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Ibotta & Walmart.com’s Partnership

June 06, 2024 · By Molly Winter, Walmart.com Strategic Account Manager, VENDO

INTRODUCTION

If you have been in the CPG space in recent years or are just somebody who regularly grocery shops, you have probably been introduced to Ibotta. Ibotta is a free cash back rewards platform available to consumers across the US. Since its launch in 2011, Ibotta has worked with countless brands and retailers to grant over 1.6 billion rewards to customers. It has become the leader in the cash back rewards space and is continuing to grow. In recent years, this leadership has earned Ibotta a partnership with number one retailer, Walmart.

Back in 2021 Walmart and Ibotta announced a partnership that would launch a new digital offers program on Walmart.com and the Walmart app. This partnership would allow customers to access hundreds of cash rebates on products directly in their Walmart account. Finally in 2024, the program is operating and available to Walmart customers nationwide.

How it Works

Now that the partnership is fully up and running, it is important to know what this looks like on Walmart.com and how it differentiates from other retailers compatible with Ibotta. On the current Ibotta program, a customer can search deals by retailers in the app. They can add deals into their account and go purchase the item. Then, their account either automatically updates because it is linked with the retailer, or they must scan a receipt from the retailer in order for the rewards to show in the account. Everything takes place in the app and all rewards are somewhat exclusive to active Ibotta users.

Now, with the new Walmart partnership, the reward shows directly on Walmart.com next to the item. On Walmart.com customers will see a blue box displayed with the item that offers “Walmart Cash” to the customer for buying the item. The customer can then add that to their account, purchase the item, and the reward will be automatically saved directly in their Walmart account. This reward can then go directly towards a future purchase on Walmart.com or be redeemed for cash.

This partnership enables Ibotta rewards to be available to every single customer that shops on Walmart.com. People who have never used Ibotta are able to redeem the awards and benefit from the program. This greatly improves the reach of an Ibotta campaign and makes the offers on Walmart.com far more productive.

Should I Use This?

If you have been in the Walmart world for a long time, you know, that couponing and Walmart usually do not go hand in hand. It used to go against their everyday low prices model. However, times are changing and with the expansion of the digital footprint of Walmart.com and its competitors, couponing or rewards has become an effective tool to gain traction in Walmart store and Walmart.com. However, there are some things you should consider before moving forward.

Will this offer be available from other retailers?

When you run an Ibotta program, you can offer the reward at any Ibotta-partnered retailer that carries your product, or you can specify what retailers you want to offer the reward with. For Walmart, if you want the offer to only be available on Walmart.com, there is a special approval process that you must go through. This process is fairly easy and can be done quickly but may still add an extra week or so onto your launch plan.

Who will this be available to and for how long?

Since Ibotta programs are normally offered on items in store, it is important to remember that your current store count will affect how many people can see this program. If you are available nationwide, the offer will be available nationwide. If you are only available in certain regions, the offer will only be available in those regions. This can affect how many people will redeem your offer and how quickly a budget will be run through. It is important to consider this when trying to decide on a budget and when setting expectations/goals for the campaign.

How do my items currently do with Online Pickup and Delivery?

Online Pick-up and Delivery is a metric that Walmart tracks by item that shows the percent of your store sales that are originating online. Then, the customer either picks the item up from their local store or has their groceries delivered from the local store. Each category has a different goal for your online pickup and delivery percent, but in most food and beverage categories, the goal will range from 15-25%. If your current percentage is lower than their goal, Ibotta can be a great way to boost this percentage as the offer lives mainly online and most customers will be redeeming through the website or app. It is important to understand where you are starting, so that you can track progress during and after the campaign.

CONCLUSION

In short, the partnership between Ibotta & Walmart has driven great success for both Ibotta and Walmart.com. You can see the impact of this as you are shopping on site and feel the impact of the rewards as you see them reflected directly in your Walmart account. This new partnership is something that should be leveraged by brands to propel in-store and online sales. While Walmart will always be an EDLP retailer, they continue to expand their capabilities onsite which only improves their offerings and overall savings for customers.

To learn more about how VENDO has partnered with Ibotta to drive sales at Walmart, check out this case study!