rebate là gì

In marketing, a rebate is a size of buying discount and is an amount paid by way of reduction, return, or refund that is paid retrospectively. It is a type of sales promotion that marketers use primarily as incentives or supplements đồ sộ product sales. Rebates are also used as a means of enticing price-sensitive consumers into purchasing a product. The mail-in rebate (MIR) is the most common. A MIR entitles the buyer đồ sộ mail in a coupon, receipt, and barcode in order đồ sộ receive a kiểm tra for a particular amount, depending on the particular product, time, and often place of purchase. Rebates are offered by either the retailer or the product manufacturer. Large stores often work in conjunction with manufacturers, usually requiring two or sometimes three separate rebates for each item, and sometimes are valid only at a single store. Rebate forms and special receipts are sometimes printed by the cash register at time of purchase on a separate receipt or available online for tải về. In some cases, the rebate may be available immediately, in which case it is referred đồ sộ as an instant rebate. Some rebate programs offer several payout options đồ sộ consumers, including a paper kiểm tra, a prepaid thẻ that can be spent immediately without a trip đồ sộ the ngân hàng, or even as a PayPal payout.

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Rebates are heavily used for advertising sales in retail stores, and can be especially appealing đồ sộ price-sensitive consumers by increasing their willingness đồ sộ pay. For example, an item might be advertised as "$39 after rebate" with the item costing $79 out-the-door with a $40 rebate that the customer would need đồ sộ redeem.

Sometimes discounts are given at the point of sale rather than vãn the manufacturer providing rebates, eliminating the need for coupons or mail-in rebates. However, rebates are sometimes given in the size of "cashback offers" for mobile phone contracts or other high value retail items sold alongside a credit agreement.

Rebates can also be used by retailers đồ sộ gain market share, by persuading more consumers đồ sộ purchase their products and services over those of a rival company. This increases one firm's profits whilst decreasing others' profits.[1]

Rebate clearinghouses[edit]

Although rebates are offered by manufacturers, most rebates are handled under contract by rebate clearinghouses that specialize in processing rebates and contest applications.

Types of rebates[edit]

Instant rebate[edit]

An instant rebate, or sometimes instant savings, is a marketing strategy or gimmick in which a product is either advertised at a specific price, or at a discounted price, where the discount is applied at the time of purchase. For example, the store may advertise a widget for $9.99, but with a $5 instant rebate, the price is $4.99. Or the product may be advertised as $4.99 with a $5 instant rebate.[2]

Instant rebates are processed at the time of sale, and so sánh the rebate is provided immediately upon purchase.

We can see instant rebate as a discount on a product. In accounting strategy the actual invoice will be less by the amount of the instant rebate that is given đồ sộ the customer. Then:


Mail-in rebate[edit]

Mail-in rebates are the most common size of rebate and differ from instant rebates in that they require action from the consumer for the rebate đồ sộ be made. Consumers will need đồ sộ provide any information that is required for the rebate, which often includes their phone number, name, postal address and a receipt (or proof of purchase). Mail-in rebates have a deadline for when the rebate must be sent or received by. Often this deadline is 30 days after the purchase, and generally, a rebate is received within 12 weeks.[3]

A kiểm tra will then be mailed back by either the manufacturer of the product, or the company responsible for processing the manufacturer's rebates.

Regulations and laws[edit]

Rebates offered must be in accordance with the laws and regulations of the area they are offered in. The Federal Trade Commission (FTC) operates within the United States, and acts đồ sộ protect consumers. One law that the FTC has mix is đồ sộ ensure that companies provide the rebate in the time they specified. The FTC also specifies all relevant conditions that a consumer should know are clearly specified – including fees and deadlines. Furthermore, regulations pertaining đồ sộ specific forms of advertising are in place. For example, television advertisement cannot include text that is deliberately hard đồ sộ read, either through disappearing before it can be read or being too small đồ sộ read.[4]

In the United States, Connecticut state regulations section 42-110b-19(e) require retailers who advertise the net price of an item after rebate đồ sộ pay consumers the amount of that rebate at time of purchase.[5] Rhode Island has similar legislation (Gen. Laws 6-13.1-1).[6] Otherwise, the after-rebate price cannot be advertised as the final price đồ sộ be paid by the consumer. For example, retailers in Connecticut can advertise only "$40 with a $40 rebate," not "Free After Rebate," unless they give the rebate at the time of purchase.[7][8]


Rebates have become very popular in retail sales within the United States. Retailers and manufacturers have many reasons đồ sộ offer them:

