Survey Finds Low-Value Prepaid Cards Still Make an Impact
By Alex Palmer
October 25, 2011
Companies seeking ways to trim their budgets may be pleased to learn that modestly sized incentives still make a significant impact on employee motivation, according to a new survey. The findings, released by Lewisville, TX-based consumer and corporate incentive provider Parago, found that 64 percent of employees would be satisfied with a prepaid card of $50 or less, while 55 percent said the same for a card worth $25.
The survey also found that 81 percent of employees believe rewards would make them feel appreciated, motivated to work harder, or more loyal to their companies. Seventy-nine percent said receiving incentives at the end of the year would indicate to them that their employers value and appreciate them.
“I think that people are realistic: the economy is still tough, there is a lot of uncertainty, and people have had a tough couple of years,” says Juli Spottiswood, president and CEO of Parago. “Employees who [don't have high] expectations will get surprised and be delighted knowing that they’re appreciated, and it doesn’t matter how big the reward is.”
Spottiswood emphasizes that prepaid cards are particularly attractive to both employers and employees because of their flexibility. Adding to their convenience, the company last month introduced Prop (Parago Reward Ordering Portal)
, which is a central hub for large companies to order, load, and customize Visa prepaid cards for incentive programs.
“If you’re an employer and have 300 employees and want to give each a $50 gas card, it’s a nice little thank-you. You can upload a file with employee names and addresses and can do the whole procurement process,” says Spottiswood. “There was a definite desire and need to procure cards to distribute as incentives, so this is a way for companies to do that in an easy, efficient, and auditable way.”