Why Your Incentive Program Isn’t Working (And What to Do About It)
There’s nothing quite like the thrill of launching a new incentive program. The excitement, the email blasts, the slick rewards catalog… it’s like planning a party where the confetti is made of revenue projections.
But what happens when the party flops? When participation is low, ROI is fuzzy, and the only people excited are the ones who created the program?
You’re not alone. At Brightspot, we’ve worked with hundreds of companies and have seen even the most well-intentioned channel incentive programs struggle to get traction.
So, why isn’t your incentive program working? Let’s break it down!
1. You Skipped Discovery and Jumped Straight to “Go”
We know – it’s tempting to fast-forward to the fun stuff: logos, swag, catalogs, launch day hype. But skipping discovery is like baking a cake without reading the recipe. The result might look okay, but there’s a high chance it won’t taste like success.
What we see:
Companies rush to launch because stakeholders are excited, goals are vague, and “we needed this live yesterday.” But without a thoughtful discovery process, you risk building a program that looks good on paper and flops in practice.
What to do instead:
Spend time upfront understanding your audience. Not just who they are, but what motivates them. Are you dealing with sales reps, channel partners, blue-collar teams, or high-income engineers? Each group responds to different motivators.
Pro tip: Design for your participants – not your (or your CEO’s) personal preferences. (Yes, even if you really like gift cards.)
2. Your Sales Cycle and Program Timeline Are Totally Out of Sync
Imagine telling your sales team, “You’ve got 30 days to close deals and win prizes!” and your average deal takes… 6 months.
We see it all the time. A new sales incentive program launches with a deadline that makes zero sense given the real sales cycle. It’s like running a marathon with a 100-meter sprint timer.
Why this matters:
If your program ends before deals can close, you’re setting your team up for failure – and frustration. That BMW you’re raffling off? No one’s winning it.
What to do instead:
Use this simple rule of thumb:
Sales Cycle × 2 (or 3) = Incentive Program Length
Plus, account for:
- Ramp-up time (they need to hear about it, understand it, and get started)
- Redemption time (participants need space to enjoy the reward process or bank up their points for a high-value item)
3. Your Rewards Don’t Match Your Audience
Let’s talk rewards. Maybe you love a $25 Amazon gift card (who doesn’t?), but does your audience?
We’ve seen program managers curate a beautiful catalog of budget-friendly rewards – only to find that their high-performing, high-earning sales reps aren’t even logging in. Why? Because the rewards don’t match the effort.
Storytime:
Let’s say someone designs a catalog full of thrift-store-priced rewards because that’s what they liked. But their audience? High-level channel partners with six-figure deals. Unsurprisingly, engagement is low.
What to do instead:
Start with demographics and psychographics:
- What’s their income level?
- What motivates them – experiences, status, practical items?
- How much effort does it take to earn a reward?
Also: Beware of “choice paralysis.” Too many options can overwhelm participants and lower redemption rates. A well-curated mix always beats a 3,000-item buffet of mediocrity.
4. You’re Trying to Report ROI After the Program Ends
This one stings: You launch your program, it runs beautifully… and then someone asks, “What’s the ROI?”
And you realize – oh no. You didn’t build in the data points you need to prove success.
Why it matters:
If you can’t show ROI, stakeholders might cut your budget, no matter how well the program felt. Worse, you might not be able to justify improving or scaling it next time.
What to do instead:
Begin with the end in mind. Before launch, define:
- What success looks like
- What metrics you’ll need to track
- What fields you need to collect (region, sales stage, job role, etc.)
Pro tip from our IT team: It’s way easier to build in reporting fields before launch than after.
Even if you don’t need that data now, future-you will thank you for it.
5. You Underestimated Communications (A Lot)
This might be the biggest issue we see: Programs launching with beautiful strategy and perfect rewards – only to fizzle because no one knew about them.
Or worse, they got one email and forgot it existed.
Why it matters:
Your incentive program communication plan is everything. Especially in fragmented environments like channel sales, where participants aren’t logging into your systems every day. If you’re not top of mind, you’re not in the game.
What to do instead:
Build a multi-touch, multi-channel communication plan, including:
- Pre-launch teasers (build anticipation!)
- Launch campaigns
- Monthly emails
- Personalized program statements
- Print collateral (yes, print is making a comeback!)
Pro tip: One email per month isn’t enough. Research shows it takes three+ touches before people even recognize your email in their inbox.
Another tip: Use automation to trigger emails at key moments – like when someone earns points or hits a milestone. Keep momentum alive!
Bonus Mistakes We See (But You Can Totally Avoid)
Overcomplicating the Program Structure
Keep it simple: “Sell this. Earn that.” Add layers later once you’ve built engagement and trust.
Assuming One Size Fits All
Your internal sales team and your channel partners are not the same. Design your channel incentive program specifically for their challenges and motivations.
Ignoring the Power of Print
Digital is essential, yes – but don’t discount the magic of a physical mailer or a branded welcome kit. Print can be your program’s secret weapon.
So… Why Isn’t Your Incentive Program Working?
Let’s recap the main culprits:
- You skipped discovery and strategy
- Your timeline doesn’t match your sales cycle
- Your rewards are mismatched
- You didn’t think about reporting until too late
- You under-communicated (oops)
The good news? Every single one of these problems is fixable. Whether you’re building a brand-new program or trying to rescue an underperforming one, it’s never too late to course correct.
Let’s Build a Better Incentive Program – Together
At Brightspot, we specialize in designing channel incentive programs, sales incentive strategies, and employee reward systems that actually work. No fluff, no guesswork – just smart, scalable solutions based on what drives people.
Want to increase engagement?
Ready to prove ROI?
Need help aligning goals and execution?
We’re here for all of it.
Contact us today and let’s get your program back on track – and better than ever.
