Reward and Incetives Market

Rewards and incentives are crucial elements of a company's compensation and motivation programmes, which are intended to increase worker engagement, productivity, and job satisfaction. Both their roles and levels of significance are diverse.
Employers use awards to show their appreciation for the hard work, accomplishments, and efforts of their employees. They serve as a vehicle through which the organisation recognises the devotion and hard work of certain members or subsets of members. A variety of methods, including pay increases, promotions, gift cards, more time off, and recognition prizes, can be used to provide rewards.
Organisations utilise mechanisms known as incentives to support specific performance objectives or behaviours. They serve as inducements to encourage better performance and results and are usually connected to achieving certain goals, benchmarks, or targets. Matching collective and individual efforts to the organization's strategic goals is the aim of incentive programmes.

Key Players
Blackhawk Network (United States)
eGifter (United States)
Giftbit (United States)
Giftogram (United States)
Global Reward Solutions (Canada)
Gravy Gifts (United States)
Gyft (India)
HMI Performance Incentives (United States)
Knowband (India)
Rybbon (United States)
Self-Service Networks (United States)
Square (United States)
Tango Card (United States)
Tremendous (United States)
Xoxoday (India)

Segmentation

By Type
Monetary Incentives
Non-Monetary Incentives 
Recognition Programs

By Application
Information Technology
 Healthcare
Finance
Manufacturing
By End Use
 Corporate Organizations
Small and Medium Enterprises (SMEs)
Government Agencies
Non-Profit Organizations

Market Dynamics
Driver 
Incentives and rewards are used by employers to increase employee retention, engagement, and satisfaction, all of which contribute to the development of a positive work environment. Opportunities for career advancement, wellness programmes, flexible work hours, and unique experiences are all common forms of compensation. By putting these well-liked awards into practice, it may promote a positive work environment and demonstrate to employees that you value their advancement and wellbeing. establishing an Employee of the Month programme or implementing a peer-to-peer recognition system to encourage an appreciating culture. Giving employees a clear, measurable aim to strive for can be achieved by matching rewards to performance metrics. Establish clear goals and objectives for both people and teams, and link rewards to achievements.

Restraints
Following are some significant disadvantages of incentives and rewards programmes that could cause a market restriction: In order to satisfy their incentive demands, employees could take actions that are harmful to the company as a whole. When production volume is expected, shop floor workers may prioritise speed over quality. If sales volume is the main consideration, salespeople could offer discounts or deals to customers that lower profit margins.
When rewards are used for repetitive tasks, they work best; when more complex cognitive talents are required, they quickly lose their effectiveness. For example, incentives can encourage workers on the production line to increase throughput, but engineers, IT developers, and other professionals are more likely to experience stress as a result of them. Thinking only about productivity can be detrimental to quality. Inequitable rewards have the power to strengthen resentment and undermine cooperation. Employees may become irritated with coworkers who do tasks faster and with less effort. Workers may believe that when it comes to team-based incentives, their coworkers are not making a fair contribution. Incentives may encourage employees to undercut one another's efforts rather than working together to achieve organisational goals.

Opportunity
Integration of technology presents opportunities for customised and data-driven incentive programmes, including data analytics and artificial intelligence. As businesses expand globally, rewards and incentive service providers have the chance to offer solutions that cater to different cultural and regional needs. The rising focus on employee well-being presents an opportunity for rewards and incentives in the form of wellness programmes that encourage a healthy work-life balance. Technology plays a major role in the development of employee reward and incentive programmes by ensuring that systems are managed efficiently and procedures are supported to optimise the employee value proposition (EVP).
Technology is a necessary component of almost all creative processes and business models, therefore it should not just be seen as an ingredient but also as a tool that may reveal and assist what is already possible..
A thorough approach is required for the reward plan. Technology needs to be included into the reward value chain and seen as a facilitator. While it cannot control strategy directly, it greatly affects how it is implemented.

Recent Industry Insight
On     Oct. 2023, Extu Launches GoTu Rewards, a Flexible, Affordable Incentive Platform to Drive Loyalty
On August 2023, Government to launch 'Mera Bill Mera Adhikar' GST reward scheme in six States, UTs
On May 2023, CarltonOne launches Apple Rewards Store
On Oct. 2023, Zoom bolsters partner program with new enhancements, incentives and support programs

Recent Acquisition and Merger
On Mar. 2022, Giift, backed by Apis Growth Fund II, acquires a majority ownership in Xoxoday, a fintech disruptor in the rewards, incentives, and payout space
On May 2023, Global employee engagement platform, Reward Gateway acquired by worldwide leader in Employee Benefits
On July 2022, Prepaid Technologies Acquires Workstride, Advancing Its Category-Leading Payments Platform
On Oct. 2020, 360insights Announces Acquisition of CR Worldwide
On January 2021, Augeo acquires Deluxe Rewards, expanding its consumer engagement platform & advancing growth initiatives
On August 2023, Brightspot Acquires Incentive Team

Key Target Audience
End User
Potential Investors
New Entrants
Innovation and R&D
Suppliers and Manufacturers
Others