Cashback and discount coupons are both promotional tools that offer savings, but they differ in how and when the customer receives the benefit.
Cashback coupons provide a rebate or refund after the purchase is completed. The customer pays the total price upfront, and a percentage or fixed amount is returned later, either as a store credit or through a direct transfer. For example, a cashback offer might give 10% back on a future purchase or $5 after spending a certain amount.
Discount coupons offer an immediate reduction in the price at checkout. When used, the discount is subtracted from the total cost, and the customer pays the reduced amount right away. For example, a coupon might offer $10 off a purchase or 20% off selected items. The key difference lies in the timing: cashback provides post-purchase savings, while discount coupons provide instant savings during the transaction.