  • The information given in the rebate size, such as name, address, method of payment, can be used for data mining studies of consumer behavior.[9]
  • The information can be used as evidence of a pre-existing business relationship for marketing purposes, such as vì thế not Hotline lists.
  • Customers tend đồ sộ notice price increases and react negatively. Rebates offer retailers the benefit of giving customers a temporary discount on an item, đồ sộ stimulate sales, while allowing it đồ sộ maintain its current price point. This method avoids the negative backlash that could be perceived with a price being lowered and then raised later.[10]
  • Rebates also allow companies đồ sộ "price protect" certain product lines by being selective in which models or brands đồ sộ be discounted. This allows retailers and manufacturers đồ sộ move some product at lower cost while maintaining prices of successful models. A straight price reduction on some models would have a domino effect on all products in a line.[11]
  • During the turnaround time, the company can earn interest on the money.
  • If the turnaround time crosses into the next fiscal year or quarter, a rebate offer can inflate sales in the current period, and not have đồ sộ be accounted for until the next period and then it could be attributed as a cost reducing sales or expense for the next period, giving companies an accounting advantage with their Wall Street projections.[citation needed]
  • Can be profitable for businesses who offer rebates as customers may void their chance of receiving a rebate. Companies often require the original UPC barcode, receipt, and additional information, which a buyer may forget đồ sộ include when redeeming the rebate. Companies almost always add other caveats đồ sộ the rebate as well, such as the redemption having đồ sộ be postmarked by a certain date. Rebate mail may also look lượt thích junk mail (either deliberately or by coincidence), and so sánh the customer may overlook it.[12] It works in the company's favor if buyers vì thế not act quickly đồ sộ redeem. However, a University of Florida study notes that shorter redemption periods actually increase the redemption rate in the consumer's favor because it gives them less time for procrastination đồ sộ mix in.[13]
  • New companies that want đồ sộ make a break into a market can offer substantial rebate savings on their new product as a means of capturing a customer's attention. Zeus Kerravala, vice president at the Yankee Group, has said, "For companies that haven't been in a particular market, the rebate that essentially refunds the customer's money is a great way đồ sộ get people đồ sộ pay attention đồ sộ them. This is especially true in consumer electronics, where brand name does matter. It's a good way đồ sộ get customers đồ sộ take a chance on a new brand."[14]
  • Consumers that are more price-sensitive will be more enticed đồ sộ purchase products with rebates.
  • Increased sales through offering rebate programs can increase brand loyalty between manufacturers and retailers.
  • Retailers and manufacturers can use rebates as a way of gaining market share over rival companies, by increasing the amount of customers due đồ sộ lower perceived prices.
  • Rebates can offer price protection against pricing controls, retaining full list prices at the maximum allowed price ceiling or minimum allowed price floor while using rebates đồ sộ comply with controls exerted by government or distribution channels.[15]

Benefits and costs for consumers[edit]

Rebates may offer customers lower pricing. Deal hunter sites frequently tout the benefits of rebates in making technology affordable: "Rebates are the meat and potatoes of the ultimate tech khuyễn mãi giảm giá, no matter what you are buying… They are paying you money đồ sộ buy their stuff. All you have đồ sộ vì thế is take it."[16]

According đồ sộ 2011 research, 47% of consumers submitted a rebate in the past 12 months, whereas similar research conducted in 2009 showed that only 37 percent of consumers had submitted a rebate in the prior year.[17]

Industry advisers claim that if mail-in rebates go away, they will not be replaced by "instant rebates" of the same value amount because of the loss of the tangible benefits listed above (fiscal accounting, price protection, etc.) Steve Baker, vice president of industry analysis for NPD Group, comments that "It's a case of be careful of what you ask for. You may see some great đơn hàng go away."[18]

Rebates take a certain amount of time and effort from the consumer – figuring out the rules, filling out the forms, preparing and dropping off the mailing, cashing in the kiểm tra, all whilst keeping track of the paperwork in the process. Thus, a rebate can be thought of as being paid đồ sộ vì thế this paperwork and provide one's personal data đồ sộ the company. Chances of rebate mailing being lost or failing some criteria may further reduce the expected return on this effort.

Consumers who are aware of this, and who value their time (time-sensitive consumers), effort, and opportunity costs above the value of the rebate may choose đồ sộ intentionally ignore a non-instant rebate that requires such procedures and assume the out-the-door price when considering the purchase.

