This rotary encoder has 24 pulses per turn and a RGB LED built in so you can provide visual feedback.
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Rotary encoders can be used similarly to potentiometers. The difference being that an encoder has full rotation without limits (It just goes round and round). This is a quadrature encoder so that you can tell how much and in which direction the encoder has been turned. They’re great for navigating menu screens and things like that.
This encoder is especially cool because it has a common anode RGB LED built in, as well as a push-button. Look below for the clear knob that goes with this potentiometer.