The Value of B2B Rewards Programs

If you want your partners to market your brand, you have to make it worth their while.

That’s where B2B rewards programs come in.

By providing your partners with incentives to complete desired actions and hit sales targets, you motivate them to do more for your brand. You get greater marketing support while your partners get rewards — it’s a win-win.

But what exactly do rewards programs entail? And more importantly, how do you set up a successful one for your partner ecosystem?

Here’s everything you need to know about partner rewards programs.

B2B rewards programs, also known as loyalty programs, incentivize channel partners to promote a brand’s products and services over their competitors and maintain a long-term relationship with that brand. In other words, they give partners perks in exchange for their loyalty. While the types of perks vary by program, common rewards include:

• E-gift cards
• Product discounts
• Events and experiences
• Branded merchandise
• Early access to new products

Partner rewards programs are structured to reward the behaviors brands most want to see, such as promoting specific products, leveraging certain tactics, hitting sales quotas, or brand education.

B2B loyalty programs come in many shapes and sizes — it all depends on the brand’s business goals, the current challenges it faces, and what best motivates its partners.

Here are the four main types of dealer rewards programs.

In points-based programs, partners accumulate points for completing specific initiatives and can eventually redeem these points for rewards. Points programs give brands the flexibility to assign value to the most effective marketing behaviors and weigh them based on the context of redemption. For example, partners may earn more points for promoting a specific product during a sale or special promotion.

As a brand, you have full control over how points are earned and redeemed, enabling you to manage the program’s overall cost more effectively. That means you can adjust point values or limit redemption opportunities as needed.

One of the biggest benefits of points-based programs is that they give partners a sense of achievement. This level of gamification creates greater motivation than standard currency, as partners may perceive points as having even more value than cash.

Tier systems rank partners into tiers based on how much they engage with your marketing programs or the amount of product they purchase from your brand. As partners continue to sell or complete desired actions, they unlock higher tiers — and the higher the tier, the more valuable the rewards. For example, partners who reach tier five may earn a branded tumbler, while those who reach tier ten may earn a $100 Amazon gift card.

Like points programs, tiered rewards programs are gamified to encourage more partners to participate, boosting loyalty and results.

Rebate programs award partners monetary incentives like discounts and cashback in exchange for promoting certain products or hitting sales targets, typically based on volume. As a result, partners are able to offer greater savings to their customers.

Rebate programs operate similarly to co-op programs, enabling you to establish rules partners must follow in order to receive a reimbursement or price reduction. This structure ensures that partners are only compensated if they adhere to your brand guidelines and invest in the most effective marketing tactics.

Referral programs are big in the B2C world — but did you know you can use them in your B2B rewards program, too?

Instead of rewarding customers for recommending your products and services to friends and family, B2B referral programs incentivize your current partners to refer other businesses to partner with or buy from your brand. Once a recommendation becomes a sale or qualified lead, the partner who referred them receives a reward.

This strategy is excellent for driving customer and partner acquisition through existing partners.

B2B loyalty programs don’t just benefit your partners — they also offer major advantages for your brand, including:

• Increasing partner retention: Rewards programs give partners a positive experience with your brand, making them more likely to continue doing business with you in the long term.
• Building brand loyalty: When you incentivize your partners to promote your brand, they become more likely to sell your products and services over competitors.
• Boosting program participation: Because affiliate rewards programs encourage partners to pursue marketing initiatives, they drive more partners to participate in your marketing programs.
• Increasing referrals: When your partners are satisfied with your rewards program, they’re more likely to recommend your brand to their peers — even if your program doesn’t utilize a referral program structure.
• Driving more sales: Encouraging partners to ramp up their marketing efforts (and leverage tactics that actually move the needle) ultimately increases awareness, sales, and revenue for your brand.

Building an effective B2B loyalty program requires a strong strategy and action plan. Here are the steps you should take when creating your rewards program:

1. Evaluate goals and challenges: First, determine your main business goals and the current challenges you’re facing. Do you need to boost sales or gain greater brand awareness? Your partner rewards program should be geared toward these objectives.
2. Assess partner priorities: Understanding your partners’ buying behaviors, engagement levels, and motivations is vital to creating a rewards program that resonates with them.
3. Choose rewards structure: The rewards structure and incentives you choose should align with your business goals and be relevant to your audience.
4. Set rules and guidelines: Next, you’ll need to establish parameters around your rewards program, including rules, eligibility, and rewards delivery.
5. Select a rewards platform: It’s important to choose a loyalty platform that best suits your business and budgetary needs.
6. Onboard your partners: To ensure your partners understand how to use your dealer rewards program, consider hosting training sessions to walk them through the program and give them a chance to ask questions.
7. Measure results: Once you launch your rewards program, it’s crucial to track its performance to determine what’s working and what’s not, then make adjustments as needed to get the best results.

When building and running your affiliate rewards program, there are a few considerations you should keep in mind to ensure you get the most value from your investment.

User-friendliness is crucial to program participation — because your partners don’t have time to jump through hoops.

Your dealer rewards program should be simple and easy to understand. That means leveraging simple processes, straightforward rules, and intuitive technologies to make your program as hassle-free as possible. Because the more user-friendly your program is, the more likely your partners will be to utilize it, and the more results they’ll drive for your brand.

A single onboarding session may not be enough to address your partners’ ongoing questions and concerns as they become familiar with your partner rewards program. Consider providing them with a library of resources, such as videos, articles, and FAQs, that they can reference when needed.

While online resources are great, there are some instances when human assistance is the most efficient solution. Make sure to offer live support to make navigating program difficulties as smooth and stress-free as possible.

Get the most out of your B2B rewards program with a platform designed to drive distributed growth. Ansira Incent removes barriers to partner marketing with simple and efficient incentive programs that empower your partners to do more for your brand. With innovative rewards, streamlined workflows, and access to the CarltonOne rewards mall, you can leverage all the tools you need to drive loyalty.

In addition to B2B, Ansira also offers B2C rewards programs so you can build loyalty among partners and local consumers alike.

Fuel your B2B rewards program with a platform that makes marketing incentives simple. Learn more about Ansira Incent, or get connected with one of our experts.