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December 1, 2008 12:07 PM PST

Microsoft apologizes for Cashback glitches

by Ina Fried

Microsoft on Monday apologized for glitches on its Live Search Cashback site, which frustrated online shoppers looking to scoop up Black Friday deals.

Amid heavy volume on Friday, consumers encountered a range of problems from site sluggishness to seeing the wrong amount of cash back show up in their accounts.

The problem was particularly acute with shoppers who were looking to take advantage of a promotion with Hewlett-Packard that offered buyers a 40 percent discount when visiting HP.com through Microsoft's Live Search Cashback. Some shoppers, however, reported seeing only a 3 percent cash back amount posted to their account.

"We deeply regret customer inconvenience with respect to the outage," Microsoft said in a statement provided to CNET News. "The spike in traffic in combination with a technical glitch led to the outage. The promotion will restart in the next day or so. Again, we apologize for our customers' inconvenience."

A Microsoft representative said the company is in the process of going back to make sure the proper cash back amount is credited.

Live Search Cashback was launched in May as a way for Microsoft to try to boost its share of commerce-related search queries. Instead of taking in revenue on a pay-per-click model, Microsoft gets advertisers to agree to pay in the form of a certain percentage of any resulting sale. For now, anyway, Microsoft is giving that entire amount back to consumers as "cash back."

Separately, Microsoft said on Monday that some users will be able to get cash back instantly on eBay purchases, as opposed to having to wait the 60 days that is standard on Live Cashback.

During her years at CNET News, Ina Fried has changed beats several times, changed genders once, and covered both of the Pirates of Silicon Valley. These days, most of her attention is focused on Microsoft. E-mail Ina.
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by mverason December 1, 2008 12:31 PM PST
Great article Ina. I'm sure plenty of people will enjoy reading this article.
Reply to this comment
by clamenza December 1, 2008 3:08 PM PST
HP.com was unreachable via the live.com link for most of the day Friday. Unless they bring back the 40% promotion any apology is insincere.
Reply to this comment
by Notebooks.com December 1, 2008 5:45 PM PST
Ina- thanks for spreading the word about this issue- we received hundreds of inquiries/comments about this problem over at Notebooks.com. I clicked on that MS Cashback/40% ad at LEAST 700 times and ended up getting through around 7pm. But I received a 3% cash back credit from Microsoft. I've been blogging about this since Friday, but have yet to get anything resembling a resolution from MS- just canned statements. Good to hear that you got someone to go on the record saying the promotion will restart.
Reply to this comment
by AppleSuxLeo December 1, 2008 11:57 PM PST
Apple would have just denied they ever had a problem...and lay the blame on you ;)
Reply to this comment
by strongpimphand December 2, 2008 7:15 AM PST
I'm sure Microsoft will have someone reading this

I don't trust the instant cash back process because I'm not sure if I qualify or not! I would hate to bite the bullet on the higher "buy it now" price and find out I still have to wait 60 days to get the 30% back!

I wish it wasn't random and they told you upfront
Reply to this comment
by dirty55409 December 2, 2008 9:12 PM PST
Shopping Fail
Reply to this comment
by vorpel December 3, 2008 5:51 AM PST
Thank you for the information. I sincerely hope MS does the 40% off deal with HP again as I too spent 6+ hours trying to get in on Friday, finally did, and now my cashback still hasn't shown up...
Reply to this comment
by angry jubu December 3, 2008 5:51 AM PST
I was at both Live.com and HP's site in Friday - I didn't see anything about a 40% discount.

Moreover, HP seems not to be participating any longer - they still show up at the top of a search but there's no longer a Cashback icon - and eBay has dropped their discount to 20%.

The whole thing is a game I'd rather not play; it makes me angry. Either offer the damn discount, CONSISTENTLY, for a specified period of time, so that people can plan - or don't offer it at all.
Reply to this comment
by Nomorelive December 3, 2008 9:15 AM PST
Thank you Ina!!! for sticking your foot in MS's throat to get some info out. I was also only given 3% even if I was able to get in to HP site with 40% cashback link in last minute with all day's 'Refresh mania'. It does not matter anymore even if MS posts 40% cashback(Seems like they said it but I doubt it to happen ever). I promised my daughter a laptop and she is getting one whether I get 40% or 3%. Microsoft can stick that 37% cashback money into Bill's rear-end and make him $400 more richer. This is the last time I'm ever gonna use [live(lame, liar, etc....).com] or any live applications.
Reply to this comment
by angry jubu December 3, 2008 12:05 PM PST
Is there an email address for Live.com customer service? There are still glitches at the site - HP doesn't display a Cashback icon, but, if you go to their vendor list, HP is still listed - but with only a 5% discount.
Reply to this comment
by Nomorelive December 3, 2008 1:48 PM PST
https://support.search.live.com/default.aspx?productkey=cashbackso&mkt=en-us

I registered my complaint on 11/29 through this but only got an automated response. I'm sure they do not even look at it. This is just a bait and switch scam. Anyway, good luck!
by angry jubu December 5, 2008 4:43 AM PST
*This is just a bait and switch scam*

That's pretty much my feeling about it.
by joshua_7777 December 3, 2008 1:15 PM PST
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Reply to this comment
by Nomorelive December 11, 2008 2:01 PM PST
Finally, Live has corrected cashback by deleting 3% cashback and adding 40% cashback. I hope, all other folks have got their cashback.

I think, MS Live has learned their lesson. Still, I'll think twice before I get in to such kind of promotions.

Cheers!!!
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About Beyond Binary

During her years at CNET News, Ina Fried has changed beats several times, changed genders once, and covered both of the Pirates of Silicon Valley. These days, most of her attention is focused on Microsoft.


Beyond Binary is a look at how technology is changing our lives and the people behind all that life-changing stuff, with an extra emphasis on that which emanates from Redmond, Wash.

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