Year after year, a trend has emerged in most businesses, whatever their size: employee recognition programs have become an integral part of work culture. Entrenched in human resources or compensation teams’ annual plans, these programs are now allotted their own budgets and are administered as formal activities, with clear and pre-determined structures. In wanting to truly meet their employees’ needs, management teams must create programs that are pertinent and effective, and gift cards as incentives are the number one choice of the work force.
The Impact of Non-Monetary Rewards
When consulted, professionals in the incentives industry demonstrate high net optimism regarding the impact of non-monetary rewards on their programs. Over time, budgetary allocations for rewards programs have increased, and employers are investing more and more per employee, often through the dissemination of gift cards. It’s a flexible option that is suitable for a large number of people, making the prize attractive for the staff while creating a motivating work environment for all.
Gift Cards, the Most Popular Tool
Obviously, rewards issued through a recognition program have to be worthwhile for the employees; it’s the only way to ensure a successful initiative. Studies demonstrate that over 62% of rewards used in the workplace are gift cards. It’s a very advantageous redemption option for businesses, as gift cards can usually be purchased at a discount. The employer’s investments are therefore maximized, and the amount offered to employees can be increased. Everyone wins!
A Common Practice Among Employers
As much as we know that the gift card industry meets the needs of client growth and loyalty programs for many businesses, a recent survey at Gift Card Warehouse confirms that over 56% of businesses use a portion of their purchased gift cards for employee gifts. This important figure confirms the extent of the practice in work environments. Instead of distributing a wide array of items that aren’t useful to their employees, savvy companies’ study and honour modern trends that confirm the high demand of gift cards as an item of choice.
In conclusion, the majority of employers operate recognition programs, and among those who do, many use gift cards as incentives as they are the most prized reward on the market. The gift card solution is simple and ensures a high satisfaction rate amongst employees, all while requiring very little effort from management teams. If your company doesn’t yet have such a program, what are you waiting for?