PROVEN ROITHE CASE FOR THE KAZOO EMPLOYEE EXPERIENCE PLATFORM

TABLE OF CONTENTS

About This Report

Proven ROI: Employee Engagement

Proven ROI: Organization-wide Impact

Proven ROI: Program Participation

Proven ROI: Strategic & Cultural Goals

Conclusion | About Fidelio Works LLC & Kazoo

Proven Benefits at a Glance

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CUSTOMERS REPORTED THAT KAZOO DELIVERS VALUE IN FOUR KEY WAYS:

IMPROVING EMPLOYEE

ENGAGEMENT

BETTER USE OF TIME

AND MONEY

INCREASINGEMPLOYEE

PARTICIPATION

ALIGNING TOBUSINESS

GOALS

ABOUT THIS REPORTKazoo customers use our solution for a whole host of reasons, from connecting employees in different departments and locations, to increasing engagement and rewarding individuals and teams that meet strategic business goals.

We recently hired a third-party research firm, Fidelio Works Consulting LLC, to conduct in-depth interviews with eleven Kazoo customers to get a feel for how their employees and organizations have benefited from putting Kazoo’s Rewards and Recognition solution into practice. Participating companies ranged from technology and marketing to financial services and consumer products.

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Improving employee engagement was often the primary driver for the purchase of Kazoo’s Rewards and Recognition platform. And Kazoo delivers:

100%

PROVEN ROI

EMPLOYEE ENGAGEMENT

CUSTOMER TESTIMONIALS...

OF CUSTOMERS REPORTED INCREASED EMPLOYEE ENGAGEMENTwhich was experienced in a variety of ways depending on the type of company and its challenges. An overwhelming benefit was an increase in feelings of appreciation and connection among employees.

“It’s nice to see the different department recognizing each other. It’s broken down the walls.” – Veterinary hospital

“Participants who are active in Kazoo are happier, more engaged, and better adjusted.” – Online retailer

“Employees love it — it’s the most popular piece of company software they use.” – Enterprise marketing platform

“Our pay isn’t always as high [as other industries], and in this market, we needed employees to feel connected and appreciated, so they stay.” – Credit union

TEAM CONNECTIONTeam members who spread across multiple locations, or even multiple countries, are particularly vulnerable to feeling disconnected from their peers. Kazoo has a dramatic impact on employees who had previously struggled to feel – and act – like part of a team.

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“Our client teams work in multiple offices. Kazoo is an excellent way to keep them all connected and contributes to a global mindset.” – Multinational advertising agency

“It’s such a great way to feel connected and see what’s going on, people in the field have sent thank you messages to our CEO.” – Insurance company

“When you have a lot of remote locations, or when you don’t go to any office, Kazoo can make you feel like part of the team.” – Financial software provider

“With a distributed workforce and teams in different locations, Kazoo gives real-time ability for employees to recognize each other when they are not sitting next to each other.” – Digital marketing company

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CUSTOMIZED REWARDSMeaningful awards that target specific employee needs or reinforce aspects of the corporate culture also enhance engagement.

“We love the fun, inventive ways they come up with to give each other points.”– Enterprise marketing platform

“Our warehouse employees love having lots of options to redeem points, such as the local burrito place, or credit at the company store.”– Online retailer

For lower-paid employees, rewards such as gas money, bus passes, and local restaurants, are especially appreciated.” – Major non-profit organization

“A substantial portion of points goes to charitable donations, and there are requests to do more and more of this. Our charitable donations are much higher than the average and fit with our culture.” – Multinational advertising agency

“People like the custom experiences: coaching sessions, lunch, or a round of golf with an executive.” – Insurance company

Customized awards with a controlled cash value are particularly Important to lower-paid employees.

More highly compensated teams valued experiences

that connected them to their careers or team members.

EXECUTIVE VISIBILITY AND LEVERAGEKazoo brings the most value for organizations where executives actively participate in the solution. Participation took a variety of forms, from monitoring the live feed or checking out the “Brag Reports” to giving on-the-fly recognition via the app. These tools also resulted in rewards being more evenly spread out among employees. Instead of the same “superstars” getting recognized over and over, quiet but capable employees gained greater recognition, which can lead to improved job satisfaction.

