Leveling Up

As games become greater in the discourse of students and teachers, what does the term ‘Leveling-Up‘ mean? Can it be used in the classroom?

What do primary students think Leveling-up means? And are their answers aligned with teachers and programmers?

I believe leveling up means being recognized for  past work and that  past efforts have paid off and they get to move on.

I have been successful using this term in my classroom with something as simple as worksheets.  But why are my students more motivated to do the work when I say they are Leveling-Up to Level 3 instead of moving on to Worksheet 3??