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Rebates have a love-hate relationship with customers. Very few manufacturers or retailers are able to utilize this powerful sales tool to deliver consistent satisfactory experiences. The negative instances end up creating disloyalty among consumers, defeating the purpose of a promotional campaign.
Manufacturers and retailers use rebates as a promotional tool that targets select channels for a specific time period. They are undoubtedly a powerful way of catching the attention of consumers, drawing customers to both brick-and-mortar and online stores. They increase sales and even if 100% of them are redeemed, they provide float (extra cash for the time it takes to redeem rebates).
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