Cashback Rewards – Incentivising buying customers without devaluing your products
Today’s prevailing pandemic situation makes people call upon themselves to get the most of their money’s worth. Bucked by reduced working hours and opportunities to earn more, they are down with the essentials.
Whether less physical or more digital, their shopping options are now being marked with how they can maximize whatever there is with the amount they are about to spend. Shopping stores and platforms knew these behaviours and by employing loyalty programs, they would see consumers flock around sales, bargains, discounts, raffle draws, buy-1-take-1s, and other creative promotional schemes.
The Cashback Reward
One among the various retail strategies that is proving beneficial to a business-client relationship is the cashback rewards mechanism. It works in such a way that whenever a client purchases an item, they are rewarded back with a cash percentage based on the purchase amount. Retailers are starting to see cashback rewards as a high-value promotion since they are satisfying their customers with cash incentives without devaluing their products.
With cashback rewards, sales volume traject upwards while keeping customers satisfied and happy, and that is the point. Incentivised purchases make happy customers. And they show their satisfaction with their loyalty. The purpose of cashback rewards is to encourage customers to patronise the retailer’s products.
The Cashback and The Reward
Customers signing up for credit cards usually receive cashback and reward programs from issuers. A cashback rewards customers with a cash percentage off every item bought whenever they use the credit card. They may redeem the cashback a month after hitting a minimum amount.
On the other hand, a reward is earned via a point system that is registered on the customer’s reward card after making purchases. Both can be availed of. Promotional cashbacks are often displayed on business websites. Sometimes cashbacks are offered for a specific product only.
Other times the platform displays a variety of products up for cashback rewards. Also prominent are instructions for customers to follow on how to avail and claim the cash rewards. Cashback promotions usually run on a limited basis where participating customers follow the mechanics set in order to qualify.
Conclusion
As cashback rewards are a growing customer favorite, it should be designed to cater to the widest of markets as possible in terms of age brackets. Whether they earn on points or cash rewards, the message will come across that they are at an advantage whenever they make purchases.
Points have the power to make another purchase. Much more with cashbacks. Adding a limited duration for each promotion, customers will always be eager to participate in any cashback promotion the business platform will offer from time to time. Its regularity will expand customer base as well as sales volume for a win-win situation.
What is more, data provided by claiming customers will allow the business to make insightful decisions based on customer’s shopping habits and behaviour.
Xion’s Cashback Rewards
Xion makes online shopping an exciting one by rewarding consumers with global cashback rewards when purchasing products/services online. This is all possible through Xion’s decentralized checkout facility.
To drive the demand for XGT and repeat purchases for merchants, consumers can pay for their products with XGT. This process can be applied to a situation such as this: customer purchases a product with DAI, gets 100% cashback in XGT and returns to purchase another product with the XGT they were just rewarded.
There is a 0% transaction fee when purchasing products, services or subscriptions with XGT and a 1% burn rate. This means, 1% of the XGT tokens transferred during a sale, will be burnt to decrease the supply and drive the demand to obtain more XGT.
Purchasing products with XGT is the easiest and quickest way to get up 100% discounts off your favorite products.
Upon launch, participating consumers will get 100% cashback (limited to 100k users) upon successful purchase through Xion Global’s Official Launch Partner Dabble Mart.
Unlocking the Cashback Rewards
There are 5 levels to the initial 100% cashback rewards. Every level, more XGT is unlocked to issue more cashback rewards. The only way to unlock more cashback levels, is to increase the liquidity in the Xion liquidity pool. Farming XGT does exactly that. For example: once Xions liquidity pool has $7.5m dollars from users farming, the second level of cashback rewards will be unlocked and $7.5m dollars will be available to the first 40k shoppers. Now bob can purchase a PS5, get 100% cashback in XGT and buy another one with XGT for free.
The levels are as follows:
Level 1 – $2.5m & 20k shoppers
Level 2 – $7.5m & 40k shoppers
Level 3 – $10.5m & 60k shoppers
Level 4 – $30m & 80k shoppers
Level 5 – $50m & 100k shoppers
If the Xion liquidity pool has slowed down in farmers and all the XGT has been issued for example level 1. Then, the cashback rewards will be locked until there is enough liquidity to unlock the next level. Once 100k shoppers have been collectively issued $50m worth of XGT cashback rewards, another wave of rewards will be introduced. However, the next 5 levels will be at a considerably lower cashback rewards percentage as it is tied to the bonding curve.
This 100% CASHBACK PROMO is only good for the first 100,000 customers! Find out about the launch first by signing up to Xion’s newsletter or social accounts.
