A new study from the Society for Incentive Travel Excellence (SITE)
and Maritz has found that incentive travel remains the most powerful non-cash
motivator across every working generation, outperforming cash rewards, gift
cards and recognition schemes.
The research, ‘Investigating the Power of Incentive Travel
Across Generations’, surveyed 1,000 US respondents and found that 61 per cent
rated individual travel as “extremely motivating”, making it the top-performing
reward category. Group travel followed at 50 per cent, with both outperforming
cash incentives.
The study found Gen Z is engaging strongly with incentive
travel, despite industry perceptions to the contrary. Some 40 per cent of Gen Z
respondents had won four or more trips in the past three years, compared with
26 per cent of Gen X and Boomer respondents.
The report also challenges assumptions around who qualifies
for incentive travel programmes. While sales teams have traditionally dominated
incentive schemes, the research found that 60 per cent of qualifiers now work
in operations or technology roles, while fewer than 10 per cent work in sales.
Annette Gregg, CEO of SITE, said, “This research confirms
that travel is not under threat from cash. If anything, it is the other way
around - cash is under threat from travel. Incentive travel remains the
dominant non-cash motivator across every generation.”
The study also reinforced the business case for incentive
travel. Among respondents who had attended an incentive trip in the past three
years, 89 per cent said they were more likely to stay in their job after
winning, while 93 per cent said they were eager to qualify again. More than
half (54 per cent) described a group travel experience as “a feeling of
achievement”.
Sarah Kiefer, vice president, brand at Maritz, said the
findings show incentive travel is “a real driver of retention, loyalty and
future performance”.
However, the research suggests programme design must evolve
to meet changing workforce expectations. Guest flexibility, first-time
destinations, built-in recognition and all-inclusive formats with activity-led
itineraries were all identified as key drivers of success.
Kiefer added: “The next generation of incentive travel will
need to be more intentional, more flexible and more inclusive.”
The research was conducted jointly by SITE and Maritz, with
support from Hilton and the SITE Foundation.
The full report can be downloaded from SITE
Global.
