- In a new paper by Virtual Incentives, a digital reward fulfillment company, researchers found that consumers prefer to receive rewards and incentives online and that they want them right away. The paper, “The Future of Rewards: How Consumers Value Rewards and Incentives,” offers insights into what drives consumer demand for rewards.
- Research results also show that most respondents (78%) prefer to access rewards and incentives online and they want them immediately, compared with 22% who want their rewards and incentives by mail. Around 65% of respondents view incentives and rewards as “bonus” money and don't consider them part of regular income, although 62% percent spend rewards on everyday purchases. The right incentive can boost brand loyalty, with 75% saying they favor companies that offer rewards.
- Researchers conclude that consumers have clear ideas about their preferences for receiving rewards, how rewards influence their choice of brands and what forms of currency have the most relevance for them.
The study refers to "consumers," which is a broad term for buyers. But employers can apply the results to the way they market benefits and incentives to employees.
As in the study, employers are looking at the importance of brand loyalty with workers. A brand can be an organization's biggest asset when employees view it as positive and in line with how the organization treats them. A negative brand can drive employees onto social media with damaging comments about an organization, not to mention significantly reduce retention. Experts told HR Dive that a focus on brand, generally, will be a key sticking point for HR leaders going into 2018, especially as employee, employer and company brand all begin to merge into one.
Internally, HR can conduct surveys to collect information and insights into employees' preferences for benefits, programs and incentives. Keeping an eye on want employees need will continue to be relevant, especially as the generational span of employees grows.