Recommendations for creating Loyalty Rewards
Here are Marsello's top tips and recommendations to keep in mind when creating loyalty rewards. These recommendations include creative reward titles, the dollar-spend rule, adding terms and conditions, and can be applied to each reward in your loyalty program!
View the different types of loyalty rewards you can create here.
In this article:
- Get creative with your rewards titles
- Use the 10% of dollar spend rule
- Add terms and conditions to your rewards
- Create a rewards ladder
Get creative with your rewards titles
Add variety to your reward titles to create interest in redeeming your rewards. For example:
Use the '10% of dollar spend' rule
When choosing your points to redeem amount, it is recommended that you use the '10% of dollar spend' rule, e.g. your reward discount amount is 10% of the spend required to earn this number of points.
For example if $1 spend = 1 point:
- $5 off – 50 points
- $25 off your next purchase – 250 points
- 50% off 🎉 – 500 points
Or if $1 spend = 2 points:
- $5 off – 100 points
- $25 off your next purchase – 500 points
- 50% off 🎉 – 1000 points
Add terms and conditions to your rewards
When creating loyalty rewards, it’s important to be sure you also include the relevant terms and conditions. Whether it's to encourage fair use or protect your store, outlining exactly how and when your rewards can be redeemed to ensure that your rewards are used as you intend them to be used.
Common terms and conditions:
- Not available in conjunction with any other offer
- In-store only
- Online only
Create a rewards ladder
Create three or more rewards to encourage customers to earn more and more points to spend on your rewards. A rewards ladder gives your customers more flexibility to choose which rewards they would like to earn points toward and redeem. Loyalty programs with 3 - 5 rewards show better results than those with 1 reward, e.g. their customers are more engaged with their loyalty programs, their reward redemption statistics are higher, and their average spend is greater. Read more about how your reward ladder works.
💡Top Tip: if you’re stuck for ideas, don’t be afraid to try a few different ideas, see what works the best, and then add some different ones to replace the rewards that aren't performing as well.
You can also check out our Success Stories for some more great ideas!