Incremental encoders

Incremental encoders generate a precisely defined number of pulses per revolution. They are a measure of the angular or linear distance moved.
Moreover all encoders generate an index pulse exactly once per revolution.
Absolute encoders

Absolute encoders provide an absolute numerical value for each angular position. This code value is available immediately after power is applied.
This “absolute” value makes a reference procedure like the one required for the incremental encoder unnecessary.