June 20, 2024

The first thing to decide whether you should create a customer incentive program is to find what this program can do for you. This article will help you establish what customer incentives are, their advantages, explore key reward structures and customer incentives, and analyze a few examples of various customer incentives.

About Customer Incentives

They are rewards that any brand offer to its customers after completing specific brand-building behaviors. It could be in the form of reward points, freebies, discounts, exclusive sales, or advanced access to recently released products. These customer incentives aim at encouraging customers for performing and repeating behaviors that assist the brand.

Level 6 is a leading company that organizes turn-key incentive rebate program in North America. The company provides a team of experienced account managers for offering their clients first-class service.

How Does A Business Reward Its Customers with Incentives?

Here is how a business can form a customer incentive program to reward its customers:

  • Making repeated purchases
  • Upgrading their plan
  • Writing reviews about the business
  • Referring friends to the business
  • Creating user-generated content

Advantages of A Customer Incentive

Here is what a customer incentive program can do for a business.

Promote Customer Loyalty

The program will make customers feel more appreciated, and emotionally connected with the brand. They greatly help in brand recall, customer retention, and repeated purchases.

Collect Customer Data

These programs help collect customer information in exchange for benefitting customers of the business. If customers share their personal information with an incentive program, then this data could help a business get more insights into the purchase behavior of customers.

Lead to Higher Revenue

Businesses spend a lot of time on existing customers who are responsible for bringing approx. 40{e8320b3a48b868d914fa32d2d6dd13b99d3fcdd8bc3f2724f7c5e8c2702076aa} of revenue to it. This requires a business to target them appropriately based on their information and buying behavior.


Once you learn the different aspects of customer incentive reward programs, their types, and features, it is time to think about how to design them to serve your business and customers effectively.