Why Thank You Matters More Than Money

How do you feel when someone says “thank you”? Whether for our efforts or achievements, most people appreciate being told they are valued. When delivered sincerely, a simple “thank you” can go a long way in making others feel respected and appreciated. 

Now, think about how you feel when you receive a bonus. While most of us feel good about being given more money, in the absence of sincere gratitude from our employer, a bonus is unlikely to significantly impact our spirit or performance. 

There’s no denying that targets and bonuses can influence performance, especially in sales and capital-raising roles. However, consider how unlikely someone is to perform at their best if, despite being highly paid, they feel undervalued. I often meet high-income earners who are unhappy at work because no one takes the time to say “thank you.” 

Research consistently shows that when people feel their salary is fair compared to what they could earn elsewhere, non-financial rewards are far more effective in building long-term employee engagement. Gallup research, spanning 4 million employees worldwide, reveals an undeniable link between recognition and organizational performance.

“Recognition not only boosts individual employee engagement but has also been found to increase productivity and loyalty to the company, leading to higher retention.” 

It’s common for people to complain about rarely receiving the thanks they feel they deserve. I often observe leaders, overwhelmed with their responsibilities, focusing on what needs fixing and overlooking opportunities to express appreciation. While addressing underperformance is important, leaders should also recognize and thank high performers, letting them know they are truly valued. 

How often do you say “thank you” to the people you lead or work with? If you do, how well are you delivering the message you want people to hear?  

To optimize the impact of your thanks, consider these steps:

Get on with it 

Expressing gratitude as soon as the opportunity arises energizes people and helps them learn from their successes. The more someone can remember about their efforts, the more likely they are to solidify positive learnings from the experience. 

Be present 

Have you ever wondered if someone truly meant their thanks because they weren’t fully present in the moment? A passing comment while distracted may be better than nothing, but it’s unlikely to have a meaningful impact. Take the time to connect sincerely with the person you’re thanking. Pay full attention to them, even if only for a moment and they’re more likely to feel the sincerity of your message. 

Make things personal 

Tailor your approach to each individual. Understand how they prefer to receive appreciation. Some may enjoy public recognition, while others may find it uncomfortable and prefer a more private acknowledgment.