How Snagshout saved 20 hours per month sending $234K

The highlight reel

—> Snagshout is a social deals platform that offers users cashback, rebates, coupons, and discounts on products sold on Amazon.

—> Before Tremendous, Snagshout used PayPal to send cashback and rebates to customers. They had to pay a fee every time they sent a payout, and frequently ran into issues with the API.

—> After switching to Tremendous, they’ve saved over $6K in fees and over 20 hours of work per month that used to be spent troubleshooting.

—> “We have had zero issues since switching to Tremendous.”

The problem

Snagshout helps new sellers on Amazon build sales momentum by highlighting their product promotions in the Snagshout app. Users surf the app for rebates, discounts, cashback, or coupons and take the leap to buy new products when they find a deal that’s simply too good to pass up.

Before Tremendous, SnagShout used PayPal to send users cashback and rebates.

“People were always asking for other payout options, but we didn’t have time to build dozens of integrations,” said Ben Larkins, Chief Technology Officer at Snagshout.

“Plus, we were having a bunch of issues,” he added. “Our main issue was how long it took to transfer money into our account.”

Snagshout would transfer a large sum of money to PayPal as a reserve for customer cashback payouts and rebates. But they often found themselves anxiously monitoring the balance to make sure there were enough funds to send payouts to users.

“We had to get the timing right to make sure we weren’t putting money in there too late, or we’d have an issue where the payouts wouldn’t get to the customers on time,” said Ben.

“It was always this issue of trying to stay ahead of it and guess when we needed to be transferring more money.”

With over 1,200 unique customers and growing, Snagshout leadership knew they needed a more scalable way to send payouts.

“I got a cold email from Tremendous, so I started looking into it,” said Ben. “The ability to give users so many payout options was big for us.”

Adding & accessing funds instantly

The process of adding and sending funds from PayPal wasn’t just inconvenient. It had a negative effect on end users, who often complained that their cashback and rebate payouts were delayed.

“With Tremendous, we’d put money in our account and it was available within the hour,” said Ben. “It was available pretty much instantly. I thought, ‘that’s going to be a game changer.’”

Users no longer had to wait days — sometimes over a month — to see a rebate or cashback payout land in their Snagshout wallet.

“Before, anytime someone would send us a proof of purchase, they’d have to wait 30 days,” said Ben.

“Now, instead of waiting 30 days, it just gets sent to their Snagshout wallet as soon as they send in their order confirmation,” he added. “So, they’re able to see that they have money in their balance, and they can withdraw any time after that.”

Scale made simple

Snagshout sends users thousands of dollars every week. Total, they’ve sent more than $230K in payouts to users across the country.

“Now, we do bulk sending,” said Ben. “We just have our server schedule all those out to send once or twice a day.”

It’s automated. It’s simple. And most importantly, it’s reliable.

“It makes a huge difference at scale,” said Ben. “With PayPal, we would have issues where the payout would fail. And we wouldn’t get a reason. Then, we’d have customers reaching out asking where their payout was.”

Ben would have to dig into the API himself to diagnose and fix the issue.

“It was a nightmare.”

This would happen two or three times per month.

“With Tremendous, we haven’t had anything like that,” he said. “Everything has been 100% on point.”

The outcome

Since implementing Tremendous, Snagshout has sent over 4,000 payouts to customers who have tried new products on their app.

“We’re approaching a quarter of a million sent in payouts,” said Ben.

In addition to saving over $6,000 in fees, Snagshout also receives a discount on all rewards since they’re sending at high volume. Plus, they’ve saved about 20 hours per week on admin work and debugging.

“The 20 hours a month I spent debugging PayPal were so incredibly frustrating and meticulous,” said Ben. “I would manually go through our database and try to match up each payout in our system to a payout in PayPal to find the ones that silently failed.”

“We have had zero issues since switching to the Tremendous API,” he added.

Now, payouts land in every customer’s Snagshout wallet same-day. Plus, they have over 2,000 options for how they can redeem their rebate, including PayPal.

About 17% of customers redeem their payout via PayPal, while 83% of customers choose one of the many new options that weren’t available before.

“The biggest one is Amazon gift cards,” said Ben. “Everyone who comes to Snagshout is already shopping on Amazon, so it’s perfect.”

Sending rebates and cashback to customers quickly is now a key value prop of the Snagshout platform.

“Adding Tremendous has been a game changer for us,” said Ben. “It was probably the biggest win of the year last year.”

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