Why Incentive Travel is No. 1?

Silicon Valley has turned workplace incentives into an art form. From foosball tables to in-cafeteria sushi chefs, from napping pods to bike repair shops, offices in the San Francisco Bay area can amuse workers for hours on end.  But when it’s time to get down to business, companies such as Facebook and Adobe know that one of the best ways to inspire a group to perform is by offering a chance to travel. 

Incentive travel is a $14 billion industry. The Incentive Federation Inc. says that 38% of all American companies with revenues of more than $1 million offer some sort of incentive travel. Between the fall of 2014 and the fall of 2016, the average amount spent on incentive travel by companies increased by 10%, with trips to different U.S. cities, Mexico and even Europe being the most popular.

The Millennial Factor
Those numbers will only increase as younger employees join the work force. Members of the largest generation (estimated 79 million) overwhelmingly want to travel abroad as much as possible. At the same time, the Deliotte Human Capital Trends 2016 study says that one in four would be willing to move to a new company right now if they felt it was a better fit. A company that offers millennials a chance to travel for hitting sales goals, garnering the most referrals, enhancing product awareness or achieving another metric is a company at which workers will want to stay.

Employers will want those employees to stay, as well. A 1997 study conducted in England showed an 18% increase in productivity when employees are offered travel incentives. Those trips can have a positive effect on the abilities of employees, too. According to Psychology Today, travel generally, an international travel specifically, helps make people less emotionally reactive to day-to-day changes, since it grants some perspective to the traveler. Multiculural experiences, such as exploring a new country, also can spark creativity. Essentially, incentive travel not only can inspire employees to new heights before they take their well-earned vacations, but it can also can give them important skills to become event stronger contributors to the team upon their return.

It’s all about the experience
And why do employees like incentive travel – and in many cases prefer it to cash-equivalent bonuses? The experiences. Whether it’s a ticket to the Super Bowl, a wine tour through the French countryside or even a zip-line adventure through the Costa Rican jungle, an incentive package can’t be spent paying off bills or contributing to a retirement fund. These types if trips force the type A personalities, the workers who often are the most likely to hit those incentives targets, to stop and turn their focus elsewhere. The hard-headed and driven sometimes have to be persuaded to take time off; giving them a free chance to do so will ensure that your top contributors are getting the rejuvenation time. Plus it sure beats lunch-hour foosball tournaments.

– Article courtesy of Corporate and Incentive Travel Magazine, July 2017

Travel Picture of the Day

View of beach, pool and bandstand, Margaritaville Resort, Hollywood, Florida.  The resort, which opened last year, is truly a hidden gem along one of the best beaches in Florida. All the rooms are decorated in soothing tropical colors and all h…

View of beach, pool and bandstand, Margaritaville Resort, Hollywood, Florida.  

The resort, which opened last year, is truly a hidden gem along one of the best beaches in Florida. All the rooms are decorated in soothing tropical colors and all have great views of the Atlantic Ocean. If you're looking to experience that laid-back Jimmy Buffett vibe, check out this resort!

Travel Video of the Day

Fado performance at the Clube de Fado, Lisbon, Portugal, April 22, 2017

There are certain cultural performances that one mustn't miss while traveling: Tango in Buenos Aires or Flamenco in Madrid.  Another must-see is Fado in Portugal.  A Fado performance is like no other form of music. It's soulful, gut-wrenching, emotional, and thrilling ... even if you don't speak Portuguese!.  For a taste of the Fado experience, please check out the video above. (Note: the stage lighting in the small club was a red flood light, hence the color in the video).

Choosing the perfect destination

A travel incentive is a powerful tool to boost employee motivation, increase sales revenue, promote productivity and enhance your team, but you must choose the right destination.

Let me give you an example: we had a client who was offering a cruise incentive to various ports in Italy, but he was offering this incentive to his Italian employees. To an American, that would be awesome ... to an Italian?  Not so much.

To help you make a decision for your next travel incentive destination, consider the following:

  1. Determine how much you can spend by calculating your desired amount of revenue increase.
  2. After you have determined a ballpark budget per person you can start considering destination.
  3. What are the demographics of the people you want to incentify?
    • Age (A beer bash on the beach will appeal more to the 20-30 year old bracket while visiting the Louvre in Paris might appeal more to a more mature age bracket)
    • Income Bracket
    • Are they sophisticated travelers or “just getting out into the world”?
  4. Don’t choose a destination that is popular with the general public in your home region. It won’t appear as unique or enticing as somewhere they wouldn’t be able to afford to go on their own.
  5. When choosing a destination, make sure it can support experiences that provide your qualifiers the best restaurants, best hotels, best infrastructure – remember these are your winners and you can’t motivate them unless the promises of the trip are worth their extra effort.
  6. Determine the dates of your trip.
  7. If you are in a city with a cold climate in the winter, consider picking a tropical destination.
  8. If you are in a city with a very hot summer climate, consider picking a mountain resort or northern city.
  9. Do your potential achievers love a particular sport, i.e. golf?  Choose a destination that is well-known for its golf, tennis, sailing, etc.  
  10. Make certain if you choose a golf resort for instance, that you provide alternate activities for the guest of the achiever or qualifier (such as spa treatments, sightseeing).

Let us help you select the perfect destination for your next travel incentive, sales meeting, or conference, convention!