribution network because they offer supports like networking events, training modules and small business growth seminars in between their yearly customer loyalty travel event. As channel partners’ businesses grew, they tied the success back to our client’s support.
Providing training on the merits of your product or service is another proven way to build trust and loyalty with B2B partners. If you’re reaching out with valuable information on best practices or steps to the sale and your competitors are not, you’ll capture engagement and loyalty going forward.
4. Incentive Misalignment
Rewards and incentives are the seeds of channel partner engagement. However, they may fail to effectively bloom under one of two circumstances: they do not align with partner priorities or partners find the reward structure confusing or unmotivating.
Incentive misalignment is overcome through proper research ahead of time. Creating a clear rule structure with attainable stretch goals and aspirational rewards leads the way to engaging channel partners. By successfully overcoming numbers 1 to 3 above, you’ll naturally find better alignment and success with your next incentive or loyalty program.
One final word about channel partner engagement before we close: it is not a one-time thing. It’s an ongoing effort designed to ensure that channel partners remain on board for the long term. Strong engagement drives sales and brand loyalty. On the other hand, a half-hearted engagement will deliver half-hearted results. Which would you prefer to see from your channel partner program?
Take the guesswork out of your channel partner engagement and have Motivation Excellence manage your next loyalty or incentive program.
