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How can cashback be used to increase the repurchase rate?

Cashback is a business lever that has gained in popularity in recent years. A win-win situation for advertiser and consumer, for the advertiser, it generates more sales, and for consumers, it saves them money.

In this respect, did you know that cashback also encourages incremental sales and re-purchases ?

We tell you everything you need to know about it.


What is cashback?

Cashback is a promotional technique whereby a merchant agrees to pay buyers a portion of the initial purchase price.. The principle: the consumer recovers part of the money invested in the purchase of a product after payment has been made. This differs from a promotion, which reduces the purchase price.

Internet users interested in cashback must go through a platform that acts as an intermediary. Obviously, the site charges a commission which is paid by the merchant each time a customer clicks on the ad.

As we said, cashback is booming in France. In fact, according to a study by the SNMP (Syndicat National du Marketing à la Performance), cashback site sales have grown by +147% in 3 years, reaching €42M in 2019 (versus €25M in 2016).

In addition, the same study shows that, according to the advertisers who use it, cashback improves :

  • The 5% transformation rate;
  • The average basket by 10 to 20% ;
  • Frequency of purchase (2x more important) ;
  • Customer acquisition and loyalty (for 71% of respondents).


Cashback, incremental selling and repurchasing: understanding these concepts

Incremental selling is a concept used to refer to additional sales additional sales linked to the use of a marketing action (a promotional campaign, for example).

This can refer to various techniques for increasing sales:

  • Upselling which consists of proposing to customers that they upgrade their product;
  • The cross-selling (or additional selling), which enables the customer to buy an additional product (an accessory, for example);
  • The repurchase which makes the customer want to buy the same or a different product.

Obviously, you’ve guessed it: in this article, we’re focusing specifically on the latter trend. Having said that, we felt it was important to mention the other concepts so that we knew exactly what we were talking about.

According to various studies (including a Webloyalty – Médiamétrie study), the main criterion for repeat purchases is price. This is followed by the wide range of products, the satisfaction of the purchase and the ease of use of the site.

Please note: although this study dates back to 2012, it remains relevant, as motivations have not changed much over time. Except for price, which seems to be losing ground (while remaining an important factor).

In this respect, knowing that cashback enables real savings to be made with every purchase, it represents business leverage in both the customer acquisition (first purchase) and loyalty (repeat purchase) phases. Here’s all the advice you need to
optimize your ROI


Tips for combining cashback and repurchase

If you’ve read our previous paragraphs carefully, you’ll have understood that cashback can be used at various stages of the conversion tunnel both in the purchase and loyalty (i.e. re-purchase) phases.

In the purchasing phase, customers who can save money will be more inclined to buy a product on your site rather than from a competitor. In other words, they can discover your world, your brand and your references. If, in addition, they’ve had a good shopping experience, they’re more likely to come back when they need or desire.

This is when the repurchase can take place. After all, why go elsewhere if you’ve found the precise answer to your needs while saving money at the same time? At that point, it’s up to you to suggest a an attractive loyalty program to encourage regular return visits.

As mentioned in the first paragraph, studies show that cashback encourages more frequent purchases. This is especially true if you offer both (and in parallel) differentiated cashbacks for new and existing customers.

Be present on the main cashback platforms to improve your visibility (and therefore your sales) and at the same time offer an attractive loyalty program for the surfer gives you every chance of improving your re-purchase rate. All this while taking advantage of a performance-based marketing solution that, by definition, allows you to pay according to results.

We reveal the
TOP 10 online cashback sites.


Want to know more about affiliation and cashback ? Don’t hesitate to contact us. At Casaneo, we specialize in the worlds of fashion and home.

If you work in one of these sectors, you benefit from :

  • A network a network of premium affinity publishers to generate highly-qualified leads;
  • Reputable cashback partners (including
    Capital Koala


Affiliation Marketing at your fingertips

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