In October 2022, Super.com successfully launched SuperCash, a cashback card that allows users to build credit without the barriers of the traditional financial industry. Since then, SuperCash has grown tremendously. Super.com's five million customers did not just want to save, they needed to save. These average US Americans were typically in lower-income groups and had lower credit scores. And as we all know, both factors bring difficulties and obstacles to daily life. SuperCash offers rich rewards, benefits, and spending power regardless of your income or credit score. Save simply and spend wisely.
Super.com has developed an all-in-one savings app for these groups of Americans, offering deeper discounts and savings in several categories including travel (via Supercom/Travel) and shopping.
SuperTravel can be found via the website Super.com. They work directly with hotels and travel partners and promise up to 50% discounts to customers. They tell the customers that they save on hotel costs by traveling in the off-season, become a member of the loyalty program of the hotel (chain), by negotiating the price and by booking far in advance.
The SuperTravel Services are only available to people with a user account. When the consumer provides a unique identifier and authenticates via a secure login, SuperTravel creates an user account. Then, the consumer can use the user account to browse different hotel accommodations and services and make reservations with hotel suppliers (i.e., the suppliers of hotel accommodations and other services offered via the SuperTravel Services). Hotel availability, services and rates presented are exclusively available to the user account. SuperTravel does not provide hotel accommodations or other hotel services; they are provided by the hotel suppliers, as independent contractors, not agents. The prices for the hotel services will be as quoted on the SuperTravel Services from time to time, except in cases of obvious errors. The suppliers, that offer hotel accommodations via SuperTravel are in full charge of their price and yield strategy. The hotel suppliers invoice Super for certain charges, including tax amounts.
The key question is: are these lower-income groups an interesting target group for lodging providers via SuperTravel? Well: decide for yourself:
1. The total group consists of 5 million people, which is most likely the case of the lower income groups, which also represent 5 million households;
2. Over 60% of Americans travel domestically 1-2 times per year, and the trip length is typically 3-4 days. "Meanwhile, 69% of those earning less than $35,000 a year stayed home, compared to only 36% of those earning $100,000 or more" (Source: https://www.valuepenguin.com/travel/summer-holiday-survey#:~:text=But%20there's%20still%20time%20for,and%20Gen%20Zers%20(63%25). 30% of lower income groups still travel every year;
3. Americans love the beach and outdoor vacations, along with city breaks. Lower-income groups focus on cheaper accommodations in their holiday destination and places where the cost of living is tolerable;
4. Lower-income groups prefer to use their car to travel to their holiday destination for reasons of cost (especially with children) and flexibility. This means that they prefer to travel to a holiday destination that is no more than one day away from their home;
5. Due to their tight budgets, lower-income groups primarily look for the cheapest accommodation offers rather than quality;
6. Lower income groups without school-age children are not limited to school vacations. These groups are excellent customers for the off-season.
A complicating factor is the actual economic outlook, or better, consumer confidence. "Consumer expectations, while down, remain below levels often indicative of a near-term recession," said Ataman Ozyildirim, senior director of economics at The Conference Board. "Consumers have become more pessimistic about the outlook for business conditions and the labor market." (Source: https://www.conference-board.org/topics/consumer-confidence/press/CCI-Apr-2023).
The consumer confidence index is a more reliable indicator of future spending than, for example, payroll trends or the inflation rate. However, half of Americans still plan to go on holiday in 2023. Undoubtedly, savings play a role in how Americans, and among them lower-income groups, can spend their money, including vacations.
Bottom line: the 5 million users of SuperCash (and the SuperSavings app) are in the lower income groups. They still travel once a year (to the beach or to the city), mainly using their own vehicle. They are looking for cheap accommodations for 3 to 4 days, for families without children in the off-season. The economic outlook is not rosy. Saving for future vacations has become a must for these lower income groups.