Globally we are spending more and more money online than ever before and it’s accumulating at lightning speed. Once it was just CD’s and books as lots of people just wasn’t confident about shopping online and many were worried about the credit card details being safe.
Fast forward to today and almost everybody shops online in one degree or another purchasing items such as books, clothes, electrical goods, holidays and even high-priced items such as cars.
Retailers are always looking at ways to win the online shopping war offering various incentives and vouchers to encourage online shoppers to spend their hard-earned money with them instead of a competitor.
Something that is proving successful are online shopping cash back offers. This is where third-party companies agree to drive shoppers to the online retailer and receive a part of the consumers spend which can be anywhere from 5%-25% depending on the volume and item.
A percentage of this is then passed on to the consumer as a cash back reward or sometimes in the form of vouchers. This encourages the consumer to use the cash back company making it a win-win situation for everyone involved.
Many of the companies put together the online shopping cash back offers have different levels of membership which dictates the level of cash back you receive from your online shopping. It’s up to the consumer to decide whether paying for a premium membership is going to be worthwhile, i.e. do you purchase enough items online to make the membership fee viable.
As the industry is becoming more and more competitive cash back companies are offering other incentives for consumers to become members such as music downloads included in the membership which lets members download music and create playlists in the account. Some of them now inform you of the latest deals and vouchers as they are released which can result in further savings.
Another incentive the online shopping cash back companies are offering is a reward incentive program which pays referral payments to introduce new members. For every new member the existing member introduces they receive a small incentive payment and in some cases the new member receives the same payment.
A recent development is that high street banks and other organisations not associated with the online shopping industry (other than transactions) are now offering cash back at certain online stores. This suggests a very strong trend in the way we will continue to purchase our items and it does beg the question as online shopping and cash back companies gather in strength how safe are the brick and mortar shops we are used to seeing.
Will we ever get to a stage in society where most of the large retailers will sell their products online and have a few skeleton stores to act as a visual presence?
Many would doubt this but given the increased online spending it is certainly something to think about. Although this is the subject for another article as there are many points to look at and consider.
Although increased online spending does have a negative side in that it continues to make many retailers come to the decision to close some of their high street stores it does create a positive effect for consumers.
The many online shopping cash back companies are now battling with each other to offer the highest cash back along with other benefits such as vouchers and money off coupons, this can only be a good thing for the millions of online shoppers around the world. We are now in an era where we can now actually get paid to shop online, who knows what else is around the corner?
Make your online shopping pay. Carry on shopping at all your favourite online retailers, purchasing your favourite products but get money back on every purchase.