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HERE’S How Pocket Points Makes Money in 2023 [Full Business Model]

Parents try to provide the latest smartphone to their children so that they face no trouble in their studies. They buy tabs, laptops, phones, and other smart devices to make learning easier for kids.

What kids do is use those devices for entertainment, chatting, and things that affect their studies. Parents and teachers both try their best to prevent students from using their phones for unnecessary work.

They do not succeed because it is impossible to keep your hands away from that device. It was supposed to make people’s life easier. It did everything but it couldn’t encourage learners to focus on their education.

Mitch Gardner and Rob Richardson decided to change the trend by introducing the Pocket Points mobile app. They introduced this platform to prevent smartphone abuse in schools.

Did Pocket Points succeed in achieving its prime objective? How does this platform make money by encouraging students to not use their smartphones? Is it still active?

Continue reading to find out everything about the Pocket Points business model!  

What is the Pocket Points App?

Mitch Gardner and Rob Richardson developed Pocket Points in 2014. Both developers were studying at California State University when they got the idea to create this platform.

This application compensates students when they do not use their smartphones while attending the class. Students need to open the Pocket Points app, lock their devices, and study.

That’s how points start accumulating and users can use those points to get discount deals. Many users thought this app was a scam.

They downloaded it only to test whether it is real or not. Users followed the method to generate points and get some discounts. It worked and thus Pocket Points became one of the popular apps in schools and colleges.

This application was pretty unique because it was not keeping students away from their studies. It impressed parents and teachers, who could not do anything to keep phones turned off during classes.

Pocket Points’ reward system was helping students save their pocket money on foods and other items. Therefore, they used it and its popularity grew pretty rapidly.

Since this application came up with a unique business model, it raised $1.5 million in funding. Developers have raised the total funding in 3 rounds and improved their working mechanism over time to make more profit.

It was one of the most famous apps on college campuses after its launch!

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Pocket Points History

Richardson observed that students do not pay attention when they attend classes. It was troubling him because students were affecting their careers by using phones during classes.

He wanted to resolve this problem by allowing professors to reward good students. Both developers thought it will work. Professors gave negative feedback and they had to drop the idea of involving instructors.

Teachers and professors wanted to have the full attention of students. They were not ready to manage the additional responsibility of recognizing dedicated students and rewarding them. 

Gardner and Richardson did extensive research on what sort of incentives encourage students to do things they don’t like.

They found that food-related discounts were the most motivating factors. Most students wanted to have additional discounts on food bills to enjoy delicious meals.

Pocket Points developers decided to reward discount points on food items from certain restaurants. They choose popular restaurants and food outlets located near schools.

They rewarded Pocket Points for not using the mobile device. Students could use those points to get expensive meals at discounted rates.

It quickly became students’ favorite app in many schools and colleges. Teachers and parents loved the solution this app provided to improve students’ performance in schools and colleges.

How Does the Pocket Points App Work?

Every person wants to earn some extra money to enjoy the schooling period. Every student does not get ample pocket money to afford expensive food and lavish items.

Therefore, many students join part-time jobs to make money to fulfill their needs. Students, who work and study, do not get enough time to focus on their studies. Many skip classes or stay busy with other jobs. It affects their education and chances of choosing a better career path.

Pocket Points offers a way of eliminating financial troubles. All a student needs to do is focus on his/her studies during class!

Let’s find out how this app works:

For Students

The Pocket Points reward system is mainly designed for students. The goal is to keep students’ phones in their pockets and keep their focus on books. A student can open the app, turn off the phone or set a timer while attending the class.

Once the student switches off or locks the device, he/she should not use it until the class is over. If the user does what this app requires, he or she can gain reward points.

The user can gain more daily reward points by keeping the phone off when inside the school/college campus.

Pocket Points also allows users to earn reward points with friends. Multiple students can collaborate and not use their phones while on campus.

They earn more points per minute and these points can help them gain free food. This app not only offers discounts on food but also provides discount deals on e-commerce platforms.

Students can shortlist products they want to buy and then gain enough Pocket Points to reduce the price of selected items.

