How Does GetUpside Make Money? - FourWeekMBA

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GetUpside is a cashback app allowing consumers to earn rewards by scanning receipts created in 2016 by Jan Rubio, Joanna Kochaniak, Rick McPhee, Thomas Vaughan, and former Google employees Wayne Lin and Alex Kinnier. While similar services such as Groupon and LivingSocial email coupons to users, GetUpside maps discounts based on user location. GetUpside generates revenue primarily through affiliate commissions paid by the brands it partners with. Whenever a consumer purchases a product eligible for cashback rewards, the merchant pays the company a fee.

Business Model Element	Analysis	Implications	Examples
Value Proposition	GetUpside’s value proposition includes: – Cashback on Fuel: Offering users the opportunity to earn cashback on gasoline purchases at participating gas stations. – Cashback on Dining and Groceries: Providing cashback rewards on dining out and grocery shopping at select locations. – User-Friendly App: Offering a mobile app that simplifies the process of earning and redeeming cashback. – Personalized Offers: Tailoring cashback offers based on users’ preferences and location. GetUpside attracts users looking to save money on fuel and everyday purchases through cashback rewards and a convenient app.	Provides a way for users to earn cashback on essential expenses like fuel, dining, and groceries. Enhances the user experience with a user-friendly mobile app. Offers personalized cashback offers to increase relevance and appeal. Appeals to cost-conscious consumers seeking savings on daily expenses.	– Users earning cashback on fuel purchases at gas stations. – Redeeming cashback rewards through the GetUpside app. – Accessing personalized cashback offers for dining and grocery shopping. – Utilizing the app’s features to maximize savings.
Customer Segments	GetUpside primarily serves the following customer segments: 1. Drivers: Individuals who own vehicles and seek savings on fuel expenses. 2. Restaurants and Retailers: Partnering with local businesses to attract customers through cashback offers. 3. Brands: Providing promotional opportunities to brands seeking to engage consumers. GetUpside focuses on connecting drivers, local businesses, and brands to create a mutually beneficial ecosystem.	Targets drivers looking to save on fuel costs. Collaborates with local restaurants and retailers to increase foot traffic. Attracts brands interested in promotional opportunities. Facilitates connections within the retail and automotive industries.	– Drivers using GetUpside to save on fuel expenses. – Local restaurants and retailers partnering to offer cashback incentives. – Brands seeking to engage consumers through cashback promotions.
Distribution Strategy	GetUpside’s distribution strategy includes: – Mobile App: Providing a mobile app available on iOS and Android platforms that users can download to access cashback offers. – Partnerships: Collaborating with gas stations, restaurants, and retailers to offer cashback opportunities. – Referral Program: Encouraging users to refer friends and family to join GetUpside through referral incentives. GetUpside relies on its app, partnerships, and referral program to reach and engage users.	Offers a mobile app as the primary platform for accessing cashback rewards. Establishes partnerships with gas stations, restaurants, and retailers to expand its cashback network. Utilizes a referral program to encourage user growth and engagement. Implements a tech-savvy distribution strategy in the cashback and savings industry.	– Downloading the GetUpside app to access cashback offers. – Earning cashback rewards on fuel purchases at partner gas stations. – Participating in the referral program to invite others to join.
Revenue Streams	GetUpside generates revenue through the following channels: 1. Commissions: Earning a commission from partner gas stations, restaurants, and retailers for driving customers and sales. 2. Data Insights: Providing data and analytics services to brands and retailers based on user behavior and spending patterns. GetUpside primarily relies on commissions and data insights as its revenue streams.	Earns commissions from partner businesses for driving customers and sales. Offers data insights to brands and retailers for marketing strategies. Diversifies revenue sources within the cashback and savings industry.	– Partner gas stations and restaurants paying commissions for customer acquisition. – Brands and retailers utilizing data insights for targeted marketing efforts.
Marketing Strategy	GetUpside’s marketing strategy involves: – Digital Advertising: Engaging in digital advertising campaigns to promote cashback offers and the app. – Social Media Presence: Maintaining a strong presence on social media platforms to connect with users. – Referral Programs: Encouraging users to refer friends and family to join GetUpside through referral incentives. – Personalization: Tailoring cashback offers based on users’ preferences and location. GetUpside combines digital advertising, social media engagement, referral programs, and personalization to effectively market its cashback platform.	Increases brand visibility through digital advertising efforts. Connects with users and provides updates through social media. Utilizes referral programs to encourage user growth and engagement. Enhances the user experience through personalized cashback offers. Implements a comprehensive marketing strategy in the cashback and savings industry.	– Encountering GetUpside’s digital ads promoting cashback offers. – Following GetUpside on social media platforms for updates and promotions. – Participating in referral programs to earn incentives. – Receiving personalized cashback offers based on shopping preferences and location.
Organization Structure	GetUpside’s organizational structure includes: – Executive Leadership: Comprising executives responsible for strategic direction, decision-making, and overall company management. – Technology and Development Teams: Managing app development, data analytics, and user experience. – Partner Relations: Building and maintaining partnerships with gas stations, restaurants, and retailers. – Marketing and User Engagement: Handling marketing campaigns, social media, and user engagement efforts. GetUpside maintains an organized structure aligned with its mission in the cashback and savings industry.	Led by executive leadership for strategic guidance and decision-making. Manages app development, data analytics, and user experience. Builds and maintains partnerships with gas stations, restaurants, and retailers. Focuses on marketing campaigns and user engagement strategies. Maintains an organized structure to support its role in the cashback ecosystem.	– Executive leadership for strategic direction. – Technology and development teams. – Partner relations teams. – Marketing and user engagement teams.

