Dealing with disruption in the automotive industry

29 April 2018

From driverless and electric cars to ride-sharing apps, the automotive industry is experiencing its biggest period of disruption for years. This includes a significant shift towards customer service as being a key driver of sales. How can channel partner incentive programs help businesses deal with this disruption?

When companies like Nissan are announcing they're in collaboration with NASA to research autonomous vehicles, you know the sector is heading towards some major changes.

The automotive industry is going through a period of intense disruption. From driverless and electric cars to ride-sharing apps, this may be the biggest revolution the automotive sector has seen for many years. 

Customer service becoming a key differentiator 

It's not just the technology behind the cars that's changing, however. Manufacturers have moved away from simply relying on the quality of the car to make sales, and are now much more dependent on customer service. In fact, customer satisfaction has become almost as much of a differentiator as the car itself.

This is especially important in the wake of the Volkswagen emissions scandal. In an attempt to regain trust, the world's second-largest car automaker is now offering six-year or 72,000 mile warranties (whichever comes first) for its new Tiguan and Atlas SUVs, Business Inside Australia reports. 

Any attempt to increase trust and satisfaction in the automotive industry must take into account the fact that a very high proportion of manufacturers use channel partners to sell their cars. So encouraging your resellers to improve their customer service while at the same time make sales is an essential part of dealing with the current disruption in the automotive industry. 

How to do this? Channel Partner Incentive Programs are the answer. 

Channel Partner Incentive Programs in the automotive industry

Channel partners tend to sell a number of different products from a variety of companies. Businesses will offer partners certain deals to incentivise them to sell their products, as opposed to their competitors. The trouble is that most brands will be doing this already, so you have to find an innovative way to differentiate your company from the competition.

A Channel Partner Incentive Program is an easy way to do this. The power of these rewards is clear. A Model N survey found that 60 per cent of respondents believed an effective incentive program can increase sales of a particular vendor's product by up to 40 per cent.

It involves offering rewards that will incentivise your reseller to focus on your brand. Power2Motivate's program is customisable to your organisation's needs, meaning you can reward a variety of different behaviours. From customer service to brand awareness, there are plenty of ways to get your partners on the right track to dealing with automotive disruption. 

60 per cent of respondents believed an effective incentive program can increase sales of a particular vendor's product by up to 40 per cent.

Dealerships tend to have diverse workforces made up of people with a range of ages and backgrounds. Traditional rewards programs will often offer the same prize for everyone, regardless of what their individual interests are. To really get the best customer service from your partners, you need to ensure you're offering a high degree of choice. Only then will they be encouraged to work towards the goals you've set them. 

Fortunately, Power2Motivate's Global Rewards Gallery lets employees choose from a huge range of rewards, including travel and trips, as well as household appliances and electronics. 

Analysis the key

When dealing with such widespread disruption, it's important automotive businesses are able to measure the effects of the steps they are taking. Data analysis is important not just when seeing how well individual car makes are performing, but also in a Channel Partner Program. 

Power2Motivate's platform has real-time reporting as well as ROI and KPI tracking, so you can easily see the impact your program is having.

For more information on how Power2Motivate is helping deal with automotive disruption, contact the team today


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As a general rule if you ask anyone whether they prefer cash based rewards like vouchers and pre-paid credit cards, or trophy value rewards like merchandise and travel, often the automatic answer will be to take the cash based reward. .

Power2Motivate Announces Industry First for the Middle East: Oman Arab Bank

An Employee Rewards Programme for Oman Arab Bank has been announced for Power2Motivate as an industry first for the Middle East. .

Power2Motivate Wins Top Industry Award

The Employer of Choice inaugural survey developed by HRD magazine collects data from over 2,000 employers nationwide and identifies those who are going above and beyond to develop outstanding workplaces..

Reward and Recognition Lessons From The Company That "Walks the Talk"

As specialists in the recognition and rewards industry, we're convinced of the power of employee engagement and meaningful recognition to transform organisations and spur growth. .

10 Reasons to Recognise Employee Achievements

Taking time to recognise employee achievements helps foster engagement, increases productivity, and reduces tension in the work environment. Leading a team can often be a challenging task let alone ensuring all staff are engaged. .

Top 10 Things to Expect from a Global Rewards Provider

Finding a reliable provider who is able to offer and deliver a wide selection of meaningful global rewards remains can often be a challenge. .

The Millennials - a New Focus for the Recognition and Incentives Industry?

Whilst they are a ring-fenced generation, they still share with their older peers, a universal desire to be acknowledged, appreciated, and rewarded for their efforts in the workplace. Millennials are now reshaping the recognition and incentive industry. .

Motivating Staff is Vital to Improve Customer Satisfaction in Call Centres

A company’s reputation is vital to its very existence and with the world being a rather scarily transparent domain, there’s nowhere to hide. As we all know, it only takes one social media outburst by a disgruntled customer to keep your PR department busy for weeks. .

Power2Motivate Wins Top Industry Award

Power2Motive Wins Top Industry Award for Employee Engagement and Recognition Program.

Power2Motivate Launches in London

Power2Motivate expands its international presence and chooses London to be its European HeadQuarters..

Peer to Peer Recognition – When it Doesn’t Work

It can be hard to tell the difference between someone exceeding expectations at work or just doing their required job. It is important to know the difference in order to recognise the over achievers..

Why Would We Want to Empower Our Employees?

Empowered employees on the job have better outcomes and results in a more productive work environment..

How to Create a Customer Loyalty Program that Makes a Positive Impact

Customer loyalty has really become a focus for businesses over the last two decades and trying to crack this concept in an ever changing market can often be difficult..

Why People Leave Their Jobs, and How You Can Stop it

How many new employees have you hired this year? What are you doing to make sure they stay?.

Three Steps to Make Your Brand a Habit

Loyalty programs with fantastic rewards can encourage your existing customers to stick around, and even attract some new ones..

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