Business Idea

Start A Travel Rewards App

About

Starting a travel rewards app requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell travel rewards program, or selling travel rewards program online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a travel rewards app ➜

Key stats

market size
$582B
revenue (monthly)
$150K
starting costs
$39.4K
gross margin
75%
avg product price
$0
time to build
3 months
growth
SEO
business model
Advertising
time investment
Side project

About

Starting a travel rewards app requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell travel rewards program, or selling travel rewards program online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a travel rewards app ➜

Key stats

market size
$582B
revenue (monthly)
$150K
starting costs
$39.4K
gross margin
75%
avg product price
$0

 

time to build
3 months
growth
SEO
business model
Advertising
time investment
Side project

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $10 $2,250
Employee & Freelancer Expenses $0 $5,500
Equipment & Supply Expenses $500 $5,000
Website Costs $232 $6,500
Business Formation Fees $5,600 $20,400
App Creation Costs $1,099 $20,099
Software Expenses $162 $3,094
Other Expenses $0 $800
Advertising & Marketing Costs $0 $6,400
Specific Industry Expenses $0 $200
Total Startup Costs $7,603 $70,243

Successful Businesses

Business URL Rank
AwardWallet, LLC awardwallet.com #73,571
Hytch Rewards hytch.me #627,111
MAPCO mapcorewards.com #1,640,394
unknown smashvillerewards.com #5,210,588

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Ability to start your business from home It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
Rewarding work Starting a travel rewards app can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
No overhead costs To get your travel rewards app started, there are no costs associated with overhead, storage, packaging, etc. This will save you a lot of time and money!
Meaningful business connections You never know who you will meet as a travel rewards app. This could be the start of an incredible business opportunity!
Cons Description
Longer Sales Process A travel rewards app can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.
Security Issues With any Saas business, data loss and security issues may arise throughout your process of building your product. It's critical that you understand exactly what you're responsible for and how to avoid potential issues down the road.
Work can be inconsistent As a travel rewards app, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have.
Niche Market A niche business is not necessarily a bad thing, in fact, it can be the key to your success. However, it can be more challenging and time consuming to find the perfect niche market and target audience.
Work can be repetitive You may find creating the same product over and over repetitive and tiresome. One way of avoiding this is to diversify product lines and revenue streams - this will keep things interesting!
Churn In this business, customers can cancel their membership or subscription for your services - which can make revenue forecasting challenging and unpredictable. It's important to focus on your churn rates and trends so that you can prevent this as much as possible.

Marketing Ideas

  • 1

    Affiliate program

    Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.

    Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

    The affiliate typically gets a unique link where clicks and conversions can be tracked.

  • 2

    Word of mouth

    Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

    Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

    According to Nielsen, 92% of people trust recommendations from friends and family.

    Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.

  • 3

    Partnerships

    A partnership is a formal agreement between two or more entities to oversee business operations and share profits and liabilities.

    Creating strategic partnerships with an existing business can be a huge win for a startup.

    This is considering that a partnership creates a new slate of future options for your startup.

    On the other side, pursuit of partnerships could suck up a ton of time, and bunch of resources, and fail to materialize.

    Therefore, entrepreneurs need to do proper research and evaluate the possibilities of achieving success through partnerships.