Loli App signs on Walmart, Sephora, Expedia, Saks Fifth Avenue, and Hilton among other big retailers.
- Big retailers using “Lolli as a way to test bitcoin” as it is an easy way to test the waters
- Lolli passes an average of $30 per Loli wallet, its CEO Alex Adelman says they will do with Bitcoin payment rail that PayPal can’t do in the “foreseeable future”
On Cyber Monday, Lolli, an app that allows you to earn Bitcoin, recorded an increase of 88% in its transactions.
Launched in August 2018, Lolli is a plug-in that allows online shoppers to earn cashback rewards in Bitcoin. Shoppers make their purchases in fiat with a credit card but the cashback comes in BTC deposited to a Lolli wallet.
Testing the Bitcoin Market without Taking on any Risk
Today, still a very few mainstream eCommerce sites like Overstock.com accept BTC as payment. But Lolli is making gradual progress and has now signed some big retailers to its names including Walmart.
Walmart (WMT) is one of the company’s most popular retailers with its users. Sephora, Expedia, Saks Fifth Avenue, Hilton, Groupon, Priceline, Petco, Bloomingdale’s, Ulta, and Macy’s are also part of this list.
Now, it’s to be seen if Amazon and Target, two popular retailers among Lolli’s fans that they have been eagerly waiting for, would be coming soon as well.
These big names Lolli CEO Alex Adelman thinks are “using Lolli as a way to test bitcoin” as this is an “easy way for them to test the waters.” By collaborating will Lolli, these retailers “don’t have to do any kind of program or take on any risk, we take on all the risk, and they get to test the market.”
Also, in future Walmart “might get really excited about bitcoin and announce some things around bitcoin” if they are able to provide them with millions of users.
Lolli Will Do With Bitcoin Payment Rails That Paypal Can Never Do
As for the Bitcoin reward percentage, it varies depending on the retailer. The average rate, however, is 7% which is much higher than the typical 1 to 2% rewards rate from credit cards. The highest reward rate Lolli offers is 37% from PureVPN and 27% from eHarmony.
All of 900+ retail partners of Lolli either pay it a flat fee or a cut of each sale that comes to them through Lolli. However, none of these companies have publicly declared their support for BTC.
“They don’t do that for Honey either,” Adelman told Yahoo Finance. Honey is an online shopping rewards plugin that PayPal acquired for $4 billion.”
“The biggest reason is we are just a loyalty, cash-back platform at the end of the day, as far as they’re concerned. So they’re excited about the possibility of new shoppers, but it’s on us to bring them those people. They’re fine with us talking about it, marketing it, but at the end of the day it comes out of their margin to give bitcoin back, so a lot of merchants would rather just have users pay full price or offer their own coupons to their own loyal users.”
Though Lolli didn’t reveal its total number of users, it recently passed an average of $30 per Lolli wallet. Adelman said:
“Lolli is going to do with bitcoin payment rails what I don’t think PayPal is ever going to do in the foreseeable future.”