general, customer loyalty programs tend to be one of two
Cumulative programs, which extend rewards whenever
a defined ‘threshold’ is reached, such as ‘receive
a 20% discount for every $100 purchased’; or
Immediate programs, in which the customer receives
benefits with every purchase, such as 5% off every purchase.
‘Immediate’ programs are easier
to manage because there’s no need to verify
the customer’s purchase history in case of disputes.
enables a store to offer different loyalty programs simultaneously,
each of which can have its own incentives. For example,
you can have programs for both a ‘Classics Reading Group’ program and
a ‘Women’s Studies’ program.
only membership type can be used in a given transaction,
so we recommend that programs be defined broadly, to minimize
customers having to maintain several ‘memberships.’
stores will want to have permanent cards for their customers
so that customers don’t have to remember their membership
number(s) and store staff doesn’t have to spend a lot
of time locating customers in the system.
A ‘Cumulative’ Loyalty Program has a ‘triggerpoint’ when
the customer receives a benefit, such as a discount. Until
the triggerpoint is achieved, the customer’s purchases
accrue, e.g., ‘save $10 with every $100 worth of purchases.’
Can be more difficult to manage than Immediate programs
because customers may wish to verify that all of their
purchase have been tracked if it seems to them that they’re
due to receive the program’s benefit.
Discounts can be either a fixed amount, such as ‘$1.00
off’ or a fixed percentage, such as ‘10%’. You can assign
the loyalty benefit to all items sold, or restrict it
to specific Products or Sections.
An ‘Immediate’ Loyalty Program doesn’t have a ‘trigger
point’; instead, the customer receives benefits, such
as a discount, immediately, with every purchase.
Easier for the store to manage, and for customers to use,
than Cumulative programs because tendering immediate benefits
eliminates having to ‘prove’ that enough purchases have
been made to reach a goal.
You can define loyalty discounts to be either a fixed
amount, such as ‘$1.00 off’ or a percentage, such as ‘10%’.
You can assign the loyalty to all items sold, or restrict
it to specific Products or Sections.
If your loyalty program varies substantially from the
two core programs described here, please contact WordStock
Sales, 800-753-9673, to discuss custom programming
as a possible option.
Up Customer Loyalty Programs
What is the name of your loyalty program? ___________________________________________________
Is there an enrollment fee for your loyalty program?
Y ____ N ____ If Yes, what is the fee?
Does membership expire, i.e., must customers purchase
items within a certain time period before accrued credit
Y ____ N ____ If Yes, what is the period
of time? ____________
renewing a membership is part of your program, should
there be a warning that a customer’s membership will expire?
Y ____ N ____
If Yes, how close to the expiration date should
the warning begin to appear? _________________
What Products and/or Sections apply towards earning a
What Products and/or Sections if any, should NOT apply
towards earning a reward when sold? _____________________________________
When a customer earns a reward, should it be delivered
as part of the current sale or the next time they purchase
something from your store?
Now ____ [skip #7 below and go to #8] Next time
Choose a method of delivering rewards to customers:
Gift Certificate ___ Credit Slip ___ Coupon
Is your reward a specific dollar amount, based on a %
of purchases or a specific item, such as a free t-shirt?
Dollar Amt ____ % of Sale____ Item_________________
There’s room on the gift certificate/credit slip/coupon
for a message, such as “You’ve earned 20% off your next
purchase!” Please write the message you want to print
[40 character max]:
CUMULATIVE PROGRAMS ONLY
Does a customer earn a reward based on an accrued dollar
amount spent? Y ____ N ____ If Yes,
what amount $_______
Or is it based on the number of items?
Y ____ N ____ If Yes, what is the number?
Should overages carry over to the next reward cycle? For
example, if your reward is triggered at $100, and a customer
purchases $120, should the extra $20 be rolled over and
included in the next reward cycle?
Y ____ N ____