A competitive salary isn't enough to ensure employee satisfaction and high morale among team members. Perks and benefits also play a role.
Corporate discount programs are a cost-effective way to customize your benefits package. Customized benefits help [keep employees engaged](https://employers.workingadvantage.com/blog-content?item_id=ecc502f1-dac4-40f8-950f-c25deda5fe88), and engaged employees perform better and more efficiently. Corporate discount programs also increase employee satisfaction, which can reduce employee turnover and help you attract top talent more easily.
However, to reap the benefits of the discount program, employees must understand and use it. Companies must effectively communicate the program's value and encourage usage.
### Corporate Discount Program Overview
Corporate discount programs, also called employee discount programs, allow employees to access goods and services at a discounted rate.
The programs have three main types: merchant discount, online platform, and employee purchase programs. Merchant discount programs offer discounts to employees from a specific merchant or group of merchants. For example, a company might negotiate with a local gym for reduced fees or a local department store for 10 percent off employee purchases. Online platform programs allow employees to access a platform and choose from a list of merchants and service providers. The services and merchants span a wide range from everyday essentials to special treats. Employee purchase programs enable employees to buy over time and pay in installments via payroll deduction. They can allow employees to make major purchases more easily.
A comprehensive employee discount program may include elements of all three; for example, the ability to make major purchases over time and an online platform that includes discounts on various services or products, including tickets to sporting or concert events, travel, specialty insurance, financial planning, gyms, salon treatments, and appliances. The discounts allow employees to stretch their paychecks, which can be a welcome perk since [65 percent of Americans](https://www.cnbc.com/2024/04/09/most-of-americans-are-living-paycheck-to-paycheck-heres-why.html) struggle to make ends meet. Some discount programs also offer employee rewards, which can further stretch employee dollars.
In the most comprehensive programs, eligible employees register and gain access to an online platform from which they can choose the products and services to buy at a discount. Because online platforms offer various services and products, they are the most inclusive; something will appeal to every employee.
### Communication Strategies for Employee Benefits
Companies must develop a communication plan to ensure all employees have equal knowledge of and access to benefits. They want to clearly and concisely communicate the value of benefits to [ensure employees get the most](https://employers.workingadvantage.com/blog-content?item_id=97e7f212-7f33-47b5-96e5-fda1a7f67c29) from the discount program and other employee benefits. In this era of hybrid, in-person, and remote workplaces, effective communication requires multiple channels, such as email, Intranet, posters, texts, and face-to-face.
Because effective communication also involves tailoring it to employee needs, smart companies will research their employees' communication preferences and continually seek feedback for improvement. They'll target communications based on different demographic groups. For example, younger workers who've grown up with the Internet will prefer digital communications, while older workers often prefer paper.
Employee benefit communications should be created with the employee in mind. You want employees to know the company cares about their physical, mental, recreational, and financial wellness. Empathy, transparency, and always delivering on promises are critical.
Finally, a benefits communication plan requires setting clear goals. These goals should be [SMART](https://corporatefinanceinstitute.com/resources/management/smart-goal/), which stands for Specific, Attainable, Realistic, and Timely. Companies will measure the effectiveness of each benefits communication campaign against the SMART goals they've established.
Key metrics might include:
- The number of times employees use the online platform
- Employee understanding of their benefits as measured through surveys and focus groups
- Overall employee engagement and productivity
- Employee feedback on the helpfulness of the message or medium
### The Bottom Line
Corporate discounts can enhance employee wellness. They help alleviate financial stress by allowing employees and their families to purchase items and services at a discount. Comprehensive packages also offer discounts on financial, physical, and mental health services that [complement a traditional benefits plan](https://www.workingadvantage.com/employer/voluntary_benefits).
Employee discount programs also encourage informed decision-making. Employees can choose the programs that make the most sense based on their individual situations.
Employee discounts foster a culture of appreciation and loyalty. Employee discount programs allow for benefits customization. [Personalized](https://employers.workingadvantage.com/blog-content?item_id=9e6df1d5-f1f5-4095-b8c9-9fb9c18fa4db) benefits foster a culture of appreciation and loyalty and enable companies to attract top talent.
Effective benefits communication ensures the team gets the most from its benefits. A strong benefits communication plan includes various channels and tailors communications to different segments of employees. If done with empathy and transparency, communication also has the long-term benefit of improving trust and loyalty among your team. Trust and loyalty improve retention, satisfaction, and engagement, contributing to a better bottom line.
Want to gain the competitive advantage a corporate discount plan can offer? Join the more than 40,000 companies using the largest corporate discount program in the world and sign up for [Working Advantage](https://www.workingadvantage.com/employer) today.
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