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Program Strategies Animal Health Manufacturers Can Use To Increase Revenue

By Garret Giesler

With the increased competition in the market, many Animal Health manufacturers are using programs to increase revenue. Incentives are typically linked to desired actions, such as portfolio complements, growth, and overcoming competitive pressure. Generally, there are three types of program strategies used to support increasing revenue.

  • Loyalty programs
  • Category incentives
  • Matching incentives


Loyalty Programs 

Loyalty programs escalate incentives based on attaining a specific customer tier based on spending. Tier goals can be determined on many metrics, such as total sales, product SKUs sold, customers sold to, and more. Once a goal is met, an incentive is paid. Tiered incentives commonly provide a percent of sales dollars or dollar per unit rebates for attaining a tier goal. Customers may also be rewarded for nearing a tier, and get prorated incentives.

Category Incentives

Category incentives involve a group of products and a goal set for the group, typically including at least two groups with categories. Categories should follow logical groupings of products, such as the product segment. Category incentives help break customer’s targets down to manageable groups and encourage support across multiple product portfolios.

Goals and incentive structure for categories can be the same as tiered incentives. Category incentives have additional options, such as providing an improved incentive across categories for meeting multiple category goals.

Matching Incentives

Matching incentives involve multiple products or groups of products, and pay on the link between matched products. Matching programs are especially useful with a wide portfolio of products, as they can be used to promote support across portfolios. Matching programs are common at the clinic level to encourage use of complementary products such as a preventative and a treatment of the same disease.


Long story short…

Combining strategy with a congruent incentive structure creates increased brand loyalty, supports multiple brand use and increases revenue.

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