DIREM and Tata AIG used a loyalty program and its twin pillars of recognition and rewards, to motivate a sales force to measurably improve performance. Here’s how we did it!

The Background: Tata AIG General Insurance Company has a Partner Recognition Program 'Giant Steps' for their channel members, the ‘Producers’. Members earn points based on business generated. Based on performance, they are allocated different tiers with specific benefits and privileges. Tata AIG employees who interact with the Producers on behalf of the Company and are responsible for their growth are called Developers. Each Producer is linked to a single Developer who is responsible for driving his growth.

Market Situation:
An analysis of members at each tier level showed that there were some producers who were at the threshold of their respective tiers (Silver, Gold or Platinum). An opportunity was spotted to motivate them to increase sales and move up to a higher tier.

Objective:
To encourage the Producer-Developer team to boost sales and thus achieve a tier upgrade for the member Producer.

The Challenge:

• Highlight the role of the Developer as a 'coach' in his relationship with his Producers.
• Create and sustain a sense of urgency over a full quarter.

The Target Audience:

• X member Producers who are fence sitters; just short of the qualifying threshold for the next tier
• Y Developers associated with these X producers

The Medium: Direct Mailer

Customer Insight:

• Producer: Personalized communication with clearly defined month-on-month targets helps motivate the individual
• Developer: Developers do not like to be seen just sales drivers. They are coaches and trainers and the producers’ performance is to a large extent dependent on their push and encouragement.

Creative Idea:
In keeping with the thought of the coach, the creative idea was based on the analogy of sports. Visually appealing, with a strong competitive feel and the use of motivational quotes – it proved a strong incentive for performance.

The Campaign:
The campaign was rolled out in three stages:

• Announcement mailer with personalized targets ( Targeted to Producers and Developers )
• Mid campaign reminders through personalized mailers ( Targeted to Producers only )
• Winner letters ( Targeted to Producers and Developers )

Offer:
For producers: Giant Step points leading to upgrades
For developers: Cash prizes

Timing:
This was a time bound campaign done for a period of 3 months i.e. from 1st July to 30th September, 2005.

Creative snapshots:
For the Producer : Envelope with enclosed letter


For the developers : Envelope with enclosed letter

Results:

1. 22% of the producers successfully upgraded to higher tiers corresponding to 58% of the developers who helped them achieve higher sales .
2. A 22% growth in Gross Premium Written was achieved by the producers who upgraded with the help of this campaign.