Surprised? I know.
You’re thinking, “but I asked my team members and they told me they would rather have money instead of awards!”
Confused yet? There are a few reasons why.
“Don’t Show Me the Money” by Victoria Shaffer, Ph.D. shares groundbreaking research regarding the effectiveness of cash versus non-cash rewards, scientifically supporting exponential benefits of non-cash incentives.
It’s human nature to want control and options. That’s one reason employees may tell you they prefer money when directly compared to a non-cash award. It’s psychology. The fungibility of cash puts them in control.
But cash doesn’t inspire feelings of appreciation and it won’t provide the best return on your investment.
In fact, a study conducted by WorldatWork found that non-cash rewards achieved 3x the return on investment than cash-based incentives.
Did you know most people spend their cash rewards on bills?
No trophy value.
Dust in the wind.
Well-executed awards and recognition programs win every time, according to really, really smart people like scientists and engagement experts.