Rebates come in various forms
A rebate is a reward given to an individual after the purchase of a product or service. While most consumer rebates are in the form of a check, they can also be gift cards, service certificates or premiums. Rebates, usually in the form of SPIFs (Sales Performance Incentive Fund) or gift cards, can also be awarded to employees based on sales of specific products/services.
Rebates over Discounts
Retailers choose rebates over discounts because rebates offer retailers the benefit of giving customers a temporary discount on an item, while allowing the Retailer to maintain its current price point. Rebates also require the customer to correctly submit additional information (original proof of purchase along with their name and address for marketing purposes) to receive the rebate.