In today’s world, everyone’s looking for a good deal, and businesses are looking for innovative ways to get more customers. This is where cashback websites come into play. They create a win-win situation for both the user and the business.
Customers can save money, and businesses can increase sales. Cashback websites helped increase sales by 12% in the last fiscal year.
But that is not all; there are many other benefits businesses can get by partnering with cashback platforms. In this article, we are going to discuss the reasons why businesses should partner with cashback websites.
Let’s start with what are cashback websites first.
What Are Cashback Websites? #
Cashback websites are platforms that pay customers money for shopping online.
They work in a very simple way; customers can log in and look for the brand they want to shop from. Cashback websites provide links with which you can make a purchase and earn cashback.
Win Win for Everyone! #
Cashback websites work on a very simple yet effective marketing model.
Brands should partner with cashback websites because these platforms act as affiliates to promote your products, earning a commission for each sale they drive.
Unlike traditional affiliates who keep all the commission, cashback websites share a portion with the end users as cashback.
This means users get extra savings, cashback websites earn their commission, and you see more sales. It’s a win-win scenario for everyone involved.
Here are some of the cashback websites that we have listed:
- List of top cashback apps for shoppers to earn rewards
- High Paying Cashback Websites & Apps in the UK
- Top Cashback websites in USA
- 15 Best Cashback Websites in India
There are many reasons to partner with cashback websites. Let’s discuss them first.
Why Brands Should Partner with Cashback Websites? #
Higher Sales
Brands that offer higher commissions are more likely to get more customers.
To put it in simple words, if Nike and Adidas both are selling shoes, and one of them is offering higher cashback, customers are more likely to buy from them.
It naturally attracts them with more savings.
Get that last one click for checkout
Oftentimes, it happens that customer adds things to their cart and forget them.
You might consider them sending emails and notifications to complete the purchase, but the moment when they were about to complete the purchase has gone. So, it might require more effort to convert them.
But if the customer is offered cashback right away, they are more likely to checkout instantly saving you an extra effort to send emails and notifications.
Tiered based commissions
This is something cashback websites often do to attract new customers. They offer higher cashback for the first sale and then lower it.
Getting higher cashback attracts customers to give your product a try and if they like it they are likely to come back even with lower cashback rates.
Flexibility to set commission rates
If you sell multiple products on your platform, not every product will have the same profit margin and thus you won’t be able to give the same commission on every product.
So with cashback websites, you can provide different commission rates on different products.
Take Amazon for example, here is one screenshot from CashKaro, a leading cashback website in India.
As you can see, there are different rates for every category here. There are both percentage based and fixed rates here.
These flexibility allows you to optimize your marketing cost while targeting customers effectively.
Stop paying for leads, only pay for results
Affiliate marketing is a performance-based marketing model, meaning you only pay for actual sales generated rather than for clicks or leads.
Brands should partner with cashback websites because you only need to pay these platforms when they successfully drive sales for you.
This approach not only reduces your costs but also provides access to a large user base of cashback site visitors. It’s an effective marketing strategy that can help increase your revenue while maximizing cost efficiency.
Benefits of Partnering With Cashback Websites #
Increased Customer Acquisition
Cashback websites often attract shoppers who might not otherwise visit your store. So, if you are just starting your new business or planning to expand an existing one, cashback platforms are one of the options you should go with.
By offering cashback incentives, you can attract a larger audience for your business and lower the cost of acquisitions.
Enhanced Customer Loyalty
Cashback offers encourage repeat business. Customers are more likely to return to a platform where they know they’re saving money.
This helps you build a loyal customer base and increase repetitive sales.
Improved Conversion Rates
It is a fact that customers are more likely to make a purchase when they are saving money. So, if the customer is about to check out and see a cashback offer, they are more likely to complete the purchase. It reduces cart abandonment and increases your conversion rates.
Competitive Edge
In competitive markets, offering cashback through popular websites can differentiate your brand from competitors.
It’s an effective way to stand out, especially if your direct competitors are not offering similar incentives.
Cost-Effective Marketing
If you go with PPC and social media paid campaigns, you might attract customers to your site but there is no guarantee that they will make a purchase. But here, the chances of conversions are high compared to other options.
You pay cashback platforms a commission, which you only have to pay when the sale is done and confirmed.
You don’t have to pay for returned or canceled orders. So, partnering with cashback platforms is definitely a cost-effective way to promote your products and services.
Valuable Insights and Data
Cashback websites have a lot of traffic and data about user buying patterns. They know which brands they are engaging with and which deals are quickly convertible.
This data can help you optimize your marketing strategies and offer deals that can attract a larger audience.
Boosted Brand Visibility
Cashback websites are usually high-traffic sites, so listing your products on cashback websites can help you increase brand awareness and reach out to a new customer segment.
How to Choose the Right Cashback Partner? #
Assess User Demographics
Different cashback sites attract different types of users. Some cater to budget-conscious shoppers while others may attract more premium customers.
Choose a partner that aligns with your target audience. Understanding the demographics will help you reach the right audience and promote your products effectively.
Evaluate Market Reach
Check how many users the cashback platform has. Consider the geographical and digital reach of the cashback platform.
If you partner with a large and established cashback platform, you can cover a broad market. But if you go with the smaller ones, you might not attract as many customers.
Check for Technological Compatibility
This is very important. Make sure that the cashback site’s technology easily integrates with your existing systems.
This includes compatibility with eCommerce platforms and accurate tracking and reporting features. If you can integrate it easily, you can automate many tasks and reduce manual workload.
Analyze Fee Structures and Costs
Some cashback platforms charge fees and upfront costs for promoting your product. This is a one-time fee.
Most platforms work on a commission-based model, so they take a percentage of your sales.
You have to compare these costs against ROI to make sure that the partnership benefits you. Look for transparent pricing structures to avoid hidden fees.
Read Reviews and Testimonials
You can look for feedback from other businesses. You can reach out to some of your friends who have partnered with some cashback platforms and might show you the statistics and performance data.
It will help you get a better idea of how effective the partnership can be. Also, look for case studies that show how other brands have performed.
Once you have chosen the right platform, you are going to need a tracking platform, But why?
- It helps you track all the sales coming from the cashback platform.
- It automatically calculates the commission (tier based) that you need to pay cashback websites.
- If you are partnering with multiple cashback platforms, it helps you keep track of all of the sales and commissions for every platform in one dashboard.
AffiliateTrack, our in-house affiliate tracking software is a custom solution that allows you to track everything accurately.
From integrating cashback platforms to calculating sales and commissions, we have designed it to help businesses grow.
AffiliateTrack comes with a one time setup fee (That’s also half the price of the annual fee for most other platforms), so you don’t have to pay a hefty subscription fee every month.
Plus it’s fully customizable, which means we can make it the way you want to meet your business requirements.
Want to learn more about it? Check AffiliateTrack here.
Conclusion #
Partnering with cashback websites is more than just a marketing gimmick; it’s a strategic move that brings real benefits.
It’s about giving your customers a reason to choose you over the competition. When customers get a little money back every time they buy, they’re more likely to return.
Plus, it can help businesses get insights to customize their offers and services to bring more sales. It helps businesses increase overall sales and their business output. And with quality products and competitive cashback rates, you can build a loyal customer base.
