From its recent report, North Lane Technologies revealed that by removing unnecessary points, businesses could improve brand perception and increase customer loyalty with virtual rebates.
The payments technology leader surveyed 2,000 respondents to know what do consumers think about digital payment solutions, particularly virtual rebates. They are digital open-loop cards that consumers received via email, SMS, or in-app and can be used online, via mobile, or a mobile wallet.
The report called Consumer Incentives Report highlighted that about 91 percent of customers are happy to receive virtual rebates. Also, respondents who are between the ages of 18-44 said long waiting times and complicated processes to redeem rebates as their most frustrating experiences.
It also highlighted how virtual rebates could be attractive to consumers and, at the same time, increased brand loyalty.
The company found 89 percent of respondents are likely or somewhat likely to spend the rebate that they received on the brand that issued it. In addition, 60 percent of them have changed from their favorite brands or providers because the new ones offer a better rebate. Not only that, it is interesting to see that consumers see it as cash equivalents where they would spend it on necessary products and bills. Also, about 84 percent of respondents said their opinion of a brand changes when they have the option to receive a virtual rebate.
Seth Brennan, CEO of North Lane, said the way consumers shop and use rebates would continue to move towards digital as the world changes. They are aware that brands are prioritizing to provide their customers with simple and engaging digital experiences.
“Virtual rebates are highly effective at providing an enhanced customer experience and incentive, driving purchases, increased engagement, and ultimately brand loyalty,” Brennan concluded.