Clare Walker, a 23-year-old in Brooklyn, has racked up about $700 price of present playing cards or, in her phrases, “free cash,” by referring her contacts to Flip. “There have been undoubtedly some individuals who I have never actually stored up with since highschool, however I used to be like, ‘Hey, add me on Flip. Right here’s a free 75 {dollars}, get pleasure from,’” Walker says. Her purchases on Flip embrace JBL wi-fi headphones, a wide range of luxurious skin-care merchandise, and a dwell houseplant.
Noor Agha, CEO of Flip’s developer, People Inc, says his product’s sudden recognition renders Flip “one of many quickest issues that ever occurred in ecommerce,” though he declined to share even a ballpark estimate of the dimensions of his person base. He claims to have made the primary platform “constructed for manufacturers solely” and rejects the suggestion that cash-incentivized referrals are driving Flip’s rise or are important to its survival.
Agha argues that by permitting anybody to monetize their evaluations, whereas barring customers from instantly working with manufacturers as influencers normally do, Flip ought to foster a extra real group round commerce than can its established rivals.
“Everyone can earn. It isn’t by number of anyone at Flip,” Agha says. He claims that his platform’s design is guided by the query “How will we deliver honesty and authenticity to commerce?”
However his recipe for authenticity isn’t foolproof. The prohibition of brand-to-creator interactions might show troublesome to implement, as manufacturers are accustomed to working with influencers. After her in-app evaluations started gaining traction, Collier Barksdale, a 25-year-old Flip person in New York Metropolis, was contacted by a magnificence and way of life model on Instagram. In a message seen by WIRED, the corporate supplied to ship product samples in alternate for Flip evaluations. Barksdale didn’t settle for.
And Sky Canaves, a senior analyst of retail and ecommerce at Insider Intelligence, a digital market analysis agency, questions whether or not Flip can maintain on to the customers it’s successful by the present giveaways. “The corporate is engaged in a really costly buyer acquisition technique,” she says—one which may be essential to lure folks from platforms like Instagram and TikTok, each of which have added procuring options. “If Flip stops assembly expectations round all these compensation, then there’s prone to be some fairly vital departure of customers.”
