Rebate Reality Check: Trends for Rebates

A single user data point has an estimated value of $65, while an email address is worth $89 to any brand.

90% of rebate redeemers will take additional action (like joining a loyalty program) if asked.

But carefully managed rebate programs can increase returns by up to 260%.

of US consumers who buy personal care products have switched brand due to price increases in the last year.

of UK consumers have bought fashion items in the last 12 months that can be used for multiple occasions.

of US Gen Zs agree that finding ways to celebrate themselves has become more important to them since the pandemic.

of German social media users follow full-time influencers compared to 5% who follow business leaders.

of consumers prefer to manage payments via digital methods.

is the average number of days it takes to get a mail-in rebate payment.

of consumers who have a bad privacy experience switch brands.

of consumers think digital payments are more secure than their traditional counterparts.

One of the greatest competitive advantages that any brand has in the anytime, anywhere, always-on world of digitally-enabled smart shoppers is its understanding of its customers. Digital receipt validation allows brands to learn much more about consumer purchasing patterns, including:

• Purchase location
• Retailer preferences
• Demographic details
• Preferred payment methods
• Time and date of purchase
• Basket contents

For brands that historically have a hard time connecting directly with their actual end users, the first party data from rebate programs is a goldmine. It allows them to craft personalized brand experiences that make them stand out.

Hassle-free money back (and the sense of reciprocity that comes with it) makes consumers loyal and want to become brand advocates. Long term brand relationships are built on emotion, and on the overall experience. Each step in the rebate process: the offer, the reward, the submission, and the after-sale support, must work together, powered by data, to build brand love.

For example, if you know your consumers pay by PayPal for your product, offer a rebate directly into their PayPal wallet.

Digital rebate programs need to run on powerful and robust platforms to meet the demands of today’s consumers. And while automation plays a key role in the redemption process, it’s important to consider your martech administrators, as well as your end consumers, when choosing the right solution.

Marketers want tools that fit easily into their current stack and are simple to use. This is highlighted most vividly in a recent study from Ascend2. They found that ease of use, integration, and customization came out ahead of improved customer experience, automation, and data management.

Great contest and reward marketing solutions enable experiences that consumers love, while giving brands the means to take full advantage of digital rebates. This means they have:

• Transaction & engagement processing to activate and validate customers in any channel
• Data granularity for deep drill segmentation
• Value-exchange engines to enhance customer engagement with preferred reward systems
• Flexibility for seamless tech integrations
• Personalization to deliver great experiences at every stage of the customer journey

Features to protect brands from rebate submission fraud are well-established. Fraud detection and protection is often built-into technology platforms like our own SnippCheck, which processes and validates receipts for rebate promotions, and can manage entry loads that run into millions.

Digital redemption processes also enable the tracking of unique digital footprints such as IP addresses (for online), and unique smartphone identifiers. In this way, brands can protect themselves from a phone being used to submit more/erroneous claims.

To ensure data privacy, brands need to build data transparency into their marketing message to ease customer concerns. Using their own websites and apps rather than third-party solutions can better ensure data governance and accountability. However, working with an expert and trusted partner that shares your privacy values can be just as effective.

Users should be able to submit their receipts by picture text messaging, email or web-upload. No more licking of stamps or trips to the mailbox.

Nothing more than a scanned/snapped copy of the store receipt, or barcode and UPC symbol from the product packaging.

During the processing of a rebate claim, customers should be able to view the status of their rebate claim at any time, in real-time, and be notified of the outcome.

Improve the rebate experience by reminding your customers to claim their renewal. This helpful extra touchpoint builds brand affinity.

Consumers should be able to choose their own reward delivery mechanisms - prepaid cards, checks, PayPal and more.

The rebate redemption process must include demographic and purchase data capture.

Remember that the redemption is the icebreaker. Leverage data from the rebate process to continue engaging the customer. This mindset makes rebates a tool for getting new customers, encouraging them to buy more and allowing them to spread the word.