Pricing changes will always influence your sales, almost without exception. Cashback and Mail In Rebate (MIR) promotions have developed over the years to become supremely cost effective ways of using price as a high impact instant sales driver.

HOW CASHBACK PROMOTIONS WORK

To the unenlightened, cash back promotions and MIR can be seen as just another pricing discount mechanic. But it’s a lot more powerful than that. With Cashback and MIR, the difference is that you get more sales uplift and less sacrificed profit. That’s because this technique highlights the discount, not the reduced price point. So the prospect of securing a specially reduced and time-limited deal against what would otherwise be a full-price item cannot fail to excite your customers.

The Benefits

By lowering the perceived price of the product, we make the purchase more attractive for the customer and help close the sale. MIR and Cashback promotions have been proven to: increase sell out volumes; communicate your price adjustment direct to your end user, not via your reseller; give you the ability to stop your price promotion without leaving a lasting impact on your price position

Managing the Risk

The number of claims received against this type of promotion can vary greatly depending on the attractiveness of the offer and the communication media employed. By using a capped risk promotion from Opia, you can fix the cost of your price change as you would normally... the difference is that with Cashback and Mail in Rebate promotions, it will cost you a fraction of a traditional price discount and will typically result in a far greater uplift.

For more information about our cashback promotions get in touch today

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