LA's Kickback is a social shopping app that converts users into marketing channels through cash rewards

Jonathan Shieber
·2 min read
Online shopping
Online shopping

Franky Bernstein, the Venice, California-based serial entrepreneur, knows marketing.

At his last startup, Markett, Bernstein turned college students into brand ambassadors who were paid by the companies they repped for proselytizing about them on campuses.

Now he's using that knowledge to launch Kickback on iOS and Android. It's invite-only at this point, but the idea is that it uses companies' marketing budgets to create shopping rewards and incentives for app users. In the same way that Markett turned college students into advocates for apps like Uber and Lyft, Kickback will turn shoppers into brand ambassadors through its app.

In-app referrals and discounts for shopping are nothing new to the e-commerce world. In China, apps like Pinduoduo have turned into billion-dollar businesses on the strength of referrals. Indeed, Pinduoduo recently raised $1.1 billion in funding to hit a valuation of nearly $100 billion.

It was only a matter of time before an American company tried to copy its success. Kickback -- like most new apps these days -- is invite-only.

Once past the waiting list, users get discounts on brands and can earn cash-back rewards when they shop or when they encourage their friends to buy something with the app.

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So far brands on the app include Walmart, Sam’s Club, Nike, Alo Yoga, Reebok, Away, Planet Blue, Sonos, Winc, Postmates, Casper, Kate Somerville, Lacoste and Columbia. Users get discounts or cash rewards when they shop and earn "kickbacks" when they invite someone to shop using their discount code. Cash rewards can be withdrawn using PayPal, according to a statement.

“Our mission is to take the billions of dollars brands spend on advertising and put that money directly into the pockets of the people,” said Franky Bernstein, founder and CEO of Kickback, in a statement. “Brands know the most powerful form of marketing is word of mouth. We like to say that people are 100% more likely to go on a first date, watch a movie or, in our case, try a new product or service if a friend tells them about it. People have always loved sharing their favorite products and services with their friends. Now with Kickback, they get paid for it.”