IN TODAY’S WORLD, IT CAN BE A CHALLENGE FOR A COMPANY TO STAND OUT, BOTH IN THE SALES MARKETPLACE AND IN THE COMPETITION FOR TALENT. A WELL-MANAGED, THOUGHTFUL RECOGNITION PROGRAM CAN SET YOUR COMPANY APART BY SHOWING EVERYONE JUST HOW MUCH YOU CARE.
Recognition Programs Advance Your Goals
No matter what your corporate goals are, keeping people feeling satisfied and loyal is a must. After all, your people – your customers and your employees – are the heart of your organization. When they feel appreciated, they are, in turn, more loyal, more effective, and more likely to speak highly of the organization to others. If your goals include increasing employee productivity and reducing turnover, a recognition program can play a major role.
Consider these stats, for instance:
- Companies with effective recognition programs see 31% lower voluntary turnover than companies that don’t have recognition programs. (Bersin by Deloitte, 2012)
- Organizations with recognition programs report 14% higher employee productivity, performance, and engagement, compared to companies without recognition programs. (Deloitte, 2020)
- 53% of employees reported that they would choose to stay employed longer at their company if they feel appreciated. (Glassdoor, 2013)
- Nearly three-fourths (72%) of companies say that recognition has the highest positive impact on engagement. (Harvard Business Review, 2013)
- An effective recognition program can lead to an increase in employee performance, on average 11.1%. (Gartner, 2020)
Recognition programs can also be incredibly powerful for boosting customer loyalty. Research has shown that 80% of companies which implement a recognition program see improved relationships with employees and/or with customers, and 48% say those benefits are “substantial.” 45% reported that a recognition program made recipients feel substantially more valued, and 43% saw a direct correlation between recognition programs and increased customer loyalty. (Coresight, 2021)
Creating a Recognition Program
A recognition program can take any number of forms, but the first step is deciding who the program is for: your employees, your customers, or something for both. Many organizations, especially customer-facing ones, have some form of recognition program, both for external customers and for rewarding excellence among staff – of course, these will be two very different types of programs. Internal recognition programs are typically set up to recognize achievements, milestones or anniversaries, specific dates like holidays, or some combination of these.
External customer recognition is less likely to be tied to an “achievement” (unless it’s a purchasing relationship where a certain amount of purchase “unlocks” certain benefits or goodies) and are more typically tied to special events, anniversaries, and similar moments.
Both employee and customer appreciation programs, however, have the same goal in mind: keeping people happy and feeling like the company values what they contribute.
The “types” of recognition also come in two broad categories: personal recognition and gifting.
Personal recognition involves the acknowledgement of an achievement or milestone, both internally and externally. This part of a recognition program might include posting about an achievement publicly, sharing it in internal newsletter blasts or in office spaces, creating a “spotlight” program to honor achievements and individuals, posting on social media, or using signage and other print items to draw attention in a physical location. In some cases, this kind of recognition also comes with a tangible piece: a certificate, letter, or some other “award.”
The other type of recognition involves gifting, where achievements or milestones are rewarded with tangible, useful gifts. Gift cards are among the most popular choices, since they give recipients more choice and flexibility in use, but they’re far from the only options. Often, recognition programs also choose items like gift baskets, branded products, apparel, and electronics.
Whatever the choice of item, it should be geared toward making the recipient feel valued and celebrated. Priority Promotions can help your company design a recognition program that meets your unique needs and fits perfectly with your company culture. A little appreciation goes a long way– we guarantee!