Cashback management apps have become a hot trend as some market leaders like CashKaro and Upside emerged as billion-dollar businesses. Nowadays, almost every company that accepts online payments offers their customers some cashback on their purchase. This is due to certain reasons like winning customers’ trust and loyalty, retaining customers, and increasing revenue.
No matter what the reason is, developing a cashback management app is a profitable business idea, both for customers and businesses.
As per a study from Business Standard Insights, the global cashback market was valued at USD 3.83 billion in the year 2024 and is anticipated to be valued at USD 6.57 billion by the year 3032. This market is expected to grow at 6.98% CAGR during the forecast period.
In this blog, we’ll discuss cashback management app development, including main features, monetization strategies, the technology stack required, and the cost of development. Let’s get started!
What is a Cashback Management App?
As the name suggests, a cashback management app is a mobile application that gives some royalty cashback to its users on each purchase. The cashback can be offered in the form of a fixed amount or a certain percentage of the total spending.
Generally, these cashback apps work with other online businesses and brands, as well as payment service providers. The amount is credited to the buyers’ account after a certain period of completing the purchase.
What are the Benefits of Cashback Apps?
As we can guess, the cashback apps are beneficial for both the customers and businesses alike. While customers get some amount refunded for every purchase, the final product becomes a little inexpensive. On the other hand, businesses benefit in terms of customer loyalty, customer retention, and upselling. Most businesses have minimum spending criteria to offer cashback. So, the customers tend to spend a little more to get the cashback. This increases the spending amount, eventually increasing the sales and revenue of the businesses.
Popular Cashback Apps in the Market
Today, we have many cash-back management apps in the market. Depending upon their market size and popularity among users, here are the top 5 of them:
1. CashKaro
CashKaro is India’s most popular cashback management app that offers you cashback on each shopping. Along with cashback, the app also offers discounts and loyalty coupons to customers. You get cashback for each purchase on Amazon, Flipkart, Myntra, Ajio, Nyka, Boat, MamaEarth, Shyaway, Tatacliq, Booking.com, and many more e-commerce portals. CashKaro covers all the industries and segments in the commerce marketplace.
Android: https://play.google.com/store/apps/details?id=com.cashkaro&hl=en_IN&pli=1
iOS: https://apps.apple.com/in/app/cashkaro-cashback-coupons/id1463033851
Website: https://cashkaro.com/
2. Magicpin
Magicpin is yet another cashback management app that offers cashback and discounts in more than 250,000 online and retail stores across the globe. You get handsome cashback on shopping for fashion, lifestyle, movie tickets, travel tickets, hotels, dining, etc., and on brands like PVR, Lifestyle, Shoppers Stop, Spykar, McDonald’s, Faasos, Behrouz Biryani, WOW! Momo, and many more.
Android: https://play.google.com/store/apps/details?id=com.magicpin.local&hl=en_IN
iOS: https://apps.apple.com/in/app/magicpin-food-fashion-delivery/id1171775851
Website: https://magicpin.in/
3. Dineout
Dineout offers great discounts and cashback on dining in thousands of restaurants across the country. The app is available on Google Play, Apple App Store, and the website. By using Dineout, customers get up to 50% off on dining, as well as attractive discount coupons and rewards. Also, customers get complimentary dishes and drinks if they order through Dineout. The app is continuously growing, adding hundreds of new restaurants every month. Along with that, customers may order through other apps like Swiggy, Zomato, and UberEats, and still get cashback and discounts if they choose to pay through Dineout.
Android: https://play.google.com/store/apps/details?id=com.dineout.book&hl=en_IN
iOS: https://apps.apple.com/in/app/dineout-restaurant-offers/id779442711
Website: https://www.dineout.co.in/
4. Rakuten
Rakuten is the global market leader in cashback management apps. By using this app, customers get discounts and cashback on millions of products from thousands of online and offline stores. The app works in a very simple way – you join for free, shop through the app, earn cashback, and get paid in your account. With more than 21 million customers worldwide, it is the largest cashback management app in the world.
Android: https://play.google.com/store/apps/details?id=com.ebates&hl=en_IN
iOS: https://apps.apple.com/us/app/rakuten-cash-back-deals/id723134859
Website: https://www.rakuten.com/
5. NearBuy
NearBuy is one of the most popular cashback management apps in India. The application has a strong customer base of more than 5 million. It gives discount coupons, offers, and cashback on thousands of restaurants, spas, salons, amusement parks, movie halls, and much more. Customers also get gift cards on their purchases, which they may use to avail extra discounts.
