1st May, New Jersey: When it comes to end-to-end pricing software, Vistaar has emerged as the torchbearer; leading businesses into the path of success with fail-proof pricing strategies, rebate program management, and configurations. Among its many smart solutions, Vistaar’s rebate management solution powered with advanced machine learning has caught our attention for all the right reasons. The rebate management services are one of the most ground-breaking offerings from the house of Vistaar.

Rebate – A clever sales tool
For the uninitiated, a rebate is a deferred discount that is offered to the buyer by the seller after the purchase is made. It is a conditional discount meaning the selling has to fulfill certain criteria to avail of the promised discount. Thus, rebates have emerged as an extremely intelligent incentivization tool that can be used with surgical precision to target very specific sections of the market.

Rebates – Types
Volume rebates: Tiered pricing is used to encourage the customer to buy more to avail of discounts.
Example –
Buying 100 units of the product will earn you 10% in cashback. 200 units will earn you 20% in cashback and 500 units will earn you 25% cashback.
Growth Rebates: rebates are earned by the consumer when certain set growth thresholds are met.
Example –
Place 10 orders in a month to receive a 10% off on your 11th order.
Retention Rebates: This approach is used to retain customers and to reward customer loyalty in the guise of continued business.
Example –
Receive a 20% cashback on your purchase after buying from us once every month for a year.
Channel rebates: When companies shift to an e-commerce setting or open a new brick-and-mortar store they often offer rebates to promote their new channel and attract buyers.
Example –
Avail of 20% cashback on all our products if you buy from our online store.
Why are companies starting to take the rebate route?
In a customer-centric industry and amidst the cut-throat competition, rebates come as a boon for businesses for the following reasons –

Customer loyalty
Rebates are considered to be the most efficient tool to boost customer satisfaction which leads to customer loyalty. Customer loyalty ensures consistent sales, word-of-the-mouth marketing, and higher profits.

Maintains brand equity
Consumer psychology dictates the customer to believe a product is inferiors when it is on a sale of discount. This is not the same with rebates. They preserve and promote brand equity instead of eroding it as discounts do.

The gap between promised and actual behavior
Rebates are only disbursed to the customer if they fulfill the condition associated with the discount. Failing this, the seller does not have to pay the rebate promised.

Versatile
Rebates are extremely versatile and can be designed to address any business objective. Whether you want to improve sales or invigorate a certain section of a dormant market, you can use rebates equally efficiently.

About Vistaar
Established in 2001, Vistaar is one of the top rebate management companies revolutionizing the way brands design and maintain their pricing strategy. It has been delivering advanced solutions that lead to continuous revenue and margin growth to some of the biggest names in global business.