Cashback website Cashbacking.co.uk has seen a 13% increase in new memberships during the first quarter of 2009 and expects this to increase further as the recession takes its toll. Many of it’s users earn in excess of £1000 a year, simply by doing what they already do online. It partners with online retailers such as Tesco and Marks & Spencer and those retailers pay a commission for a sale which is referred via it’s website. Cashbacking then shares that commission with it’s users in the form of cashback.
Over 900 retailers and service providers are already offering deals through Cashbacking, including supermarkets such as Tesco and Sainsbury’s, technology stores such as Curry’s, Dixons, PC World and Sony and mobile phone, utilities and financial services from brands including Orange, O2, HSBC and Scottish Power. Cashbacking users can also get cash back from fashion brands such as Debenhams, UNI QLO and Nike Store.
There is no joining fee before users can start to earn. Users will also be eligible to a £5 free sign-up bonus once they have accrued their first £10 and will be sent their earnings via cheque, PayPal, BACS or online gift voucher each month automatically if they have over £15 in cashback.
Research has shown that 70 per cent of consumers start their online shopping trip with a search engine, a cashback website or a price comparison website, rather than going directly to the retailer’s website. This is prompting brands to widen their promotional strategies to include cashback incentives, helping them tap into a hard-to-reach online community of ad-resistant consumers. In the current economic climate, cashback websites look set to benefit from a rise in the number of consumers hunting for online savings.
Co-owner of Cashbacking.co.uk, Daniel Stewardson said “We expect 2009 to be the best year for cashback websites so far as we tap into those estimated 20 million people in the UK who don’t use cashback websites. You could buy car insurance from your chosen insurer for £300. As a member of Cashbacking, you could buy the same policy from the same insurer at the same price, but get £105 cashback.”
Daniel added: “Cashback shopping is a definite no-brainer, the member gets the same lowest online price, but they also get cashback on the purchase.”