Table of Contents

Origin Story
GetUpside revenue generation
- Merchant support
Key takeaways:
Key Highlights of GetUpside’s Business Model:
Related FinTech Business Models
- Related

Origin Story

GetUpside is a cashback app allowing consumers to earn rewards by scanning receipts.

The app was created in 2016 by Jan Rubio, Joanna Kochaniak, Rick McPhee, Thomas Vaughan, and former Google employees Wayne Lin and Alex Kinnier.

While similar services such as Groupon and LivingSocial email coupons to users, GetUpside maps discounts based on user location. In other words, users open the app and see cash-back deals displayed on a map in much the same way Uber portrays nearby drivers.

The initial test run for GetUpside was confined to gas stations in Washington D.C. but quickly expanded to encompass restaurants and grocery stores.

During this time, the founders also focused on signing partnerships with BP and Kmart to increase supply on the platform.

In 2020, GetUpside signed a deal with competitors GasBuddy and Checkout 51 to have its personalized deal technology offered to more than 25 million monthly users.

The platform itself has also seen significant growth in users as more consumers look to save money in the wake of the COVID-19 pandemic.

GetUpside revenue generation

GetUpside generates revenue primarily through affiliate commissions paid by the brands it partners with. Whenever a consumer purchases a product eligible for cashback rewards, the merchant pays the company a fee.

While the affiliate model is nothing new, GetUpside can differentiate itself by using machine learning technology to personalize deals.

It does this by feeding a vast amount of data on spending history and behavior into algorithms that then produce specific product recommendations.

This increases the odds of repeat purchases, which in turn increases the affiliate commissions the company receives.

Merchant support

A sound relationship with merchants is fundamental to the success of the GetUpside app.

The company itself has the vision to connect people with businesses and in so doing, create vibrant local communities.

This connection must also be profitable for retailers.

Since customer deals are processed by GetUpside and not the retailer itself, the company can show merchants how much extra money they are making through any partnership.

Merchants also get access to anonymous data that help them identify their best and worst-performing stores or locations.

