How does Ebates work? A lesson in sharing

Posted by a2g on March 8, 2016

facebook icon twitter icon facebook icon pinterest icon

My aunt recently introduced me to Ebates. She is the queen of savvy shopping, so when she told me that there were no strings attached, I believed her. (Power to WOM marketing.)

For me, as a consumer, the concept was simple: I purchase from partnering online retailers using the Ebates website. And I get a rebate for each purchase.

For Ebates as a business, however, the model was confusing to me. How were they making their money? And they are making money – in 2013, Ebates generated over $2.2 billion in gross merchandise value, which added up to over $167 million in revenue.

I wasn’t the only one wondering. Approximately 2900 people are wondering that self-same thing on a monthly basis:

So…how does Ebates work? And what makes them so successful, with such a loyal customer base?

Turns out it’s a good old fashioned profit-sharing model. An oldie but a goodie. It’s a great way to incentivize, but I never thought to apply it to an affiliate website.

Ebates acts as a giant affiliate website for many online retailers. So when you purchase anything through their site, Ebates makes money.

Here’s the simple genius of it, though – so do you. In essence, Ebates is thanking you for using their site by paying you a percentage of what they’re earning. In essence Ebates is thanking you for using their site.

Talk about incentivizing!

Check out our gallery of Visa incentive and awards cards here, or contact us today to discuss our options.

Start Rewarding with Awards2Go

Take advantage our low per card fees, flexible load amounts, customized messaging, low cost company-branded design, rush delivery, and more.

Get Visa Cards