How Does Getupside Make Their Money

A few years later on its founding in 2016, GetUpside has grown to become one of the leading platforms in the cashback segment in the U.s.. Users have earned $100 meg in cashback until writing this piece, and merchant partners take made more than $200 million in incremental profit using GetUpside.

The cashback segment was an already crowded space, so GetUpside is a business concern worth studying. In this blog, we go through GetUpside'due south founding and growth story, understand how GetUpside makes money, and discuss its future expansions plans. But before nosotros practise that, let me briefly walk you through how GetUpsdie works.

How GetUpside Works

To understand how GetUpside works, we need to await at information technology from the lens of the two parties information technology intends to serve — shoppers & merchants.

From a shopper's perspective, the manner GetUpside works is quite simple. Shoppers download the GetUpside app, available on both Android and iOS. Once they've downloaded the app, shoppers can pick an offer to claim at the 30,000+ businesses partners, including gas stations, grocery stores & restaurants.

While shoppers have to pay every bit usual at these stores, they can upload the bill receipts on the GetUpside app. Shoppers get cashback awards after the app's image recognition technology verifies the bill receipt. And it is non that shoppers tin can but utilize this cashback during another purchase. Shoppers get to cash out whenever they want via PayPal, e-gift bill of fare, or direct into their banking concern account.

So, substantially using GetUpside is a no-brainer if you are a shopper because information technology saves you actress coin on a purchase you lot would have anyway fabricated otherwise.

The merchant side is where the GetUpside model gets peculiarly interesting, only we'll look into that aspect of the business organization deeply in the 'How GetUpside Makes Coin' section beneath.

GetUpside Founding & Growth Story

Unlike most startups, where founders have to lure investors non simply with a chiliad vision but too sizeable initial traction, GetUpside was able to heighten its Series A round two months before the startup began in January 2016. One major reason the founders were able to pull off this remarkable feat was that all of them were tech industry veterans.

Earlier starting GetUpside, the six founders — Alex Kinnier (CEO), Jan Rubio, Joanna Kochaniak, Rick McPhee, Thomas Vaughan, and Wayne Lin — worked together at a SaaS company named Opower. Later on Oracle acquired Opower for $532 meg in 2016, all six decided to offset working together on GetUpside.

When GetUpside first launched in 2016, the platform merely facilitated cashback at Gas stations. GetUpside onboarded restaurants on the cashback platform in August 2017, and the first grocery stores joined in June 2018. In these two years, GetUpside also welcomed brands like BP, Kmart, and others on its platform. GetUpside's growth in the first 2 years of operations helped raise a serial B circular in October 2018.

In March 2020, GetUpside signed strategically of import deals with competitors similar Gasbuddy & Checkout51, allowing GetUpside to promote its personalized offers on their properties as well. 2020 proved beneficial for GetUpside on other fronts as well because financial constraints induced due to the coronavirus pandemic led to more users seeking cashback offers. Past September 2020, GetUpside raised its Serial C circular of funding worth $35 1000000.

In Nov 2021, GetUpside announced a partnership with Uber, under which the Uber app would use GetUpside'due south API to show their driver'due south cashback offers bachelor at GetUpside partnered gas stations. Uber drivers can save coin on gas past using these recommendations to avail cashback. Too Uber, GetUpside has also entered into similar partnerships with commitment companies similar Instacart and Doordash.

How GetUpside Makes Money

GetUpside makes coin from the turn a profit-sharing agreements it has with merchants. In exchange for getting more new cashback-driven customers, and in turn more business to the merchants, GetUpside takes a cut from merchant profit. Because GetUpside only receives a cutting on incremental customers & transactions, the model incentivizes the company to be invested in the merchants' success.

If we were to look at information technology purely financially, GetUpside drives more customers to merchants because it operates on a turn a profit-sharing model with them. Merely from the standpoint of GetUpside's purpose for existence, GetUpside is really in the business of empowering traditional brick & mortar shops by empowering them with a layer of digital personalization.

Now, the argument as mentioned earlier sounds similar corporate jargon, merely therein lies the reason why GetUpside was founded in the kickoff place & the way the platform works.

Let me explain how. Alex Kinnier, CEO of GetUpside, realized the power of personalization in the early 2000s when he was working in the Google ads team. The subsequent apply of personalization across the digital world, especially in the world of e-commerce would mean that brick & mortar shops were against competitors equipped with better technology than them to convert customers.

To solve this trouble and empower the local community shops, GetUpside uses the power of personalization to showcase relevant cashback offers to customers, in a mode empowering the brick and mortar guys with the kind of personalization a tech giant would apply to drive increased sales.

So how does GetUpside's layer of personalization work? When GetUpside partners with merchants, the company uses the data that these merchants already have — their anonymized credit & debit transaction information — to understand the ownership habits of consumers transacting at merchant sites. Using Machine learning, GetUpside and so develops personalized cashback promotions to drive incremental sales for merchants. In add-on to nudging existing customers who take already visited the merchant's site. The critical thing to make a note of is that GetUpside gets merchants boosted sales they would have missed out on otherwise due to lack of technological expertise.

The revenue GetUpside makes from the profit-sharing agreements with merchants is then used to onboard more than merchants and larn more than app users through marketing, which can then again exist driven to merchant sites and incentivized to purchase more. Users go sweet deals. Merchants become more sales. GetUpside makes revenue. And the bike continues in a loop.

GetUpside Future Plans

GetUpside has a successful model. The adjacent obvious steps would be expanding its presence across the United States and eyeing internal expansion by either organic or inorganic methods like acquisitions. In an interview with Say-so Magazine, GetUpside CEO Alex Kinnier mentioned the company's super ambitious goal of helping merchants drive $25 billion in additional profitability, a massive jump from the $200 million in incremental profits GetUpside has driven until now. Likewise helping merchants, GetUpside has pledged one% of its revenue towards climate sustainability initiatives.

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Summary

Article Name

GetUpside Business Model: How GetUpside Makes Money

Description

GetUpside makes coin from the profit-sharing agreements it has with merchants. In exchange for getting more new cashback-driven customers, and in plow more business to the merchants, GetUpside takes a cutting from merchant turn a profit. Because GetUpside just receives a cut on incremental customers & transactions, the model incentivizes the company to exist invested in the merchants' success.

Author

Muaaz Qadri

Publisher Name

WhatIsTheBusinessModelOf

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Hey 👋

I'm a digital marketer working 5 days a week as a salaried employee & writing business blogs on weekends.

My goal is to turn this blog into a total-time gig. Only for that to happen, I need information technology to generate as much acquirement as my bacon to protect the downside.

To be transparent, I currently make coin with ads, simply it isn't enough to transition to working full-fourth dimension.

Why practice I want to work total-time on the blog if I can deport on writing on the weekends?
Ii reasons:

• My weblog gets more than 20000 monthly visitors, most of them through search. The but bottleneck to growth is the amount of time I'thou able to dedicate to the project, so working total-time will aid me scale and plough information technology into my primary income source.
• Working on projects of my own opens the door to unlimited personal and financial growth.

If you lot've institute value from reading my content, feel free to support my dream in even the smallest way yous tin can.

Source: https://whatisthebusinessmodelof.com/business-models/how-getupside-makes-money/

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