Inspired Incentives

Fueling Sales with a Multi-level Incentive Program

Posted by Abby McMillin

Wed, Dec 07, 2016 @ 08:10 PM

Incetive program success storyStrengthening relationships and increasing sales is a goal many companies have. With a multifaceted incentive program, this fuel distributor was able to do just that! 

OBJECTIVE:

A mid-size fuel distributor wanted to grow their market share — without breaking the bank.

CHALLENGE: 

Building relationships with fuel dealers can be problematic. Loyalty is fleeting — the distributor with the cheapest fuel usually wins.

SOLUTION:

After exploring the possibilities, HMI designed and executed a customized and multifaceted fixed budget incentive solution with a robust marketing communications component. The program included:

  • An all-inclusive group trip for top qualifiers and their guests to Puerto Vallarta, Mexico
  • Quarterly sweepstakes for dealers to win merchandise awards 
  • Monthly e-mail statements and quarterly promotional items shipped to the customers

Dealers were divided into two cohort groups: larger dealers and smaller dealers. A percentage of the trip qualifiers were allocated to each group, which meant that even the smaller dealers could qualify for the grand prize group trip. Non-trip earners were kept engaged throughout the program by the chance to win quarterly merchandise, and competition was kept at a high level through an online leaderboard for each cohort group.

Incentive Program Results:

  • Program ROI = $3 Million in revenue after program costs 
  • YoY sales for participants jumped from 160 million gallons sold to 453 million gallons sold 
  • Year two goal earners increased by 237% 
  • YoY program participation increased by 72% 
  • Achievers exceeded their goal by an average of 19% = 453 million gallons sold by this group alone 
  • 1,100 Dealers participated with half achieving their gallon sales goal

More importantly, the trip was a success for the participants AND the company. Trip earners gave the trip experience and related services 4.5 or higher out of 5, and 100% of respondents said their attendance positively influenced their relationship with the client! 

Read more about how we helped this company with their strategy and implementation here

Topics: Sales Growth