Shop Smart: How to Get the Best Rewards from Online Shopping

Do you know how much money you lose by not optimising your shopping rewards? With so many loyalty programs, cashback rewards, and points systems available, the potential to save significantly on your everyday purchases is extensive. Yet, many shoppers fail to take full advantage of these opportunities. In this article, let’s explore how you can turn your regular spending into substantial savings.

Most Popular Types of Rewards

1. Discounts

Immediate Savings: Discounts are one of the most straightforward reward options that offer instant savings on purchases.

Promo Codes: Often available through email sign-ups, seasonal sales, or special promotions.

2. Points

Accumulated Over Time: With points systems, you earn points per purchase, which can then be redeemed for discounts, free items, or exclusive offers.

Loyalty Programs: Many retailers offer loyalty programs where you can accumulate points and use them for multiple purchases.

3. Cashback

Percentage Returns: You earn a certain percentage of your purchase amount back as a reward. Depending on the retailer or credit card issuer, this percentage can vary.

Flexible Redemption: Cashback can be redeemed in different ways – credited back to your account, transferred to your bank account, or used for future purchases.

4. Reward Programs

For Repeat Purchases: These programs encourage repeat business by increasing rewards for loyal customers.

Tiered Memberships: There are a variety of benefits that come along with higher tiers, such as larger point multipliers, exclusive discounts, and early access to sales.

What if you discovered a treasure chest of rewards sitting unused in your account? Unfortunately, for many, this is very common. It’s estimated that one-third of credit card points rewards go unredeemed, often because they are not appealing enough or too difficult to claim.

Let’s see what you can do to avoid similar situations and not miss out on claiming rewards.

Tips for Maximising Shopping Rewards

1. Choose Clear and Simple Programs

Select reward programs with straightforward rules and clear benefits. Avoid programs with confusing terms and conditions and lots of fine print that make it difficult to earn and redeem rewards.

2. Member Clubs

Look for membership-based reward programs that offer special prices and rewards for members. These programs often provide better value and more consistent benefits. For example, the exclusive offers only for members on Lamp.

3. Beware of Overpromises

Be cautious of rewards programs that are too good to be true. Cashback offers might advertise high percentages but often come with caps that limit your actual earnings. Even in some loyalty point programs, enticing benefits are nearly impossible to attain. Always read the fine print to ensure you’re getting a fair deal.

4. Ethical Concerns

Consider the ethical implications of the reward programs you participate in. A Federal Reserve research paper found that typical credit card reward programs caused an "annual redistribution of $15 billion from ... poorer to richer ... widening existing disparities" (Federal Reserve, 2023).

5. Use Rewards Sites

Utilise websites that combine all your rewards in one place. This makes it easier to track your points, cashback, and other rewards, ensuring you don’t miss out on any benefits. These sites often provide reminders and alerts about expiring rewards, special promotions, and opportunities to maximise your savings.

Comparison of Popular E-commerce Platforms in Europe

Explore various rewards and discounts offered by some of the well-known e-commerce marketplaces across Europe. You can enhance your shopping experience with exclusive incentives presented by each platform.

Platform	Discounts/ Rewards	Description
Amazon	Prime Discounts, Coupons	Amazon offers exclusive discounts and coupons for Prime members, providing savings on a wide range of products.
eBay	Voucher Codes, Seller Promotions	eBay frequently provides voucher codes and seller promotions, allowing users to save on purchases from various sellers.
Zalando	Zalando Lounge, Loyalty Program	Zalando Lounge offers exclusive discounts on designer brands, while their loyalty program rewards frequent shoppers with discounts and early access to sales.
Temu	Seasonal Discounts, Member-only Deals	Temu offers seasonal discounts and member-only deals, catering specifically to eco-conscious shoppers with a focus on sustainable products.
Asos	Premier Delivery, Sales, Deals	Provides a Premier Delivery subscription and also offers periodic promotional discounts, student discounts, and member-exclusive offers.
Lamp	Significant discounts for members, user-owner model	Lamp is founded as the marketplace for rewards. In addition, the company offers a unique user-owner model where customers can earn a share of future company profits every time they shop, a potentially life-changing opportunity.

Conclusion

Shopping rewards should be more than just a marketing trick. When chosen wisely, they can save you substantial amounts of money.

References

Federal Reserve. (2023). Who Pays for Your Rewards? Redistribution in the Credit Card Market. Retrieved from https://www.federalreserve.gov/econres/feds/who-pays-for-your-rewards-redistribution-in-the-credit-card-market.htm