To incentivize your customers means offering rewards or benefits to motivate customers to take specific actions, such as making a purchase or engaging with the brand. This can include discounts, gift cards, bonuses, customer loyalty points, or exclusive offers.  

The goal behind incentivizing customers is to create a compelling reason for customers to choose your business and remain loyal. As a 2024 study by Tango and Blackhawk Network reveals, companies using rewards-based promotions, including incentives, gain significant advantages over those that do not—other methods include discounts and branded items.