BI WORLDWIDE's experience has shown us that non-cash rewards are actually more effective motivators than cash.
Our corporate clients remained skeptical. So they conducted their own studies. We have benefitted from their skepticism, because those studies have added to a body of data that cuts across industries. This data reinforces our original conclusion: non-cash rewards are more effective motivators. Further, some of the country’s most respected academic institutions have conducted studies which further strengthen the case for the cost-effectiveness of non-cash rewards.
Obviously, many factors influence performance: the perceived value of the reward relative to the perceived effort to attain it, knowledge and skills of those participating, how well the rules and standings are communicated, and the overall alignment of the design to the desired business outcomes. But nothing is as important as the choice to offer non-monetary awards. In other words, the rewards — which may be issued in points — must never have explicit dollar values (hence the term “non-monetary”) connected with them.
Many doubt that a non-monetary reward – a reward that does not have an explicit dollar value – can drive more performance than a monetary reward, such as money, gift cards, or debit cards. Research demonstrates that non-monetary rewards are stronger motivators and drive greater results.