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On the other hand, if the consumer does not see it this way, if the consumer's income and budget are extremely limited or non-existent, or if the consumer is more concerned with the price than vãn his or her time for any reason, the rebate may be seen as a good khuyễn mãi giảm giá. Price-sensitive consumers have a higher willingness đồ sộ pay when there are perceived discounts.

Another potential disadvantage đồ sộ receiving a rebate is that the rebate does not refund any of the sales tax charged at the time of purchase. Thus the consumer will pay more in tax than vãn if the price had simply been lowered at the time of purchase.

Redemption rate inconsistencies[edit]

It is difficult đồ sộ get an trương mục of redemption rates from most rebate companies, partly due đồ sộ a reluctance on the part of rebate fulfillment houses đồ sộ release confidential business information. Among different sources, radically different numbers on both ends of the spectrum can be cited. Part of the reason is that most "redemption rates" vì thế not distinguish whether they are calculated as part of total sales or incremental sales.

  • PMA, a marketing firm, estimated that in 2005, $486.5 million worth of rebates were redeemed. The redemption rates averaged 21.1% when calculated as a percentage of total sales, and 67.6% when calculated as a percentage of incremental sales. PMA notes, "These statistics reveal that redemption rates calculated as a percentage of total sales can be misleading when diluted by non-incremental sales, consequently making redemption rates appear lower than vãn they truly are."[19]
  • Not all buyers remember đồ sộ mail the coupons, a phenomenon known in the industry as breakage, or the shoebox effect. Though it can be used interchangeably with breakage,[20] slippage is the phenomenon when a consumer has his or her rebate fulfilled, but he or she loses or forgets đồ sộ cash the kiểm tra. Some rebate companies could tout a higher "redemption rate" including the breakage, while not calculating the potential slippage of uncashed checks.

Some redemption estimates[edit]

  • In November 2005, BusinessWeek estimated a return rate of 60 percent. Some estimates have been as low as 2%. For example, nearly half of the 100,000 new TiVo subscribers in 2005 did not redeem their $100 rebates, allowing the company đồ sộ keep $5,000,000 in additional profit.[21]
  • PC Data in the Reston, VA estimates between "10 and 30 percent".[22]
  • PlusNetMarketing in Wilmington, DE quotes 80%.[23]
  • A representative in 2005 from The Marco Corporation stated, "In some cases, we vì thế have redemption programs that go as high as forty đồ sộ fifty per cent, but generally it's about one đồ sộ five per cent". In the same article, John Challinor, advertising manager for Sony Canada remarks, "The industry average is less than vãn ten percent.... and it can be as low as one percent."[20]
  • NPD Group, a marketing firm, estimates 50% đồ sộ 70%.[18]

General complaints[edit]

Typical UPC barcode required for rebate submission

At some big box stores, personal computers are regularly sold with sizeable rebates attached, making the advertised price more attractive đồ sộ buyers. Hardware manufacturers have come under fire, also. Dell, for one, has been the subject of rebate complaints for the confusing nature of their rebate programs, and as such changed its marketing đồ sộ reduce the number of rebates offered.[24]

Rebate issues began đồ sộ clog Dell's customer service forums, leading the company đồ sộ shut down that portion of the trang web.[25] CompUSA used rebates regularly until it started closing its remaining stores in December 2007.

Intel, a leading microprocessor manufacturer, received a $1.71 billion fine for offering illegal rebates đồ sộ manufacturers of computers that bought Intel's processors over those from rival companies.[26]

Cell phone service companies, including major players lượt thích T-Mobile, as well as third-party retailers lượt thích Radio Shack, Wirefly and others have received growing attention due đồ sộ complex rebate redemption rules. Both carriers and retailers make customers submit rebate claims during a 30-day window, often 6 months after cell phone activation.[27] Some authorized dealers have responded by trying đồ sộ make rebate requirements more transparent, explaining that the carrier will withdraw payment from them if a customer quits service before the over of the contract.

In 2009, Florida State Attorney General Bill McCollum filed suit against TigerDirect, OnRebate, and TigerDirect's parent company Systemax, charging the companies with failing đồ sộ provide rebates đồ sộ customers.

