Swagbucks Review – Is Swagbucks Legit or a Scam?
Swagbucks Review: Is Swagbucks Legit?
Yes, absolutely. During the first month of using Swagbucks, I earned enough points known as SB, to redeem for four of the $5 Amazon gift cards. They came as promised, and entering into the Amazon system as valid. The proof is in the pudding as they say.
But, you likely didn’t come here for testimony from some random guy on the internet. Let’s examine their business model, to better understand why it is that Swagbucks can be legit.
How can they afford to do this? What does Swagbucks do?
It’s a pretty simple business model. All the things they give you points for earns them money, one way or another. Completing paid online surveys, offers, and introductory trials are things that advertisers, marketing and research groups, and other companies pay good money to get done.
Why? Because it makes them money. You have to follow the money. Let’s take a look at a few of ways you can earn extra money (SB points) with Swagbucks.
How can you earn money with Swagbucks?
There are multiple ways to earn money with swagbucks. Some of them are as listed below:
- By Completing Offers
- Search and Win
- Answer Online Surveys
- Shop Online and Get cashback
- Watching videos
We will look the above in details now.
By Completing Offers
It is easy to see how some of these wind up making the end company money.
Free trials that start at an introductory rate, then jump after the first money are banking on the fact that most people will forget to cancel after the free or low-cost period.
Others, like car insurance offers, are really middle men trying to make a buck from the larger companies paying them to recruit leads.
You’ll see lots of these auto insurance offers, but never from Geico or Progressive themselves. This is because those massive, well-known insurance firms have the money to pay other people to do the hunting for them.
For any number of people, a certain average percentage will sign up for their product. Therefore, the goal is to increase the number of people. So, the big companies have programs where they will give you money for each person that signs up because of you.
Then, affiliate marketers set up programs where they pay programs like Swagbucks or even Google Adsense to market their website which is dedicated to trying to hook people and earn their slice of the pie.
Search and Win
If you’ll notice, there’s always sections of ads returned with your search results. I’m not an insider for Swagbucks, or any search and win site, so I can’t say for sure exactly what they’re doing, but it’s one of two things.
Either they are getting paid for showing ads, typically a set amount per 1,000 pages shown, or they are banking on the fact that occasionally someone will mistake the ads for search results and click on them, earning them advertising revenue.
Another simple one. The more specific the information you’re gathering, the more valuable it will be for marketing purposes, provided you have wisely selected your criteria. The problem is, as you narrow your demographics, it becomes harder to locate these people and get them to give you the information you want.
So, the behemoths of industry pay market research companies to do the heavy lifting for them. The research companies use many different channels to accomplish this, one being reward sites such as Swagbucks. The idea is, if you offer people an incentive, they’ll be more willing to give you their information. They’ll also help screen themselves by applying en masses.
They show ads before every spot. Some of the videos are ads themselves. I’m a little unsure how many people actually watch these, and how many click OK and then skip to another tab while the video is playing. Regardless, I’m sure there’s money being paid somewhere to capture eyeballs long enough to even click ‘play’.
How many swagbucks is worth a dollar?
100 SB Points = $1. However, you can get a $5 Amazon gift certificate for 450 SB points.
How much can you earn with swagbucks?
It depends on the effort you put. As mentioned above, there are multiple ways to earn money with swagbucks. You can earn money by doing tasks as well as refering your friends to swagbucks.
When you take all of this into account, it’s pretty easy to see where the money’s coming from. Often it’s coming out of a corporations pockets and getting drizzled downstream several times before being given to you in the form of SB points from Swagbucks.
It’s also easy to see why Swagbucks isn’t interested in ripping anyone off. The longer you stay active by completing offers, doing searches, and other activities, the more money they make. They’re just passing down a cut so that you have an incentive to do these things that make them money.
Is Swagbucks Legit?
When you look at it in cold, practical business terms, it becomes easy to say, ‘Yes, Swagbucks is legit.’
Some other sites similar to swagbucks are:
- Cashcrate – Cashcrate Review – Is Cashcrate Legit?
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