Configuring VIP Tiers
G
Written by Glenn Lee
Updated over a week ago

VIP Tiers allow merchants to drive loyalty by incentivizing enrolled members to spend more to obtain a specific program ‘status’ and with it, unlock special rewards and perks. This article will show you how to setup tiers, how enrolled members retain their existing tier or move to higher tiers and what can/cannot be changed once tiers are launched.

In this article, you’ll learn about:

  • Creating and configuring VIP Tiers

  • VIP Tier rules

Creating VIP Tiers

New tiers can be created by going to Loyalty > Configure > Points Rules > VIP Tiers. There is no limit to the number of tiers that can be created, however we recommend between 3-5 tiers in total, to maximize enrolled member interest.

⚠️ NOTE

By default, Okendo creates a base tier. Newly enrolled members will be assigned to this tier, when they join a merchant’s loyalty program.

To create a new tier:

  1. Select the ‘+’ button. Give the new tier a name, by typing in the name text field, at the top of the new tier.

  2. Change the icon, by clicking on the icon next to the name text field. You can also change the icon color, by editing the HEX Color Code

  3. Add a spend requirement limit (in the store’s currency), that when achieved, will move enrolled members into that tier.

  4. View earn points and redeem rewards rule variations enabled for that tier. To edit these, open up each rule under ‘Earn Points’ and ‘Redeem Rewards’. See ‘Rule Variations’ for more information.

  5. Add perks, to provide enrolled members with non-discount rewards (for example, once-off experiences, exclusive offers, first access to new products) and to incentivize tier progress.

NOTE: Perks added to a tier are promoted onsite (via loyalty landing page or loyalty widgets), but are manually tracked and fulfilled by the merchant.

Modify or delete VIP Tiers

A merchant can modify or delete existing VIP Tiers, provided VIP Tiers HAVE NOT been launched. If a merchant wishes to modify or delete VIP Tiers after they have launched, they will need to contact Okendo support.

To modify an existing tier:

  1. Go to Loyalty > Configure > Points Rules > VIP Tiers and select the tier in question.

  2. Modify details as required.

To delete an existing tier:

  1. Go to Loyalty > Configure > Points Rules > VIP Tiers and select the tier in question.

  2. Select the Delete button at the bottom of the tier.

Rule Variations

Once VIP Tiers have been created, rule variations are added to further emphasize the tier hierarchy.

To add rule variations:

  1. Locate the relevant Earn Points rule in Loyalty > Configure > Points Rules > Earn Points or the relevant Redeem Rewards rule in Loyalty > Configure > Points Rules > Redeem Points.

  2. Select the relevant rule and go to the Available on Tiers section.

  3. Place a checkmark against each relevant VIP Tier. The rule will not apply to unchecked VIP Tiers (and therefore enrolled members on those tiers).

  4. Select against each checked tier and select whether to Change Tier Points or Multiply Tier Points for Earn Points rules or Modify Tier Reward or Multiply Tier Rewards for Redeem Reward rules.

    1. Change Tier Points and Modify Tier Reward allow merchants to specify a specific value as part of the rule setup.

    2. Multiply Tier Points and Multiply Tier Rewards allow merchants to use multiples of the base points or discount setup, specified in the rule.

VIP Program Settings

Launching VIP Tiers

VIP Tiers can be launched at the same time as the loyalty program. Alternatively, VIP Tiers may be launched after the loyalty program has launched. In this case, merchants will be provided with a separate 'Launch' button under 'VIP Program' settings.

The Rules of VIP Tiers

Changing VIP Tier configurations

  • Once VIP Tiers are launched, new tiers cannot be added and existing tiers cannot be deleted by the merchant.

    • A tier’s spend requirement also cannot be changed, by the merchant.

    • Perks and rule variations can be changed at any time.

      • These changes will take effect on all actions and redemptions incurred after the change.

    • Merchants should contact Okendo if they wish to modify the number of tiers or spend requirements per tier, after launching their loyalty program.

Who can be assigned to a VIP Tier?

  • As mentioned previously, only enrolled members can be assigned to VIP Tiers. Pending members and customers unknown to Okendo (ie customers who are not enrolled and don’t have ANY points) are never assigned to VIP Tiers.

How is an enrolled member's VIP Tier status determined?

  • An enrolled member's VIP Tier status is determined by their spend.

    • Okendo Loyalty does not support points-based VIP Tiers or any other methods to move member's between VIP Tiers.

    • Spend calculations are determined by the merchant in Okendo Admin > Loyalty > Configure > Settings > General.

  • An enrolled member's spend calculation (either to remain on their existing tier or to progress to a higher) is based on a rolling 12-month period

    • When triggered, Okendo Loyalty will look at purchases activity over the last 12 months (up to program launch or if enabled, program backdate), to determine if an enrolled member stays on their current VIP Tier, progresses to a higher VIP Tier or is demoted to a lower VIP Tier.

    • This is important, as large purchases in the past may fall out of the VIP Tier calculation 'window'.

  • Okendo calculates a enrolled member's VIP Tier, when triggered by the following actions:

    • When an enrolled member makes a purchase.

    • When an enrolled member returns or cancels a purchase. Enrolled members who progressed to a higher VIP Tier due to a returned or cancelled order, may be returned to a lower VIP Tier.

    • At the end of 12 months on the current VIP tier. Okendo Loyalty assesses whether the enrolled member has spent enough over the previous 12 months to remain on the current tier.

  • We plan to add 'lifetime' VIP tier progression in the future.

How long do enrolled member's stay on a VIP Tier?

  • Generally speaking, enrolled members stay on their current VIP tier for at least 12 months (from the date they entered that VIP Tier or for each 12 month anniversary of their entry date), unless they spend enough to progress to a higher VIP Tier or their tier status is manually adjusted by the merchant.

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

Did this answer your question?