Your Commission Payments are Killing Distributor Engagement
Earlier this month, Direct Selling News and Quantum Workplace announced the honorees of the 2016 Best Places to Work in Direct Selling survey. The survey, which Hyperwallet co-sponsored, polled 1.5 million corporate employees across 5,000 direct selling companies to measure levels of employee engagement. As Courtney Roush explains in Direct Selling News’ cover story on the survey, “engaged employees […] are more productive, more profitable, more customer-focused, and more likely to stay.” The head office is the nucleus of a direct selling company, and having an engaged corporate workforce can have a tremendous impact on a direct selling company’s bottom line.Congratulations to the honorees of @DSNupdate Best Places to Work in Direct Selling Survey! Click To Tweet
Of course, it’s just as important to maintain a high level of engagement amongst your distributors—even more important, perhaps. Success in the direct selling industry is dependent on workforce retention, so finding ways to increase distributor loyalty and enthusiasm is absolutely essential. But unsurprisingly, strategies for improving engagement amongst office employees and independents can differ significantly.
What Engages Distributors?
Why do distributors get involved in direct selling? Sure, they appreciate the friendly, welcoming community that this industry is known for, and discounts on some of their favorite products aren’t a bad perk, either. Ultimately, though, people choose direct selling to earn a flexible income. Whether they’re doing it as a side business or a career, what really draws people to direct selling is the opportunity to independently achieve their financial goals—but unlike traditional jobs where employees can expect the same paycheck every two weeks, distributors’ earnings can vary widely from one payment to the next. Naturally, then, how the direct selling company manages their commission solution plays a big role in distributors’ levels of engagement.
Most direct selling companies settle for a simple, check-based payout process (with all the advantages and disadvantages that brings). But when they do, they’re overlooking a tremendous opportunity to improve distributor engagement. A comprehensive payout platform—like Hyperwallet’s—can help companies deliver payments quickly, conveniently, and affordably; offer distributor support tools and accessible customer service; and provide supplementary incentives through loyalty programs.
Efficient Commission Payments
Not all commission payments are equal. Physical checks have their advantages, but they also come with some major administrative hassles (e.g., escheatment, paper handing, lost deliveries, etc.) and they’re not particularly convenient for the recipient. For international payments, wire transfers are more appealing, but they’re subjected to uplift fees and foreign exchange costs—meaning less money in the hands of the distributor.Not all commission payments are equal. #directselling Click To Tweet
Distributors need quick, convenient, and affordable commission payout options. Hyperwallet’s global payout platform offers six simple payment methods to ensure that every distributor can access their earnings easily. Through our international financial network, we can move money from one place to another faster and more affordably than just about anyone. This kind of commission scheme improves engagement by fostering trust between distributors and your company.
Distributor Support Tools & Customer Service
Unlike traditional employees, distributors don’t have a corporate support structure to ensure that everything runs smoothly. A standard, 9-5 employer manages payroll, deals with insurance, withholds taxes, and so on. Distributors need to handle many of those administrative hassles themselves because, from a legal perspective, they’re entirely independent of the direct selling company. But that doesn’t mean they don’t need support.Distributors are independent, but they still need support. #directselling Click To Tweet
Giving distributors the support they need to succeed is a sure way to improve engagement. Commission providers like Hyperwallet offer distributors a host of digital support tools—earnings management, expense logging, payment tracking— to help them maximize their earnings. Hyperwallet’s dedicated customer service gives your distributors convenient access to multilingual support staff that can help them resolve commission payment issues and perform the administrative tasks they need to run their independent businesses.
A number of direct selling companies incentivize their distributors with non-monetary rewards—free products, trips to corporate events, etc. Unfortunately, the financial costs involved for the company typically limit these rewards to a handful of distributors that reach a sales or performance goal. Sure, this approach to rewards will boost engagement with those receiving them (and probably those who nearly received them), but it doesn’t do anything for the vast majority of your sales force.
What if you could make non-monetary rewards attainable for every distributor and pay nothing for it? For example, with Hyperwallet’s loyalty programs, distributors can receive unique rewards—discounts on travel, free consumer electronics—for simple tasks, like signing up for a prepaid card or spending a portion of their earnings on your online store, for example. Better yet, the program is free for Hyperwallet clients. Loyalty programs like these make it easy for distributors to get more out of their direct selling experience and improve the likelihood that they stick with your company.What if you could make non-monetary rewards attainable for every distributor? #directselling Click To Tweet
Get Engaged with Hyperwallet
Reaching and maintaining a high level of distributor engagement is essential to success in the direct selling industry, so it’s important for companies to remember what really motivates their independent representatives: earnings. Hyperwallet helps direct selling organizations deliver distributors’ earnings efficiently, provide the tools they need to maximize those earnings, and offer additional non-monetary rewards.
So what are you waiting for? Boost your distributor engagement with Hyperwallet today.
I (along with the rest of the team here at Hyperwallet) would like to personally congratulate all of the honorees of the 2016 Best Places to Work in Direct Selling survey, including our clients Jamberry, Jeunesse, and Zurvita. Keep it up!