You’ve probably heard of cashback websites.
Ecommerce marketers swear by it.
Online shoppers obsess over it.
And for good reason:
It pays online shoppers who shop.
All these shoppers need to do is visit the company’s website via the link provided in the cashback website. Afterwards, whenever they buy an item, they receive money once the transaction is processed. The amount they get can range from a few pennies to more than £100!
It’s also pretty damn fast to sign up in any cashback website.
Once users create a profile, they can login and search for deals on the retailers they want to buy from, like AliExpress, BT Broadband and Expedia.
That’s right—users can get great deals on flights, hotel bookings, broadband offers, shoes and a lot more!
Here’s a sample of the latest offerings from a cashback website:
These offers are irresistible, and it’s obvious why everyone loves them. Think about the amount of money that consumers can save by shopping in a cashback website.
A study by Statista found that among respondents with an annual income below 50,000 British pounds, 63 percent said that they would purchase a product based on its high-value cash back rebate. The same results were found among those belonging in the 50,000 to 99,999 income bracket.
For retailers, this means that they’re missing out on a huge opportunity, if they’re not in any cashback website.
Which Products Work Best In Cashback Websites?
Cashback websites work best with products in the switchers market, such as insurance and broadband. With a great deal, you can easily entice customers to switch to your brand.
Online store owners who offer products that are sold by other merchants can also get the market share of their competitors via cashback websites. Users can easily search for a product and compare it with competitors, by filtering the results based on name, highest %, highest £, popularity and newest added.
If you offer the best deal or have the highest £ rate, you can rank first in the filtered results of the cashback websites. Meaning that with a good offer you can drive a lot of traffic to your online store.
This is how cashback websites earn and why they pay out money. Since they have the ability to direct traffic, they earn money based on the number of clicks, transactions or accepted applicants—that were a direct result of the offer posted on the site. Cashback websites then distribute some of the money they were paid to shoppers who avail of the deal.
Just starting out? Get into a cashback website ASAP.
Cashback websites are one of the hottest business models in ecommerce marketing.
Consumers find it easy to sign up and find the best deals, while, retailers can beat their competition —based on the deals they offer.
It’s the perfect win-win situation.