Configuring Earn and Redemption Rules
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Written by Glenn Lee
Updated over a week ago

Loyalty programs are a fantastic way to reward your customers and encourage them to engage more with your brand. In this article, we will walk you through the various rules you can configure for your loyalty program.

In this article, you’ll learn about:

  • Earning Rules

  • Redemption Rules

  • Optional restrictions for redemptions

  • The impact of VIP Tiers on earn and redemption rules

Earning Rules

1.Join Program

With this rule, customers can earn reward currency (in most instances, merchants opt to call these ‘points’), simply by joining a loyalty program. To join, customers follow the sign-up instructions and when prompted, click on ‘Join & Agree’ in the Floating Widget or Loyalty Page.

Configurable Options

  • Specify reward currency earned, when this action is carried out by customers.

    • Reward currency amounts can be changed at any time. If changed, this will apply to new sign-ups, from that point on.

  • The reward currency can only be earned once per sign-up.

2. Place an Order

With this rule, customers earn reward currency based for every dollar spent. For instance, earn 1 point for each $1 spent.

Configurable Options

  • Specify reward currency earned, for store currency spent.

  • Specify the number of times this rule can be used in a given time frame.

  • Set a wait time before points are awarded. This can be beneficial for the following reasons:

  1. Setting a delay can act as a fraud deterrent. For example, it means that a customer cannot be awarded reward currency, convert them to coupons and then initiate a refund. We recommend aligning the time delay with the store’s return policy.

  2. It may also be easier to view one net transaction, within their transaction log, rather than reward currency coming in and then going out.

Handling Refunds (caused due to cancellations or returns)

In the case of full refunds:

  • Any reward currency earned, is fully revoked

  • Any rewards used are fully returned

In the case of partial refunds of an order:

  • Reward currency earned on orders, that are then partially refunded, are proportionately reduced, based on the relative value of returned items.

  • Rewards used on orders are not automatically returned

An example of how reward currency is redacted for partial refunds is as follows:

Order made with $6 discount coupon applied

Order

Discount Coupon

Reward Currency

Product 1 = $10, Product 2 = $20

Value of discount used = $6

$1 : 1 point

Order value = $30

Order value after discount used = $24

Points awarded for order = 24

Product 1 returned

Value of returned items = $10

(equal to $30 x 33%)

Value of discount associated with returned items = $2

(equal to $6 x 33%)

Points associated with returned items = 8 points

Value of returned items after discounts = $10 - $2 = $8

Points awarded for order after returned items = 24 - 8 = 16 points

3. Write a Review

Reward customers for leaving product reviews on your store. Extra reward currency can be awarded for using a social login or providing additional User-Generated Content (UGC), such as photos and video.

Configurable Options

  • Specify the reward currency earned by submitting a review, using social login and for adding images and video to the review.

  • Set a maximum reward currency amount that can be earned per order. This places a cap on orders that include multiple products.

  • Define whether reward currency can be awarded once per order or review. This is helpful to encourage customers to leave reviews on all products bought.

4. Share on Facebook

Members earn reward currency by visiting your Facebook store through the Loyalty Widget.

Configurable Options

  • Specify reward currency earned, when this action is carried out by members.

  • Limit the number of times this rule can be earned in a period of time.

  • Preview the page that members will be redirected to, on Facebook.

5. Follow on Instagram

Reward currency is earned when members follow a merchant’s Instagram profile via the Loyalty Widget.

Configurable Options

  • Specify reward currency earned, when this action is carried out by members.

  • Set a limit on how many times this rule can be used in a period of time.

  • Preview the page that members will be redirected to, on Instagram.

6. Follow on Twitter

Points are awarded when members follow your Twitter profile via the Loyalty Widget.

Configurable Options

  • Specify points earned, when this action is carried out by members.

  • Limit the number of times this rule can be earned in a period of time.

  • Preview the page that members will be redirected to, on Twitter.

7. Post on Twitter

Reward currency is earned when members post a link to your store on Twitter via the Loyalty Widget. You can provide suggested Tweet Text for members to use.

​​Configurable Options

  • Specify reward currency earned, when this action is carried out by customers.

  • Limit how many times this rule can be earned in a period of time.

  • Preview your Twitter post.

Redemption Rules

1. Fixed Value Coupon

This rule allows members to redeem fixed value coupons. For example, 100 points can be redeemed for a $10 discount coupon. Merchants can create multiple fixed value coupons (eg $5 off for 50 points, $10 off for 100 points, $20 for 200 points etc) for their members. Fixed Value Coupons provide merchants with some certainty about the real value of discounts given (ie a $5 off coupon will always provide a known discount value to the merchant).

Configurable Options

  • Specify the fixed amount and reward currency required to redeem the reward.

2. Fixed Percentage Coupon

Similar to fixed value coupons, members can redeem points for fixed percentage coupons, such as 100 points for 10% off. Merchants can create multiple percentage coupons (5% off for $50 points, 10% off for 100 points) for their members. A merchant may want to use this coupon type, as they can easily factor discounts into their product margins.

Configurable Options

  • Specify the fixed percentage and reward currency required to redeem the reward.

3. Convert Your Points

This rule allows members to use their points to redeem coupons of variable value. Merchants set the $/points ratio and then members can choose their own discount value, such as 800 points for an $80 coupon or 400 points for a $40 coupon. Merchants may want to provide this rule, to give members control over the size of their reward values.

Configurable Options

  • Specify the reward currency to fixed amount discount ratio. Members can redeem a variable coupon value, based on this ratio.

  • Add minimum and maximum reward currency values, that can be used in any one redemption.

  • Add a minimum purchase amount, that the coupon can be used against. The coupon cannot be used against purchases with a value less than the minimum purchase amount.

⚠️ Things to note

Minimum purchase amounts scale with the points converted. For example:

  • For example, assume this reward is set up at 100 points for $10 ratio, and a minimum purchase amount of $25.

  • If a member chooses to use 200 points for a $20 coupon, then the minimum purchase amount for that coupon is $50.

4. Free Shipping

This rule allows members to redeem for free shipping, up to a maximum shipping amount.

Configurable Options

  • Set a points value to get free shipping, up to a maximum eligible shipping amount (i.e., the highest cost of shipping that can be claimed for free, by this coupon).

Optional restrictions for redemptions

  • Merchants can set a coupon expiry limit in days (that commences from the day the coupon is redeemed). Coupons that have expired cannot be used on orders.

  • Merchants can set a minimum purchase amount (in the store's currency) per order before the coupon can be used.

  • Merchants can restrict coupon usage to one or more collections. This means that the coupon will only be applied to products from these collections on an order. If the order does not have products from the collections specified on the coupon, then it cannot be used.

If you have any specific questions or need further assistance, feel free to reach out to our support team.

The impact of VIP Tiers on earn and redemption rules

If VIP Tiers are enabled, merchants have options to:

  • Select rules applicable to each tier

  • Adjust points earned or redemption values per tier (either by specifying a new value per tier or multiplying base tier values for each tier)

Simply open 'Available on Tiers' section, per rule and adjust.

⚠️ Things to note

  • The ability to adjust points earned or redemption values per tier, does not apply to the Join Program earn rule.

  • Merchants can enter a specific value for a tier and a multiple of base tier values for other tiers, within the same rule.

  • Merchants must use whole numbers, when adjusting points earned or redemption values per tier.

If you have any specific questions or need further assistance, feel free to reach out to our support team.

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