Merchant brands are also offered some degree of exclusivity. If the main street of a town has three gas stations in close proximity,

GetUpside will only display one and incentivize its users to visit it over the remaining two. Brands can also choose to attach more reward points to certain products they want to be promoted.

Ultimately, the GetUpside business model is very simple. But it is underpinned by robust data that benefits both the consumer and retailer greatly.

Key takeaways:

GetUpside is a cash-back app created in 2016. After initial trials in Washington D.C. gas stations, the service was quickly expanded to include restaurants and supermarkets.
GetUpside generates revenue through affiliate commissions. When a consumer makes an eligible purchase from a merchant on the app, the merchant must pay GetUpside a fee.
GetUpside is underpinned by robust consumer spending data helping businesses gain important insights into their stores, locations, and products. Being featured on the GetUpside App is also beneficial for businesses with strong local competition.

Key Highlights of GetUpside’s Business Model:

GetUpside Overview: GetUpside is a cashback app that allows consumers to earn rewards by scanning receipts. It was created in 2016 by Jan Rubio, Joanna Kochaniak, Rick McPhee, Thomas Vaughan, Wayne Lin, and Alex Kinnier.
Differentiating Factor: Unlike traditional coupon services, GetUpside offers location-based discounts through a map interface, showing cash-back deals based on the user’s current location.
Initial Focus: The app initially focused on gas stations in Washington D.C. and later expanded to include restaurants and grocery stores. It aimed to provide savings and discounts to users while partnering with local businesses.
Revenue Generation: GetUpside primarily generates revenue through affiliate commissions paid by the brands and merchants it partners with. Merchants pay a fee to GetUpside when a consumer purchases a product eligible for cashback rewards.
Machine Learning Personalization: GetUpside uses machine learning technology to personalize deals for users. By analyzing user spending history and behavior, the app’s algorithms provide specific product recommendations, increasing the likelihood of repeat purchases.
Merchant Support: Establishing strong relationships with merchants is crucial for GetUpside’s success. The app processes customer deals on behalf of merchants, showing them how much extra revenue they’re generating through the partnership. Merchants gain access to data that helps them identify store performance and optimize their offerings.
Exclusivity and Promotion: GetUpside offers a degree of exclusivity to merchant brands. In areas with multiple competitors, the app might promote only one, incentivizing users to choose that option. Brands can also attach more reward points to specific products they want to highlight.
Beneficial for Businesses: Businesses featured on the GetUpside app benefit from increased visibility, customer engagement, and competitiveness in local markets with strong competition.
Continuous Growth: GetUpside’s growth has been fueled by partnerships and expansions, as well as the increased demand for saving opportunities amid events like the COVID-19 pandemic.
Consumer-Centric Approach: The app aims to provide value to both consumers and merchants by creating a win-win situation, where consumers save money and businesses attract customers.
Data-Driven Insights: The app’s success is underpinned by its ability to leverage consumer spending data to provide insights that benefit both consumers and retailers.
Sustainable Business Model: GetUpside’s simple yet effective business model focuses on creating a platform that brings together consumers and businesses, ensuring profitability for both parties.
Personalized Deals: By offering personalized deals and using technology to understand user preferences, GetUpside increases the chances of customers returning for more purchases.
Merchants’ Financial Benefits: The app’s ability to showcase the additional revenue generated by partnering with GetUpside encourages merchants to continue their engagement, fostering a mutually beneficial relationship.
Strategic Partnerships: GetUpside’s collaboration with other platforms like GasBuddy and Checkout 51 extends its reach and technology to a broader user base.
Continuous Innovation: GetUpside’s utilization of machine learning and data-driven insights showcases its commitment to staying innovative in the cashback and rewards industry.
User-Centric Design: The app’s user-friendly interface, combined with location-based deals, ensures a convenient and appealing experience for consumers.
Local Business Impact: GetUpside’s model contributes to creating vibrant local communities by connecting consumers with businesses and encouraging local spending.

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