How Flux Footwear Drove $102K in Memorial Day Margin Savings with CashBack
A scalable incentive strategy that preserved margin and redefined their Q4 approach
Flux Footwear approached Memorial Day 2025 with a clear goal: test a new kind of promotion that could drive sales and protect margin. With a growing focus on spend efficiency and a need for more precision in their promotional strategy, the team saw the holiday weekend as the perfect testing ground for CashBack. What began as a controlled experiment quickly turned into a breakout success.
“This year, the consumer is hurting more than last year. They’re looking for a deal. But a discount destroys your bottom line. CashBack doesn’t.”
Isaac Mertens
Co-Founder
CashBack offered the perfect balance: a high-converting offer that kept profitability intact.
Rising costs and shrinking margins
Flux Footwear’s journey isn’t your average DTC origin story. Founded on the idea that barefoot shoes could be functional and fashionable, the brand has scaled rapidly thanks to clever branding, novel product design, and a paid media engine built by extensive experimentation. But scaling so quickly came with complexity and cost.
“As we grew, paid CAC kept rising, margins kept compressing, and we had to start thinking more strategically. I live and die by contribution margin.”
Complicating matters: the team was sitting on inventory bought before a major tariff announcement. Every cent of margin counted. Selling through that inventory wasn’t just about volume, it was about protecting the unit economics.
Discounting was always the easy button, but rarely the smart one. A 30% sitewide sale might move product, but it also erased margin and left nothing to reinvest.
“We’ve done traditional discounts, gift with purchase, even BOGOs. But none of them moved the needle. Especially not at our AOV”, Isaac explains.
Isaac and the Flux team were early adopters of CashBack, helping shape some of the best practices that other brands now follow. With a culture built on testing and iteration, they saw Memorial Day as the right moment to scale it, driving revenue while protecting margin on high-stakes, pre-tariff inventory.
A smarter, margin-safe alternative to discounts
Flux launched their first large-scale sitewide CashBack campaign over Memorial Day Weekend 2025, aiming to test response, measure margin impact, and see whether customers would bite on bigger incentives without the sting of a traditional discount.
They tested two offers:
30% CashBack, which yielded an effective 10.7% discount
40% CashBack, which yielded an effective 13.5% discount
Thanks to customer choice between store credit or a prepaid reward card, the blended average discount came out to just 12.5%.
The campaign drove over $206,000 in attributed revenue.
Critically, the same sales volume under last year’s 30% discount model would’ve cost Flux $175,258 in margin. With CashBack, that cost was just $73,035 – a savings of $102,222, or 17.5% of total revenue.
“We were just shocked with how well the sale did on CashBack. It doubled our expectations. We considered it kind of a dress rehearsal for Black Friday. And it gave us tremendous confidence that we can scale this.”
Proven profit gains with a repeatable model
For Flux Footwear, Memorial Day wasn’t just a successful sales moment. It was proof that CashBack is the most margin-efficient way to scale promotional performance.
By offering reward optionality instead of a blanket discount, the team created urgency, preserved profitability, and built a repeatable playbook they’ll carry into BFCM and beyond.
“I’m not exaggerating when I say CashBack has been game-changing. This single shift in our strategy has added over a million dollars in profit.”
The success of this campaign has already influenced future planning with their team considering adding CashBack to their incentive strategy for Labor Day and BFCM 2025.
Holiday Success Built to Scale
CashBack drove major holiday weekend revenue while saving $102K in margin and outperforming discount-heavy tactics.
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