Incentivizing A Salesforce Using Behavioral Insights

Volvo was going through a period of great change. A relentless focus on customer service meant they needed to reconsider how they incentivized their dealer network to grow sales, shifting from the traditional ‘cash for a sale’ approach to delivering a broader set of metrics that put the customer at the heart of the buying experience.

The challenge became how do you motivate and incentivise a work salesforce when you want to take away cash bonuses—the very thing that traditionally delivers it?

To find the answer, we looked into the behavioral economics of sales. We discovered that high-performing sales staff are motivated as much by recognition as they are by reward.

We developed a reward portal for staff in the franchised network that was true to Volvo’s brand values. It combined the psychological understanding of gaming and the power of recognition by incorporating badges, league tables, certification, and gameplays to drive incentivization and we named it First-Class to drive further engagement.

Since the launch of the new program, Volvo sales have reached an all-time high. The retail network is performing better than ever, and Volvo is saving 45% on its rewards budget thanks to our innovative approach.

85%

of staff signed up

~100%

customer satisfaction rate

31%

increase in engagement