Rebates as a size of price discrimination[edit]

A common complaint against rebates is the claim that rebates can be used as a size of "price discrimination" against members of lower classes who are less likely đồ sộ redeem rebates than vãn a more educated middle class.[10] Sridhar Moorthy, marketing professor at the University of Toronto also advocates a "price discrimination" theory between "people who are price-sensitive and people who are not price-sensitive".[20] A different view, as taken by the BusinessWeek article, is that rebates can be viewed as a "tax on the disorganized" that is paid by those who vì thế not submit their rebates as opposed đồ sộ those who vì thế. As mentioned above, rebates are also less enticing the more the consumer values the opportunity costs (time and effort) involved in rebate submission.

Furthermore, rebates have been described as a means đồ sộ increase the regular selling price of a product, as they can increase a consumer's willingness đồ sộ pay at the time of sale, due đồ sộ the perceived savings.[28]

Negative implications[edit]

Rebates have also been seen đồ sộ have negative effects on the sales of products and services, having the potential đồ sộ decrease a consumer's perceived quality of a product. From a study in 2009, collected data indicated that there was no increase in a consumer's willingness đồ sộ pay for a product or service when there was a rebate available. However, the data found that consumer's perception of the quality of the product or service decreased when a rebate was on offer.[29]

Recent trends[edit]

Some retailers have taken a step forward with offering consumers new ways đồ sộ submit their rebates easily over the Internet, completely or partially removing any mail-in requirements. Staples, Sears, TigerDirect, and Rite Aid currently offer an online submission option for all or some of the rebates they offer. These special rebates are usually identified as such and have instructions for full or partial online submissions. This is touted as a more accurate processing of the rebate, reducing the potential for human or mechanical error and, in many cases, eliminating the postage costs associated with traditional mail-in rebates, although some require the UPC or proof of purchase đồ sộ be mailed in. Most of these retailers still let consumers submit rebates by mail.

In 2006, OfficeMax stores announced that they were eliminating mail-in rebates from their sales promotion in favor of instant rebates for their sale prices. The decision came after a year of working with rebate vendors and manufacturers đồ sộ improve the rebate process and receiving "overwhelmingly negative feedback" from their customers about their rebate program.[30]

Instead of checks, prepaid gift cards are being given by many stores. Merchants lượt thích these cards, as they cannot be redeemed for cash and must be spent. However, some states require that retailers redeem the thẻ value for cash if it falls below a certain level, such as $5 in Washington state.[31] Many sales people are not aware of this and will deny giving the refund. Consumers must be careful of expiration dates and read the fine print.[32]

The typical American household that takes advantage of consumer rebates saves an average of $150 annually. More than vãn $8 billion was issued back đồ sộ American households in 2011 alone by rebate programs.[33]

Cashback websites are third-party websites that allow consumers đồ sộ purchase items from various e-shops through affiliate links. These cashback websites receive a commission from the e-shop and share a proportion of their commission with the consumer as a rebate. Cashback websites are gaining popularity as consumers can save money through using such websites. For example, in 2013, a cashback trang web paid around $41.6 million in rebates.[34]

As per today, Menards, Inc. is the company with the most given rebates đồ sộ its costumers. It is proven by the fact that Menards Rebate is the most searched terms in Google. Menards is consistently giving away a lot of rebates đơn hàng including their monthly rebate program named Menards 11% Rebate.

