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In this paper, we first propose online and offline channel incentive models (CIM) with consideration of the consumers’ rational choices to solve and simulate the channel incentive problem (CIP) for supplier. We investigate whether the increase in demand along with channel incentive activities is enough to compensate for the decrease in the supplier's marginal revenue and retailers could benefit from the increase in market demand when retail channel information reference factor satisfies a certain threshold value. Our results show that decision preference of channel members is influenced by the reference factor and marginal revenue. Furthermore, the numerical achievements indicate that there is a unique optimal channel incentive coefficient related to the rational choices in benchmark channel incentive model (BCIM) for omnichannel. Both suppliers and retailers would benefit from the increased orders. Channel efficiency is improved from 72% to 79%. And the supplier profit function is a concave function of supplier's input in the offline channel incentive in the offline CIM. (Received in January 2023, accepted in March 2023. This paper was with the authors 2 weeks for 3 revisions.) © 2023, DAAAM International Vienna. All rights reserved.