Incremental Backup Option is an advanced feature to solve out the issue of item duplicity and prevents software to create new .pst file for the same target if same PST file has been found of the source when processing again.
This option is very useful if you are backing up mailbox item from Exchange Server/Office 365/Outlook Profile to PST file format.
What does it do?In case of session breaks with source or network failure: - If the software fails to export all the items at once and fails in midway, you can simply run the process again and it will take backup of remaining items into the same PST file.
If taking back up after a period: - If the user taking the backup after a period and some items increased during this period in mailboxes then only newly added items will be exported to existing PST file despite exporting all.
Note: if you will not check the Incremental Backup Option, new .pst file will be created and the software will take the backup of all items again.