The goal in choosing rewards is to select items that will spark the participant's interest or feelings, and support the program's objectives.
[10] Additionally, cash is quickly forgotten as many participants tend to spend it on everyday items or use it to pay bills.
[citation needed] Share rewards websites operate on a model where customers can become stakeholders in the platform or a related company by simply registering as members.
As customers perform these tasks, they earn rewards in the form of points or shares, which contribute to an increasing equity stake in the website or its parent company.
This type of system blends traditional customer loyalty programs with elements of equity participation, providing users not only with immediate rewards but also with long-term potential benefits tied to the company's performance.
By incentivizing active participation in the platform, these websites promote user engagement while aligning customer interests with the business's growth.
Customers benefit from both the rewards earned for their actions and the potential appreciation of their shares, fostering a deeper connection to the platform and encouraging repeat interactions.
In this way, share rewards websites create a mutually beneficial ecosystem where customers are more than just users—they become part-owners with a vested interest in the success of the business.
Branded merchandise and other non-cash rewards have high trophy value, bringing greater recognition to the recipient at the time of the award and possessing a long-term lasting effect that can result in increased engagement in the organization's goals.
In a 2005 study conducted by the Center for Concept Development, 73% of respondents agreed that more stimulating, memorable incentive programs can be built around merchandise as opposed to cash rewards.
In a 2005 study conducted by the Center for Concept Development, 51% of respondents perceived that travel is remembered longer than other incentive rewards.
Examples might include a seaplane flight and lunch, a two-hour horse ride on the beach, a day of sailing for two, a chance to meet a star athlete, or the use of a party planner for an occasion of the recipient's choice.
Non-monetary incentives may include flexible work hours, payroll or premium contributions, access to day care centers, training, health savings or reimbursement accounts, or even paid sabbaticals.
Alternately, an offer may entail referring website visitors by inviting them to a target site under a referral link (unique to every user).
A type of incentive program that uses referral marketing strategies to motivate consumers, employees, partners or affiliates to recommend a company's products or services.
One study by the University of Wuppertal found that participation in these programs reduced cancellation rates at a telecom provide from 19% to 7%, thus increasing customer loyalty.