ShopBack crosses S$1 billion in cashback to users, says experimentation is still key

[SINGAPORE] Loyalty platform ShopBack has crossed the S$1 billion in cashback to users since its inception 11 years ago, and is not looking to stop trying new things.

Its co-founder Joel Leong told The Business Times that crossing the S$1 billion threshold is proof that the flywheel for ShopBack is working, given the platform’s efforts to drive value for its users, merchants and the platform itself.

“Our goal as a platform is to make sure this flywheel makes sense for them, the goals they are aiming for and how we can help them,” he said. “We keep doing new things, new things that refresh what ShopBack is, and that’s what makes it exciting for us.”

For example, the loyalty platform started out targeting marketplaces like Lazada and Shopee, but now also has brands from other categories of products and services, including merchants such as Uniqlo, Guardian and Lego, and travel services such as Klook, Agoda and Emirates.

ShopBack offers users real money cash back for online and in-store purchases, vouchers and payments, by earning commissions from its partnered merchants and then sharing a portion of these with its users, allowing them to withdraw cash or use it for future deals.

In its new category such as ShopBack Play, for instance, users earn cashback for playing casual mobile games.

In markets such as Taiwan and Australia, another new feature, ShopBack Snap, lets users scan receipts for offline in-store purchases.

Some hits, some misses

The company has been through some failures as well, having shuttered features such as ShopBack Go, through which users designated a credit card to be tracked for offline use, and ShopBack Paylater, a buy-now-pay later (BNPL) service launched after the acquisition of Hoolah.

In May 2024, the company announced layoffs, cutting 195 roles or nearly a quarter (about 24 per cent) of its headcount then.

Despite these setbacks, Leong is undeterred. ShopBack is about experimentation and doing new things, he said, and evaluating if these new features make sense for all three parties – the users, merchants and ShopBack itself.

He noted: “I never want the team to stop experimenting, even if it means that now and then, there might be one or two that we might not get right.”

The unsuccessful BNPL business was evaluated, and it emerged that ShopBack Pay, a pure payment business, was better for users, merchants and ShopBack.

This payment feature is growing and expanding into different markets, and would not have been discovered if ShopBack had not experimented with BNPL, noted Leong.

Aside from new features and categories, ShopBack has now expanded beyond the region, entering new markets in Germany in 2023 and the US, in 2025.

Beyond Asia-Pacific

ShopBack’s expansion beyond the Asia-Pacific is backed by what it has learned from the region nearer home. In the Asia-Pacific, it is in 11 markets – Singapore, Malaysia, the Philippines, Indonesia, Thailand, Taiwan, Australia, New Zealand, South Korea, Vietnam and Hong Kong.

The foray into the US and Germany was based on the strength of the e-commerce market there. Germany, for example, is estimated to be one of Europe’s largest e-commerce markets, with user growth projected to grow from 47.7 million in 2025 to 51.8 million by 2029, reported the International Trade Administration.

ShopBack’s app-driven approach also differentiates it from its competitors in the US and Germany, which have favoured a desktop approach. ShopBack Play was brought to the US under its push to differentiate itself from the incumbents.

“A lot of merchants tell us that they are willing to take a chance with us because they want to grow their app business … If you look at the incumbents in those markets, the majority of their orders come from the desktop computer,” said Leong.

The platform’s German and American competitors are formidable; they include Honey, a similar affiliate marketing platform acquired by PayPal for US$4 billion in 2020.

ShopBack has previously taken on incumbents and come out on top. When it entered Australia, for example, the incumbent Cashrewards was bigger than ShopBack’s combined markets.

Cashrewards shuttered in September 2025, when its owner ANZ Bank’s corporate-venture arm 1835i offloaded its major investments and then closed the following month.

Leong noted: “If we really play our cards right, we create a better experience for the user, we differentiate ourselves. There’s a good chance we can get a good market share in these markets.”

The US and German markets have been stable for a while and need someone to shake things up, he added.

Focus and funding

Looking ahead, Leong sees key areas of focus being not just in artificial intelligence, but also in the offline space. ShopBack is looking to tap AI for both efficiency and personalisation.

ShopBack’s business model turns on having data on its users’ spending habits across brands and being able to push personalised offers to them, benefiting both these users and the brands.

Moving more into the offline space would also give ShopBack’s business model a boost, as it would gather data on users’ offline spending for a more complete picture of their spending habits.

“How can we help them get rewarded for that on an everyday basis? I think that’s important for us,” said Leong.

ShopBack had a banner year in 2025, clocking S$7 billion in gross merchandise value to merchants and brand partners, a growth of 30 per cent year on year.

Orders by users grew 35 per cent year on year to 120 million in 2025; the platform remained earnings before interest, taxes, depreciation and amortisation positive.

This financial performance comes amid work on a dual-listing bridge between the Singapore Exchange and Nasdaq. As ShopBack has taken on funding from 65 Equity Partners’ Anchor Fund, there is some expectation of a local listing down the road.

Leong is not ruling out using the bridge, but stressed that ShopBack is agnostic about all funding options. “What I’ve come to learn in 10 years of business is that as long as you have a good business, all options will be on the table for you,” he added.