Mastering the art of employee appreciation in the salon can sometimes feel like a complex equation, something that business leader Tsvetelina Hinova, co-founder of Thankbox, an online card and cash collection service, describes as an “art, maths and science”.
“Employee appreciation is about more than simply paying a competitive salary, offering a Christmas bonus, or organising occasional Friday afternoon drinks,” Tsvetelina explained. “It transcends mere engagement strategies or career development pathways. It’s about creating a welcoming, inclusive, and genuinely appreciative organisational culture. It is about treating employees as human beings, recognising their individual value and contributions beyond their job descriptions.”
“With many western economies in the midst of, or facing, recession, employee appreciation emerges as a powerful and cost-effective solution for businesses to remain productive and profitable, particularly if they have remote or hybrid working employees,” she added.
Citing recent studies on recognition, stats show that feeling appreciated significantly mitigates the impact of layoffs, understaffing, salary concerns and even heavy workloads, also detailing that about two in three people would quit their job if they didn’t feel appreciated. Additionally, more than half of employees believe recognition would inspire greater productivity, while also reducing job-hunting desires, maintaining morale during layoffs, and lessening the negative effects of an underpaid or stressful role.
In Tsvetelina’s business dedicated to fostering appreciation and connectivity within teams, she’s picked up top tips on how to master this essential business metric that you can take back to the salon to foster loyalty, boost morale and ensure a productive and successful team. Read on.
Implementing effective appreciation programmes
“Creating a culture of appreciation doesn’t require a massive overhaul. Simple actions can make a significant difference,” Tsvetelina said. “A good starting point is budgeting 1 per cent of payroll for recognition programmes and scaling up based on results. Importantly, frequent recognition proves more effective than salary increases alone in boosting engagement and retention.”
Other small details such as remembering personal details from birthdays to coffee orders and maintaining a genuine interest in their life outside of work is key, as is recognising and celebrating all levels of achievements and acknowledging landmark occasions
“By prioritising appreciation, businesses can improve employee morale, boost productivity, and reduce turnover costs, ultimately enhancing their bottom line and securing their future.” Tsvetelina said “This requires a company-wide commitment, spearheaded by leadership and supported by a strategic budget allocation.”
Understanding People
Tsvetelina refers to the “art” of employee appreciation as the “the creative and personalised approaches used to show gratitude and build strong relationships”, built from thoughtful gestures that cater to individual personalities, communication styles, and cultural backgrounds. Thinkbox streamlines this through a personalised AI message generator and also offers a framework to share this appreciation.
Key notes on this type of communication are to call out specific actions, behaviours, or contributions, highlight the impact of these actions, express clear and genuine gratitude and encourage them to keep it up, while expressing confidence in their abilities.
The Bottom Line
The “maths” of employee appreciation is what Tsvetelina refers to as “quantifying the impact of employee appreciation on the bottom line”.
“The cost of replacing an employee can be substantial, encompassing recruitment fees, training expenses, and the loss of productivity during the transition period,” Tsvetelina said. “Studies consistently demonstrate that organisations with strong cultures of appreciation experience significantly lower turnover rates. This translates directly into cost savings, improved efficiency, and enhanced profitability. Furthermore, employees who feel appreciated are more productive and produce higher quality of work.”
Understanding behavioural factors
The “science” of employee appreciation is what Tsvetelina refers to as “psychological and behavioural factors that drive employee motivation, satisfaction, and retention”.
“Positive psychology informs us about the power of positive reinforcement, recognition, and appreciation in boosting morale and fostering a sense of belonging. Behavioural economics highlights the impact of both intrinsic and extrinsic motivators on employee performance. Understanding the different generational values and preferences is also crucial.”
“Applying these scientific principles leads to the creation of targeted and effective strategies, carefully designed to resonate with the specific workforce demographics. Regular surveys, feedback mechanisms, and data analysis can provide valuable insights to continually refine and improve the effectiveness of appreciation programmes.”
Small and meaningful actions that can make employees feel valued include regular “thank yous”, personalised birthday cards and streamlined gift collections, team lunches or coffee breaks, publicly acknowledging achievements, opportunities for professional development, consideration for work-life balance, providing resources for mental and physical well-being and regular, open and constructive feedback sessions.
“By integrating the arts, maths, and science of employee appreciation, organisations can create a workplace culture that not only attracts and retains top talent but also fosters a highly engaged, motivated, and ultimately, successful workforce,” Tsvetelina said. “The investment in employee appreciation is not merely an expense; it is a strategic investment with a significant and measurable return.”
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