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For incentive 1, Kyle would need to purchase the eggs in sets of 3. Since there are 20 eggs in total, he would need to purchase 20/3 = 6 sets of 3 eggs.
Each set of 3 eggs costs $12, so Kyle would spend a total of 6 * $12 = $<<6*12=72>>72.
For incentive 2, Kyle would receive a 20% discount on his entire purchase.
The discount amount would be 20% * $100 = $<<20*.01*100=20>>20.
Therefore, incentive 2 offers a better discount with a discount amount of $20. Answer: \boxed{20}.