- 10 Sep, 2013
- Boris Bogaert
- 0 Comments
What are Online Cashback Cards?
Online cashback card programs are marketing programs that combine the advantages of prepaid cards with discount and loyalty campaigns
The problems brands are facing with traditional cashback programs
Traditional cashback programs are missing their goal completely. We live in a world where technology enables real-time transactions, so filling in a form and waiting a couple of weeks isn’t increasing consumer satisfaction.
Another side effect is the refund, which is disconnected from the initial purchase, and in a lot of cases consumers end up complaining instead of being satisfied.
Why are online cashback programs interesting for consumer brands and subscription-based companies?
There are many reasons why consumer brands and subscription-based businesses are turning away from traditional cashback programs to online solutions.
- Optimise reduction and discount programs: flexible discount amounts can be topped up to the prepaid cards depending on the country and product(s) bought.
- Refund customer in days: instead of filling in a form and waiting a couple of weeks, customers get the discount or cashback within a few days on a prepaid credit card. This faster approach will leave your customer with a happy feeling.
- Unique and tangible product: receiving money on your bank account isn’t very personal, and if a customer has to wait weeks for it, he won’t remember where the money comes from. A tangible and branded credit card is a unique way to give your customers a good feeling every time they use card’s remaining balance.
- Option to generate additional revenues on card usage: when customers decide to use the prepaid credit card after the balance is used, they will reload the card and use it on- or offline. This enables brands to generate an additional source of revenue based on the cards’ transactions.
- Branded wallet that can be used for a long time: whenever a customer uses the card, he’s reminded of the discount or cashback he/she received. As a brand, you’re building a positive relationship with your client base.
- Strong market priced product with European access: the cashback programs we offer at Cardwise are in compliance with all EU regulations. The pricing is competitive, and our white label solution allows us to roll out fast!
- Possibility for loyalty/follow up campaigns: as consumers carry your brand in their wallet, you are able to do follow up campaigns that focus on loyalty instead of discount. Keeping customers loyal has a greater ROI than the acquisition of new customers.
- Loyalty²: many services are subscription based, and the brands of these subscriptions focus on acquisition. Loyal customers are often frustrated that new clients receive massive discounts, while they are the ones that are loyal. Reward your clients based on their loyalty, making them even more loyal. The longer they are a client, the more discount/cashback they get!
Is your brand using cashback programs to keep clients loyal?
We would like to know your opinion! Tell us about your brand, and the challenges you’re facing when setting up cashback programs.