I hate rebates

I meant to post this note in response to this Colloquy article on the debate on rebates back in May. However, 6 months later (now in November), I feel just as strongly as I did then.

I HATE REBATES. 

Not as a consumer, of course, but as a marketer and loyalty practitioner. Rebates encourage cherry-pickers. Rebates are for the 'penny-wise'. Rebates cannot encourage long-term brand affinity, patronage, or higher-margin product cross-sell/up-sell. Rebates kill your product CVP, your profits, your image, and eventually your business.

It's true.

Yes, I agree that rebates may work for certain category-goods, it certainly does not work in the long-term for payment cards. Then again, most banks fail to see the 'longer-term big picture'. So, we are back to square one.

And I categorically agree with everything the article says and advocates. Read it, please.