What Are Card-Linked Cashback Reward Programs?
Research shows, consumers love getting personalized deals when they’re shopping, so Card-Linked Offers are a great way for businesses to build consumer engagement and loyalty. CLOs usually provide rewards in the form of points, which can be spent at that business after they’ve been accrued, or as cashback. With cashback, consumers get a small percentage back of what they pay for specific purchases. It’s essentially a small refund that goes “back” to the consumer’s account after a purchase is made.
How do you build a Card-Linked Offer app that generates cashback?
Building a CLO app is pretty straightforward. The process is essentially this:
- Register with an open-banking provider
- Start a cashback program at a selected merchant
- Notify your users of the new program with that merchant
- Monitor your user’s spending and give them the cashback deal when they spend money with that merchant
- Repeat for other merchants
The key here is for app developers to partner with providers who will make the process above as simple as possible. For example, Pentadata is an open-banking provider whose APIs are connected to essentially all North American banks/financial institutions and can accurately identify over 40 million merchants. By partnering with us, you will have some of the broadest coverage possible. In addition, our APIs also make it easy to keep track of what your users are doing so that you can provide the rewards your app says it will. A last major perk is that Pentadata’s APIs are extremely secure, so your consumers can trust their sensitive information will remain safe.
What are some cashback app examples?
One well-known cashback app is Rakuten, an app/extension that partners with over 3,500 well-known national stores to provide cashback to customers when they shop through the app. Ibotta is another cashback app that can be used both online and at physical store locations. RetailMeNot is also a well-known cashback platform.
How can I find cashback offers near me?
If you’re curious to know what cashback offers are already trending in your area, try searching for in-store offers on one of the apps mentioned above.
Recently we’ve been answering common questions developers and entrepreneurs have about rewards programs, card-linked offers, and the technology to start one. You can learn more about card-linked offer programs here and here.