Can performance-related pay motivate the SCD celebs?

Its that time of year again when the media begin to speculate about the identity of the contestants on the next series of Strictly Come Dancing. But for 2010 there is an added business-studies-related twist…

How does the BBC, facing an increasingly hostile external environment, ensure that it get best value for money from the rewards that it pays the stars of the show. The BBC is under pressure to reduce its costs on the one hand, but it also needs to invest sufficiently to provide a programme that can compete this autumn with the X-Factor on ITV.

For 2010, the BBC have opted for a change to the way that celebrity contestants on SCD are remunerated. Rather than being paid a fixed appearance fee (regardless of how long they stay in the competition), SCD celebs will for the first time be given performance-related pay.

The overall appearance budget seems to have been held steady, despite a reduction in the number of contestants. So the celebs should find plenty of motivation to stay in as long as possible - perhaps even playing the sympathy vote option for all it is worth. A great example of financial motivation in action.