Android: https://play.google.com/store/apps/details?id=com.nearbuy.nearbuymobile&hl=en_IN
iOS: https://apps.apple.com/in/app/nearbuy-the-lifestyle-app/id1030758742
Website: https://www.nearbuy.com/
Key Features to Consider for Cashback Management App Development
While developing a cashback management app, one must consider several key features to make sure the app serves its purpose and attracts customers. The application can be divided into three main segments, or panels, i.e., the User Panel, the Merchant Panel, and the Admin Panel. Let’s discuss the features of each panel in detail:
A. User Panel Features
- Registration & Login – Social login, email, and phone number verification
- Profile Management – Edit personal and payment details
- Browse Offers & Deals – Categorized deals from partner brands
- Cashback Tracking – Real-time tracking of earned cashback
- Multiple Payment Options – Bank transfers, PayPal, digital wallets
- Transaction History – View past transactions and cashback earnings
- Referral Program – Invite friends to earn additional rewards
- Push Notifications – Alerts for new deals, cashback updates, and withdrawals
- Customer Support – In-app chat, FAQs, and ticketing system
B. Merchant Panel Features
- Merchant Registration – Secure onboarding and verification
- Offer Management – Create and update cashback offers
- User Analytics – Insights into user engagement and cashback claims
- Transaction Tracking – View customer purchases and pending cashback
- Payment Management – Seamless fund transfers and payout management
- Feedback & Ratings – Collect user feedback on offers and service
C. Admin Panel Features
- Dashboard & Analytics – Monitor user engagement, transactions, and revenue
- User Management – Handle customer profiles and merchant approvals
- Offer & Cashback Management – Moderate offers, approve cashback requests
- Commission Management – Set commission rates for partner merchants
- Fraud Detection & Security – Prevent fake cashback claims and fraudulent activities
- Reports & Insights – Generate performance reports and financial summaries
Cashback App Monetization Models
Now, let’s come to the main point – how do you make money if you invest in cashback management app development? There are multiple ways you can monetize your app. Some of them are listed below:
1. Affiliate Marketing
In this model, you charge your partner merchants a certain amount in the form of commission. This can be a fixed amount or a certain percentage of the purchase. Whenever a user buys something, you keep your commission, and the remaining amount is sent to the merchant. Affiliate marketing is one of the most popular monetization models in most of the applications these days due to its simplicity and effectiveness.
2. Subscription Plans
Through this model, you charge your users a fixed subscription amount per month or user in return for added services. One such example is Amazon. They charge a monthly price for Amazon Prime, which allows users to avail free delivery, same-day delivery, extra discounts, and premium content on the OTT platform. You may also use the same monetization strategy by offering your users certain perks if they pay the subscription fee.
3. Ad Revenue
Running ads on your mobile application is a great monetization strategy. This way, you may charge your partner merchants or other businesses to show their ads on your platform. There are multiple ways you can make money through it. One is charging per impression basis, where you charge a certain amount each time an ad is displayed. The second is a pay-per-click basis, where your merchants pay each time a user clicks an ad. The third is pay-per-transaction basis, where you charge your merchants each time a purchase is made through your ads.
4. Commission-Based Model
This is very similar to the affiliate marketing model, where you charge your merchants each time a transaction is made through your application. However, this model works around the amount spent, which may vary from one transaction to another.
It is strongly recommended that you implement all these monetization methods in your mobile application to increase your revenue. When combined, these strategies work great, ensuring your app is profitable for you.
