Traditional advertising holds a perception of disrupting the viewer’s experience, even when it’s perfectly targeted. Despite marketers striving to reduce friction and engage the right audience, ads are typically something consumers encounter passively, deciding whether to engage or move on.
Whilst audiences become increasingly selective about advertising, investments in digital channels have continued to grow, exceeding $300 billion last year. The growth of retail media and the drive to monetize first-party data have fueled a surge in targeted advertising across the open internet.
Consumers are now encountering ads across a growing number of platforms—retail websites, shoppable CTV formats, smart devices, and mobile apps. This has unlocked new opportunities for brands to engage with their audience, though delivering consistently impactful and seamless experiences has to be the key focus.
The Atlantic aptly termed this era as “an internet adpocalypse that’s become unavoidable.” It is also imperative to know that the consumer confidence in advertising is gradually shifting, prompting brands to explore new approaches, to build stronger connections.
Is it the time to look at an alternative approach?
Consumers are driven to engage with brands through rewards like points, perks, or exclusive content. Instead of passively enduring ads (or avoiding them completely), they actively choose to interact with rewarded experiences.
Originally popularized by the mobile gaming sector, rewarded advertising has gained momentum in the retail media space as brands look to combat the diminishing returns of traditional digital ads. Unlike standard formats that interrupt the user experience with a one-way message, rewarded advertising fosters a mutually beneficial exchange. By offering consumers a reason to pay attention and take action, rewards lead to better engagement and higher conversion rates.
This method resonates with consumers. Studies indicate that 81% are more likely to interact with a brand offering rewards, and 75% reported that rewards increase their likelihood of making a purchase. It’s easy to see why—who doesn’t appreciate rewards?
For brands, the value proposition is equally strong. Beyond capturing attention, rewarded advertising has the advantage of directly linking impressions to real-world actions, providing clear attribution. As an opt-in format, it’s also a privacy-friendly way to generate high-quality first- and zero-party data to optimize campaigns.
Historically, rewards have been part of loyalty and CRM initiatives, funded by trade and shopper marketing budgets.
In the retail-media era, brands now view rewards as a scalable performance advertising channel.
Fetch, America’s Rewards App, engages consumers with personalized offers. Over 12 million users share their purchase history, providing insights into $179 billion in annual consumer spending.
Unlike traditional promotions that attract price-sensitive shoppers, Fetch uses purchase-based targeting to drive engagement and repeat purchases, fostering long-term loyalty.
For example, a user downloads Fetch for rewards on their favorite coffee brand. As they scan receipts and discover new brands, engagement becomes a habit, deepening their connection to brands.
Rewards, when done right, are more than incentives—they’re a scalable way to acquire and retain loyal consumers effectively..
As consumers seek more value and brands look for better engagement methods, rewards have evolved from a perk to an essential strategy in modern advertising. Platforms like Fetch are uniquely positioned to support brands in this shift.
By turning passive audiences into active participants who are rewarded for their attention, rewards as advertisements create a new, consumer-centric approach to personalized advertising.
In a world where brands can’t completely rely on broad targeting and guesswork for attribution, direct consumer relationships and consent-driven data are the new currency.
And no strategy delivers on that promise better than rewards.
The key question now remains: Are brands ready to complemenet their existing strategies by exploring rewards as a fresh engaging approach to connect with consumers & shape the future of personalized, value- driven advertising?
