Incentive travel for companies What are the benefits?

What is incentive travel for companies?

Incentive travel is an important resource available to companies to encourage or motivate employees or partners. They are usually linked to meeting the company's objectives or to the company having performed better.

Managers and human resources managers, both in the private and public sectors, are realizing that, in terms of motivation, modern employees are much more encouraged by significant and personalized advantages. Money, premiums and pay increases simply don't offer the same value or long-term benefits. In fact, according to a report, when rewarded with travel incentives, employees tend to feel much more appreciated and trusted, resulting in greater loyalty to their organizations. In addition, it has been demonstrated that younger generations, and millennials in particular, value experiences more than material possessions.

Whatever you define it, employee rewards are changing: the days when holiday premiums were enough to motivate all year round are over. Now, everything revolves around non-monetary incentives.

3 Ways Incentive Travel Benefits Your Business

Employee motivation: Even when employees tell you that they would prefer a monetary bonus, the reality is that non-cash rewards produce better, and longer lasting results. 72% of employees who get a reward in the form of a trip say they have increased their loyalty to the company. To achieve the same results with money, a company would have to increase salaries by almost 9%.

Productive meetings: Today's world, where people are always connected, and flexible working arrangements make it difficult for teams to work remotely, making it difficult for everyone to meet in the same room, whether for strategic planning or to celebrate success. Combining business schedules with group incentive travel is a productive solution. When once-in-a-lifetime travel experiences are added to focused business sessions, it's no surprise that 42% of executives say the combination offers the best return on their investment.

Rewards for customers and partners: Beyond employees, incentive travel programs are an excellent way to reward partners, suppliers or referral customers. If you incorporate incentive travel into a customer loyalty program, you can motivate behaviors such as repeat purchases or recommendations.

How do business incentive travel programs work?

For decades, the best companies have used incentive travel as an effective management strategy. But the program is largely misunderstood because there is so much diversity in its application. Although there is no single standard for the operation of incentive travel programs, the basic structure is that employees meet a predefined objective in order to qualify for group travel. These incentive trips for high-level employees can range from annual team-building retreats at a mountain resort to exotic European cruises or fully paid family vacations at luxury beach clubs.

Duration: Vacations typically last three to seven days and combine team-building activities, networking opportunities, and free personal time to explore the destination.

Expenses: The company finances most, if not all, of the expenses. The getaway can be offered to all employees, specific departments, channel partners or VIP customers. Some incentive trips include only employees, while others extend invitations to spouses or children. An internal or external corporate event planner is responsible for planning logistics.

Do incentive trips offer significant return on investment?

Yes, if they are applied correctly. Many entrepreneurs find it difficult to accept the intangible value of paying for such an extravagant bonus. Several studies provide specific figures that justify the costs of the program when compared to the many benefits obtained.

Add the WOW factor to increase ROI

In all types of business objectives and travel budgets, there's one thing that every successful incentive travel program includes: a WOW factor. Our platform, Vyootrip, not only does it offer a platform to manage your business trips in an autonomous and optimized way. But it also offers you personalized services, such as creating incentive trips for companies. Unique experiences that make a lasting impression and offer a solid return on investment to our customers.

Put our experience at the service of your company. Whether you're developing your incentive travel strategy or want to take your current program to the next level, we can help.

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