For Families

Family members used to spend a lot of time together when there were no smartphones and laptops. These devices have made communication cheaper and easier, but nobody talks!

Do you feel like your children are always busy with their phones? Do you want to change the atmosphere inside the house and spend more quality time with members? Try Pocket Points.

This app rewards families up to 3 points per day if they complete the given challenges. There will be a new challenge every day.

Your family members have to not use the phone for the given number of hours. If you complete the challenge, you can get discount deals on many impressive items.

For Teachers

Teachers and professors feel humiliated when their students are using their phones instead of paying attention in class. Instructors have tried all sorts of threats, but nothing works when the young generation decides to rebel.

Pocket Points is an excellent solution for this problem. Students know that their food and other items can get cheaper if they earn extra reward points. Teachers can take advantage of this need.

They have to sign up for Pocket Points and create a custom reward system for all students. If students keep their phones off and pay attention in class, they can earn extra rewards.

These rewards significantly reduce the cost of food items and products sold on e-commerce platforms. Therefore, most students want to gain more Pocket Points and it is a win-win situation for both teachers and students.

How Does the Pocket Points Application Generate Profit?

Pocket Points is a free application. Students across the country demand this app because it encourages them for studies and rewards discount points.

This application is helping teachers, students, and their families by keeping students focused on their studies. Since it’s a free app, how does it make money?

This application reduces the cost of items students buy at selected restaurants and stores. Whenever students visit those stores, they buy more than the discounted product.

As a result, business owners make a profit by emptying their inventories faster. This application takes a small share of the amount students spend on the store.

Many applications follow the same business model to make money. Users do not feel like they are being cheated because they get cost-effective deals. Buyers often spend more than they plan and thus businesses make a profit.

Pocket Points has also become an impressive platform to advertise products. It is offering a special package for businesses.

Some of the leading food and beverage brands chose this platform to find high-quality leads. They succeeded in their marketing goals and gained a lot of active buyers.

Pocket Points makes money by promoting certain brands and businesses. It charges for in-app promotions and also takes a share from purchases made by students. Thus, it generates profit without hurting regular users.

Pocket Points had replaced and removed many discount deals and it faced a huge backlash from students. So, it re-initiated old discount vouchers and deals to entertain regular users.

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Pocket Points Features

Pocket Points was one of a few mobile apps designed to motivate positive behavior. It succeeded because it delivered rewards to make students’ life more comfortable.

It has entertained students from many institutions. Their teachers admired the new change in their behaviors and happily joined Pocket Points to offer more rewards.

The following features make this application popular among users:

No Studies No Points!

Pocket Points relies on geofence technology to ensure students are on the college campus. Once it has confirmed the location, students can open the application and lock their devices.

This application tracks whether the student is in the class or gym. If the student is inside the gym, there will be no reward points. The student must be inside the academic building to earn reward points for discounted deals.

A chance to earn several points a day

This platform is rewarding one point every 20 minutes. Students first open the application after reaching the academic building and lock their phones using this app.

The earning begins as you attend the class and keep the phone away. Reward point rates can switch from time to time, but you will earn enough points to get significant discount deals.

It encourages students to add more users

The Pocket Points application rewards points faster when numerous users are using this app on the school/college campus. Every student wants to earn more points to save his/her pocket money.

Therefore, they work hard to add more students and encourage them to keep their phones locked.

Multiple Discount Deals

Users can check what type of discount offers is available on the application. They can set a goal and keep the phone locked to gain the required number of points.

All discount deals are offered for buying products from local businesses. Thus, Pocket Points promote the use of local products over branded products.

Check the “Gift Page” and you can discover many appealing deals on products offered by big brands. There is a leaderboard that reveals the name of students who rarely use their smartphones during classes.


Pocket Points is helping students, teachers, parents, institutions, and businesses achieve their goals faster. It has shown a path to keep students engaged in their books. It reduced the on-campus use of smartphones and that’s a major relief for teachers.

Students got appealing rewards for their efforts. They gained knowledge and freebies from local merchants. Therefore, Pocket Points got numerous positive reviews from users.