Employee Incentive Program Business Plan for Shoe Retailers
This paper presents a business plan for an employee incentive program designed to increase sales performance at a shoe retail business. Recognizing that frontline staff directly influence customer purchase decisions and satisfaction, the plan argues that improving employee morale and motivation is the primary lever for revenue growth. It proposes a dual approach combining financial incentives — specifically a commission-based holiday premium tied to doubled individual sales — with non-financial incentives such as flexible working schedules and opportunities for advancement into middle management. The plan also addresses the operational requirements needed to support each initiative effectively.
- Introduction: Linking Employee Motivation to Sales: Why staff motivation directly drives retail sales
- Financial Incentives: Commission-Based Holiday Premiums: Commission premium tied to doubled individual sales
- Non-Financial Incentives Overview: Two non-financial incentive categories proposed
- Flexible Working Schedules: Flexible hours to improve work-life balance
- Opportunities for Professional Advancement: Top performer earns promotion to middle management
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What makes this paper effective
- The paper takes a clear, practical dual-framework approach — financial versus non-financial incentives — that gives the business plan a logical, easy-to-follow structure.
- Each proposed incentive is connected back to a concrete operational mechanism (e.g., internal sales monitoring systems, mutual scheduling agreements, managerial observation), making recommendations actionable rather than abstract.
- The argument is grounded in a specific business context — a shoe retailer with limited financial resources — which forces the writer to justify each choice within real constraints rather than offering generic advice.
Key academic technique demonstrated
The paper effectively uses problem-constraint reasoning: it acknowledges a genuine limitation (insufficient funds for wage increases) and pivots to an alternative that achieves the same motivational outcome through a commission structure. This technique — identifying a constraint and then reframing the solution — is a hallmark of applied business writing and demonstrates critical thinking within practical boundaries.
Structure breakdown
The paper opens with a rationale establishing why employee motivation drives sales, then introduces the dual incentive framework. It addresses financial incentives first (commission-based holiday premiums), followed by two non-financial incentives (flexible schedules and advancement opportunities), each given its own paragraph-level treatment with both implementation details and motivational rationale. A brief reference list closes the paper.
Introduction: Linking Employee Motivation to Sales
Sales volume can only be increased by raising levels of employee on-the-job satisfaction. The importance of the role played by staff members is recognized not only in service industries, but also across industries where physical products are sold. In the case of a shoe retailer, staff members are the individuals who interact directly with customers and — to a high degree — influence purchase decisions while also shaping customer satisfaction. Given this reality, it becomes clear that the primary means of increasing sales is by improving employee morale, motivation, and on-the-job satisfaction. This can be achieved through a dual approach: financial incentives on one hand, and non-financial incentives on the other.
Financial Incentives: Commission-Based Holiday Premiums
Financial incentives generally refer to wage increases and the offering of premiums and bonuses. Given the limited financial resources available to the employer, increasing base wages is largely not feasible. Nevertheless, the option of offering premiums remains viable through a structured arrangement. Under this approach, employees would be challenged to increase their performance and sell more shoes. Any employee who manages to double their individual sales figures would be offered a premium based on commission, paid out a few days before the holidays.
The prospect of earning additional money — and thereby being able to purchase more presents or enjoy a better holiday season — would serve as a meaningful motivator for staff to raise their performance. For this system to function effectively, it is necessary to develop and implement an internal program for monitoring individual sales performance and comparing current figures against prior periods.
Non-Financial Incentives Overview
Beyond financial incentives, employee morale and performance can also be elevated through a set of non-financial incentives. Two of the most appropriate options for this situation include:
References
Bruce, A. How to Motivate Every Employee: 24 Proven Tactics to Spark Productivity in the Workplace. McGraw-Hill Professional, 2006.
Frey, B.S., and Osterloh, M. Successful Management by Motivation: Balancing Intrinsic and Extrinsic Incentives. Springer, 2002.
Gitman, L.J., and McDaniel, C. The Future of Business: The Essentials, 4th ed. Cengage Learning, 2008.
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