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Global Powerhouse Increases Sales and Profitability with a Reward Program

Global Powerhouse Increases Sales and Profitability with a Reward Program

Client Profile

This global powerhouse, focusing on the areas of electrification, automation and digitalization, is one of the world’s largest producers of energy-efficient, resource-saving technologies, as well as a leading supplier of systems for power generation, transmission and medical diagnosis. The company has roughly 343,000 employees in over 200 countries with generated revenues of $7.8 billion from continuing operations.


The company transitioned to a new quotation system and was seeking to limit any customer uneasiness until the transition was complete. In addition, the company needed to increase their market share and take it away from the competition, maintain current business, and drive profitability.


The company partnered with Loyaltyworks to design a rewards program that would encourage quotation activity within their shared distribution locations. Channel partner sales people earn points by submitting any small project orders that contains at least one of the following configurable products:

• Assembled panel boards (lighting and power panels)
• Switchboards
• Modular metering

The program was first introduced internally, to engage the company’s sales team and generate buy-in. The company prepared quick reference guides and video demonstrations to show how the program worked and the abundance of rewards available. The sales team then introduced the program to their distributors. At this point, each distributor received a welcome email to register for the program. Participants also received automated messages each time they earned an award.

To increase mind share with channel partner employees, additional reward programs were implemented as further ways to earn points. The second program was created so participants could learn about new products via online and video training and then reinforce their product knowledge by successfully completing quizzes for points. The third program provides printed certificates with a unique code that specify a point denomination, used by unannounced visiting company managers to award the sales person who closed the last qualifying sale, prior to the visit.


In order to measure the success of the program, the company compared sales of non-participant vs.
participant distributors.

Sales Results:
• Non-Participant – 8.5% Increase in sales
• Participant – 32% Increase in sales
*Participants are active in the reward program. Non-participants are not active in the reward program

Profitability Results:
• Non-Participant – +5% increase in margin year over year
• Participant – +20% increase in margin year over year