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S7 E11: An SMS Marketing Masterclass with Postscript Co-Founder Alex Beller

Limited Supply

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Maximizing Cashback Redemption for Higher Margin

Offering cashback on the next order with the option to choose between a gift card for the brand or a digital Visa card can significantly impact margins. Around 50% of consumers do not redeem cashback. Those who choose a gift card often make subsequent purchases at full price, resulting in a higher margin. By requiring both options but incentivizing the store credit, it is possible to encourage more customers to opt for store credit, maximizing profitability.

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