How does cashback work?

Question

Fintech

How do all sorts of cahback services work, which, for example, return interest when shopping in different restaurants or stores, what is the benefit to them and where do they get this discount from? And what is the advantage of coffee, for example, to give someone a discount?

Answer 1

On the example of online stores. There are affiliate aggregators that pay for the customer brought or for the purchases made by him, some percentage. Let's say 10% of the sale. The same goes for promotions and coupons. For every purchase through your link (referral) or your coupon, you get interest.
Further. You are creating a site like a coupon / groupon or an analogue of Yandex.Market. By redirecting your visitors to advertisers' websites through a partner aggregator. They make purchases there, you get some percentage for it. Of this percentage, you give back some of the money to your visitor. This is cashback. Offline, it is exactly the same, for purchases with your bank card or discount card, you get a percentage of the sale. With this money, you return a part to the client who made this purchase.

Answer 2

married?

Answer 3

After the buyer places an order and pays for it, the seller transfers the agency fee to the cashback service, and the latter shares part of it with the buyer. All parties are satisfied: the seller sold the goods, the intermediary earned his penny, the buyer received not only the goods, but also some (and in the case of expensive purchases, tangible) compensation for its price.
Source about cashback

Answer 4

Cashback is a return of the percentage of funds spent that the store returns to us after paying for the goods. We conclude an agreement with stores that are willing to pay us for attracting customers, and we share part of these funds with you)