Incentives that Inspire: Transforming Actions into Habits

BY Lucy Fang
Nov 14, 2023
Transform actions into habits with Incentive Rewards

The Role of Incentives

Incentives are not just about giving a reward; they are about understanding what motivates your audience. Whether it’s a financial bonus, recognition, or a physical gift, the incentive must be desirable to the recipient. It must be worth the effort to change their behavior.

In behavioral science, the power of rewards and incentives is undeniable. They are the cornerstone of positive reinforcement, a principle that can effectively change and shape behavior in various settings, from the classroom to the corporate world. At All Digital Rewards, we specialize in harnessing this power to help businesses achieve their objectives.

Understanding Behavioral Change

Behavioral change is a complex process that involves replacing an existing behavior with a new, desired one. It’s not just about stopping a habit; it’s about creating a new, better one. This is where rewards and incentives come into play. They act as a motivator, providing a tangible reason for individuals to alter their behavior.

Designing an Effective Rewards Program

An effective rewards program is carefully tailored to fit the unique needs of its participants. It considers the desired behavior change and aligns the rewards accordingly. Here are some steps to design an effective program:

  • Identify the Desired Behavior: Clearly define what behavior you want to encourage. Is it increased sales, improved customer service, or something else?
  • Choose Appropriate Rewards: Select rewards that will truly motivate your audience. This could range from prepaid cards available at to gift cards to customized merchandise.
  • Communicate Clearly: Make sure participants understand the program’s rules and how they can earn rewards. Make sure they know they have a reward coming.  

Measure and Adapt: Track the program’s effectiveness and be ready to make adjustments. The goal is to maintain engagement and motivation over time.

Success Story

At All Digital Rewards, we’ve seen firsthand the impact of well-implemented rewards programs. For instance, a sales team that struggled with meeting quotas turned their performance around when incentivized with prepaid cards for each milestone reached. Their behavior changed from lackluster to goal-oriented, and the results were tangible.

The Science Behind the Strategy

The efficacy of rewards and incentives is backed by science. Dopamine, a neurotransmitter associated with pleasure, is released when we anticipate a reward. This release can create a positive association with the behavior that led to the reward, encouraging repetition of the behavior.  You can read more about this at the National Library of Medicine website.


Rewards and incentives are more than just perks; they are strategic tools that, when used correctly, can lead to significant behavioral changes. By understanding the principles of positive reinforcement and designing a tailored rewards program, businesses can effectively drive performance and achieve their goals.

Next Step

Work with your team internally to identify 5 challenges you are facing that, if you changed peoples’ behavior (employees, customers, or partners), you could realize needle-changing business improvement.  Once you have these five challenges, click to schedule time with All Digital Rewards for a free strategy session on how to use incentives and rewards to make real change.