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“Executives are seeing employees at all levels recognized for their work.” – Credit union

“Kazoo is a secret way that we keep track of goings on in the office and get insight into who to tap for specific projects.” – Multinational advertising agency

“Our CEO has the app on her phone. I’ve seen her give points in real time in a meeting in front of the team that did the project and in front of another manager.” – Financial software provider

“Sometimes employees are responding to things that I didn’t even know were going on. I feel like a spy.” – Online retailer

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In addition to the broad range of experiential data, companies are discovering measurable results in multiple ways across their organizations. The impact can be quantified in areas ranging from time savings and higher program utilization, to improved project success and better adherence to brand identity

PROVEN ROI ORGANIZATION-WIDE IMPACT

“Before, we were wasting time chasing down employees to ensure they completed training.” – Financial software provider

“It’s so much easier and faster to send acknowledgment on Kazoo than drafting an email, thinking of what managers to cc, etc. – that can take 20 minutes every time.” – Enterprise marketing platform

“Before, managers would want to recognize someone, but it took a 30-minute planning conversation each time.” – Direct sales company

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HOURS A MONTH 5

THE COST SAVINGS AND BETTER USAGE OF HR STAFF TIME SAVED AN AVERAGE OF

WEEKS A YEAR11

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FINANCIAL SAVINGS AND CONTROLCompanies also experienced savings by replacing costly and ineffective programs with targeted rewards from Kazoo.

“We used to give away company swag; now they have to earn it! It saves us a couple of hundred dollars, and people actually wear it more because they are proud of it.” – Financial software provider

“Now employee rewards are budgeted for the whole organization, instead of everyone doing what they want. It’s all in one place, and we can quantify how much are we spending.” – Direct sales company

Before implementing Kazoo, many companies found that every manager had a different philosophy of employee recognition—or none at all. This siloed approach made costs unpredictable and often felt unfair to employees. Kazoo gives businesses better consistency and financial control over reward programs:

“We eliminated a wellness program then repurposed that budget for Kazoo, where we can focus on programs that drive our business.” – Financial software provider

30%THE COST OF EMPLOYEE

REWARDS PROGRAMS DECREASE UP TO WHEN MOVED

TO KAZOO

“We save on gift cards and payroll taxes, and it’s a more efficient, streamlined process.” – Credit union

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In the past, many companies surveyed had invested significantly in employee programs, only to be frustrated by low participation and limited awareness that the program even existed. The most immediate impact of implementing Kazoo was to increase participation in the recognition program itself. As Kazoo altered both manager and peer-to-peer behavior, recognition program participation nearly doubled.

Further, participation in Kazoo translates to increased utilization of other corporate programs.

PROVEN ROI

PROGRAM PARTICIPATION

“It makes it much faster to spin up new programs and gain adoption. A 5% increase in employees using our travel program to book trips saves us $50 on each booking. At ten trips a year, that’s $500 per employee participating.” – Enterprise marketing platform

“For managers, Kazoo’s Rewards and Recognition is both a time saver and changes how they think about recognition, because there is more daily awareness of what’s going on in people’s lives. Managers aren’t in the weeds just trying to remember birthdays. Now they have the capacity to go above and beyond.” – Multinational advertising agency

We went from 50% of employees using a manual spreadsheet system for recognition to 90% of employees logging into Kazoo at least weekly.” – Digital marketing company

50%COMPANIES EXPERIENCED

GROWTH IN PARTICIPATION OF OTHER CORPORATE PROGRAMS WHEN THEY STARTED INCENTIVIZING EMPLOYEES WITH KAZOO POINTS.

UP TO

“We have a medical health risk and wellness program through our insurance company. A Kazoo Behavior Bonus immediately increased employee participation from zero to 20%.”– Direct sales company

The measurable benefits on Kazoo can go far beyond direct program participation and impact Key Performance Indicators and high-level goals for the entire organization. Since the companies using Kazoo vary dramatically, so do their goals and KPIs, but as Kazoo becomes deeply ingrained in the corporate culture, its impact is felt throughout the organization.

