cashback

Explaining the workings of Live Search Cashback

REDMOND, Wash.--I'm not sure how much Microsoft's Live Search Cashback program will help Microsoft take share from Google, but I do find my brain grinding over the business model implications.

As I noted earlier, the economics are based on the same broad model as affiliate programs that pay referrers a cut on sales that they directly feed to the site. In this case the referrer (Microsoft) is shuttling all that money to the consumer. It's the same model bargain-hunting sites like Fatwallet.com use, although those sites typically keep some of the money to pay the … Read more

Gates: Microsoft betting on e-commerce search

Update 11:30 a.m. PDT: Added more details about the cash back program and comments from Overstock.com CEO.

REDMOND, Wash.--Microsoft still wants to be all things to more people in search, but, in the short term the company would settle for just getting people when they want to buy stuff.

The company's big search news, as previously noted, is a program that gives customers cash back when they use Microsoft's Live Search as the starting point when making a purchase.

"The one you'll see us particularly invest in in a major way is … Read more

Will cash back boost Microsoft's search?

REDMOND, Wash.--Microsoft's Live Search cash back program may be a new business model for Microsoft, but the underlying economics have actually been used outside the company for some time.

Bargain hunter sites, such as FatWallet, also offer cash back programs using much the same model that Microsoft is employing with its program.

In both cases, the referring sites get a certain percentage of the sale and give part or all of that money back to consumers.

Sites like FatWallet tend to appeal toward hard-core bargain hunters. One of the questions that looms over Live Search cash back is … Read more