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  1. ^ Demirag, Ozgun Caliskan; Keskinocak, Pınar; Swann, Julie (November 2011). "Customer rebates and retailer incentives in the presence of competition and price discrimination". European Journal of Operational Research. 215 (1): 268–280. doi:10.1016/j.ejor.2011.04.006. Retrieved 1 November 2020.
  2. ^ "Instant Rebates, Deal or Scam?". January 13, 2013. Retrieved May 13, 2013.
  3. ^ "Rebates". Federal Trade Commission Consumer Information. 1 January 2000. Retrieved 31 October 2020.
  4. ^ "Big Print. Little Print. What's the Deal?". Federal Trade Commission. 6 June 2000. Retrieved 31 October 2020.
  5. ^ "Connecticut Unfair Trade Practices Act Regulations" (PDF). Archived from the original (PDF) on 2016-03-04. Retrieved 2014-11-03.
  6. ^ "Chapter 6-13.1 - Index of Sections". Retrieved 2012-08-01.
  7. ^ Carmine Granucci. "Connecticut Rebate Advertising Law". Retrieved 2012-08-01.
  8. ^ Daniel Duffy, Principal Analyst (2003-07-14). "Mail-in Consumer Rebates". Retrieved 2012-08-01.
  9. ^ US 6847935
  10. ^ a b R. Avila and T. Avila Rebates: An ethical issue? Archived 2013-11-05 at the Wayback Machine Ball State University
  11. ^ "Printable version: The How And Why Of Rebates". Archived from the original on May 24, 2011. Retrieved 2014-11-29.
  12. ^ Pechmann, Cornelia; Silk, Tim (September 2013). "Policy and Research Related đồ sộ Consumer Rebates: A Comprehensive Review". Journal of Public Policy & Marketing. 32 (2): 255–270. doi:10.1509/jppm.08.155. S2CID 154247484. Retrieved 1 November 2020.
  13. ^ "University of Florida News – Redemption Of Mail-In Rebates Declines With Increased Time Allowance". 2004-06-15. Archived from the original on 2012-12-15. Retrieved 2012-08-01.
  14. ^ "E-Commerce News: Special Reports: The Fine Print of IT Rebates". Retrieved 2012-08-01.
  15. ^ "Understanding the Medicaid Prescription Drug Rebate Program". 12 November 2019.
  16. ^ "Archived copy". Archived from the original on 11 June 2007. Retrieved 17 January 2022.{{cite web}}: CS1 maint: archived copy as title (link)
  17. ^ "Parago Announces Surging Rebate Activity in 2010". Archived from the original on 2013-09-07. Retrieved 2012-08-01.
  18. ^ a b Melinda Fulmer Don't get ripped off by a rebate 'deal' Archived 2011-07-14 at the Wayback Machine MSN Money
  19. ^ Promotion Marketing Association, Inc PMA Mail-in Rebate Benchmarking Study, 2005 Archived 2006-09-23 at the Wayback Machine May 1st, 2005
  20. ^ a b c CBC News Marketing rebates: The science of 'slippage' Jan. 2nd, 2005
  21. ^ Brian Grow The Great Rebate Runaround Business Week Online Nov. 23rd 2005
  22. ^ Henry Norr The How And Why Of Rebates Dec. 18th, 2005
  23. ^ James E. Gaskin Beating the rebate runaround, Part 4 Network World March 1st, 2004
  24. ^ "Dell đồ sộ simplify pricing structure". NBC News. NBC News. 13 July 2006. Retrieved 31 October 2020.
  25. ^ Carla Thorton Dell Closes Longtime Customer Message Boards PC World July 14th, 2005
  26. ^ Kanter, James (12 June 2014). "Intel's $1.5bn fine upheld in European antitrust ruling". Australian Financial Review. Retrieved 31 October 2020.
  27. ^ Bob Sullivan CONSUMERS IRKED BY CELL PHONE REBATES ON HOLD Archived 2007-12-09 at the Wayback Machine MSNBC
  28. ^ Chen, Yuxin; Moorthy, Sridhar; Zhang, Z. John (July 2005). "Research Note—Price Discrimination After the Purchase: Rebates as State-Dependent Discounts". Management Science. 51 (7): 1131–1140. doi:10.1287/mnsc.1050.0391. Retrieved 1 November 2020.
  29. ^ Li, Xiaogu; Clark, Christopher D.; Jensen, Kimberly L.; Yen, Steven T. (January 2016). "The Effect of Mail-in Utility Rebates on Willingness-to-Pay for ENERGY STAR $$^{\textregistered }$$ ® Certified Refrigerators". Environmental and Resource Economics. 63 (1): 1–23. doi:10.1007/s10640-014-9833-5. S2CID 153562326.
  30. ^ E. Ogg OfficeMax bids farewell đồ sộ mail-in rebates June 30, 2006
  31. ^ Holiday Shopping: Consumers Have Rights Under Washington's Gift Card Law [1] Archived 2011-07-25 at the Wayback Machine July 15, 2011
  32. ^ E. Sandberg Prepaid cards replace checks as rebate payment of choice Archived 2010-04-26 at the Wayback Machine Dec 26, 2009
  33. ^ Rebate programs return more than vãn $8 billion đồ sộ US households Archived 2013-09-07 at the Wayback Machine June 2, 2011
  34. ^ Zhou, Yong-Wu; Cao, Bin; Tang, Qinshen; Zhou, Wenhui (1 October 2017). "Pricing and rebate strategies for an e-shop with a cashback website". European Journal of Operational Research. 262 (1): 108–122. doi:10.1016/j.ejor.2017.03.037. S2CID 207660129.

External links[edit]

  • The dictionary definition of rebate at Wiktionary
  • Chisholm, Hugh, ed. (1911). "Rebate" . Encyclopædia Britannica. Vol. 22 (11th ed.). Cambridge University Press. p. 949.