Tech Stack for Cashback App Development
The features, performance, and stability of your mobile application largely depend upon the technology stack you use to develop it. Below is a summary of the tech-stack required to develop a cashback management app:
- Frontend – React Native, Flutter (for cross-platform), or Swift/Kotlin (for native)
- Backend – Node.js, Python, Ruby on Rails
- Database – PostgreSQL, MongoDB, Firebase
- APIs & Integrations – Payment gateways (Stripe, PayPal), Affiliate networks, Google Firebase
- Security Features – End-to-end encryption, two-factor authentication
Cashback App Development Cost Breakdown
Now, let’s discuss the most important segment of cashback management app development – the investment you need to make. While there is no fixed amount of how much you would need to invest to develop the app, we can have a rough estimation by finding the factors that affect the cost, which are:
Factors Affecting Cost
- App Complexity & Features – Basic vs. Advanced features
- Platform Choice – Android, iOS, or both
- Development Team – In-house, outsourced, or freelance developers
- UI/UX Design – Basic design vs. custom high-end UI
- Third-Party Integrations – Payment gateways, affiliate networks
- Testing & Maintenance – Ongoing bug fixes and app updates
Estimated Development Cost
- Basic Cashback App – $10,000 – $25,000
- Mid-Level App with Advanced Features – $30,000 – $50,000
- Enterprise-Level Cashback Platform – $60,000 – $100,000+
Steps to Develop a Cashback Management App
Satisfied with everything and ready to build your cashback management app? Here, we describe the step-by-step process of cashback management app development. Following these steps will make sure you get a feature-rich, high-performing mobile application that turns out to be a profitable business for you. Let’s begin:
Step-1: Market Research and Competitor Analysis
The first step in developing any mobile application is market research and analysing your competitors, and cashback management app development is no exception. Before you begin, make sure to find relevant stats about the market to make sure the app idea is in demand. Also, you need to analyse your competitors to check what makes them great and where they lack. Also, it’s important to find your target audience to decide your technology stack and features.
Step-2: Define Features & Monetization Strategy
Once you are done with market research, it’s time to decide the features of your mobile application. When deciding the features, keep your target audience and your budget in mind. If you want to target a specific audience that might be interested in simple features, or if you have a limited budget, you may start with a basic application or MVP and then keep improving and adding new features as you grow.
Next is deciding your monetization strategy. As discussed above, there are four most common monetization strategies for cashback management applications. You may choose one or more strategies in your applications to generate revenue.
Step- 3: Choose the Right Tech Stack
Now comes the development part, which begins with choosing the right technology stack. Remember, a strong and rigid technology stack is essential for developing a high-performing application. Choose the tech stack according to the platforms you want to serve, for example, Swift for iOS, Kotlin for Android, and React Native or Flutter for a cross-platform mobile application.
Step-4: UI/UX Design and Wireframing
The next step is building the aesthetics of your mobile app, which starts with UI/UX design and Wireframing. Remember, the mobile application should provide your customers a soothing experience, and thus, focusing on User Interface and User Experience is very crucial. Keep the screens neat, and make sure even a novice user can use your app effortlessly
Step-5: Backend and Frontend Development
The next step is developing the backend and frontend of the mobile app. Make sure to use the right technology stack to build these elements. Frontend, as discussed above, can be built by choosing a programming language according to the served platforms. Backend, on the other hand, can be developed using technologies like Node.js, Python, Ruby on Rails.
Step-6: Integration of Payment Gateways and APIs
Since the app operates in the financial domain, implementing a secure and robust payment gateway is a must. You have multiple payment gateways to choose from, including Stripe and PayPal. The app must win the trust of your customers, as financial transactions are going to take place. Also, you need to integrate some third-party APIs for chat, affiliate networks, marketing, reporting, etc. Google Firebase is a great choice for such purposes.
Step-7: Testing & Quality Assurance
It is essential to ensure that your app is bug-free and runs smoothly on different devices. For this, conduct thorough testing and quality assurance. Test your application on different devices, platforms, and environments. Keep fixing the bugs as you find them. Make sure all the bugs are fixed before you launch your cashback management app.
Step-8: Deployment & Launch
Now, when you are assured about the quality of the application, it’s time to launch it on Google Play Store and Apple App Store for your end users. Both these app stores have different policies and processes for launching. Make sure to read these policies carefully and adhere to them. Once the app is live, ask your connections or team members to test it on the live environments to ensure smooth functioning.
Step-9: Marketing & User Acquisition
Properly planned marketing is essential for the growth of your mobile application and for finding the right customers. You may hire an App Store Optimization company to do the marketing on your behalf, or you may do the basic marketing by sending bulk emails, publishing content, running advertisements, or basic SEO. You may also run ads on the Apple App Store and Google Play Store to feature your application at the top of the chart to attract more customers.
Step-10: Ongoing Maintenance & Updates
Ongoing maintenance is essential to ensure your app remains bug-free and keeps running smoothly for your users. Also, as you add new features or make new enhancements, keep updating your app for better performance.
Conclusion
Cashback management app development is a great investment if done properly. It’s a growing market with immense potential. If you follow the steps mentioned above and do proper research, your app can build a million-dollar business for you. The most important aspect is hiring the right mobile app development company that has experience and expertise in developing applications like these.
Interested in developing a cashback management app? Get in touch with us to discuss your project idea and to get a free quote!