PROVEN ROI STRATEGIC AND CULTURAL GOALS

“Behavior Bonuses have generated a tremendous change in how we talk to clients, educate, and provide services. We’ve assigned points values to different services we provide and have seen a significant increase in profit on selected services.” –Veterinary hospital

“There’s less complaining about clients and projects because the feed continually shares positive updates, which influences attitudinal behavior and impacts efficiency.” – Digital marketing company

COMPANIES SAW A

10%INCREASE IN SUCCESS METRICS WHEN THEY STARTED INCENTIVIZING EMPLOYEES WITH KAZOO POINTS.

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Many companies use Kazoo to encourage and reward employees for “Living the Brand” or becoming active brand ambassador.

AMPLIFIED COMPANY CULTUREBeing known as a business that values its employees is a vital part of a company’s brand message, but Kazoo customers are just beginning to leverage the promise of Kazoo during recruiting and increases in retention of the employees who are most invested in the company mission and brand.

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“We wanted a platform for recognizing employees who are living the brand promise. We’ve been surprised by the amount of recognition and overall morale boost that comes from being thanked for things you do on an everyday basis.” – Credit union

“We reward employees for donating to [our organization] and sharing on social media as brand ambassadors, and donations have gone up.” – Major non-profit organization

“Our company is all about the environment and reducing the use of chemicals in the home, and it’s important that everyone walks the talk. Kazoo has been a huge factor in that. With a Behavior Bonus for picking up ten pieces of trash a week, our employees picked up 25,000 pieces of trash a year.” – Direct sales company

RETENTION AND RECRUITING

“I overheard one of my employees talking to a friend outside of the business about Kazoo.” – Veterinary hospital

“Candidates want tangible proof that we are doing something about engagement…”– Direct sales company

“It has tipped the scales in our favor on more than one occasion. Since 2012, we’ve had about ten instances where Kazoo was a big factor, and they tend to stay. These are the kind of employees you want.”

– Digital marketing company

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In a 200 person company, 1-2 applicants say “yes” to a job offer every year specifically because of what Kazoo tells them about their potential employer. Furthermore, these candidates come as employees who prioritize cultural fit, are highly engaged, and show greater commitment to the organization.

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Customers who use Kazoo’s Rewards and Recognition platform experience a wide variety of benefits, both quantifiable and observed. Concerns regarding employee engagement and communication were a significant driver in the majority of purchases, and Kazoo impacted engagement across the board. Companies with inconsistently applied rewards programs experienced the greatest cost and time savings for both HR and individual managers. Kazoo helped them quickly implement company-wide recognition programs. And once Kazoo was in place, participation in both peer-to-peer recognition and other company programs skyrocketed. Finally, as Kazoo becomes more deeply ingrained in the company culture, strategic goals are also impacted. Whether measured in project efficiency, better customer service, or employees who were “living the brand,” Kazoo changed the DNA of these companies for the better.

CONCLUSION

About Fidelio Works LLC Fidelio Works LLC is a boutique product management and marketing firm based in Austin, Texas. We work with companies across the technological spectrum to define their product direction, value proposition, and market positioning.

About KazooKazoo combines YouEarnedIt’s Recognition & Rewards platform with HighGround’s Performance Management solution and adds an enhanced Surveys feature. With over 500 global customers, Kazoo’s people management platform brings actionable analytics to today’s business leaders. Kazoo: when work is working. Learn more at KazooHR.com.

KAZOOPROVEN BENEFITS AT A GLANCE

uu No-cost, experience-based rewards rewarding experiences tailored to your culture

uu Customized rewards by team, department, or office

uu At-cost rewards Kazoo does not profit from your catalog

uu Quick, easy rollout Average 3-4 weeks to launch

uu Double the participation in employee recognition programs

100%OF CUSTOMERS REPORT HIGHER EMPLOYEE ENGAGEMENT

30%DECREASE IN COST OF EMPLOYEE REWARDS PROGRAMS

5FEWER HOURS SPENT ON EMPLOYEE RECOGNITION EFFORTS

10%INCREASE IN SUCCESS METRICS

50% GROWTH IN CORPORATE PROGRAM PARTICIPATION

* This content was updated in March 2019 to reflect YouEarnedIt’s name change to Kazoo.

© 2019 KAZOO. All Rights Reserved.

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