Creating Loyalty Program Step-by-Step
In this tutorial, you'll see how to create a loyalty program using the dashboard. We're going to set up a complete loyalty workflow with digital wallets, program rules, rewards, automatic notifications, and a sign-up landing page.
Before you start
- How Does It Work?
- Program Details
- Earning Rules
- Loyalty Card Publication
- Customer Cockpits
- Useful Resources
How Does It Work?
The Campaign Manager creates a loyalty program that consists of the following elements:
- Digital loyalty cards represented by unique codes, which shared with end-customers function as digital wallets for points.
- Earning rules that define actions and conditions of assigning new loyalty points to the customer's card.
- Rewards that are exchanged for a particular number of loyalty points.
- Tiers that divide your loyalty program into membership levels. Customers are qualified to a particular tier based on their current score. Each tier can have different rules of earning points and exchanging them for rewards.
- Notifications are optional messages send to end-customers or 3rd party apps. Notifications deliver loyalty cards and automatically notify card owners about new loyalty points or reward redemptions.
- Metadata is a space for your custom attributes. You can assign metadata attributes to the loyalty campaign and to each loyalty tier.
Additionally, this guide shows the following loyalty concepts which you can use after creating the campaign:
- Publications of loyalty cards – we're going to show you how to assign loyalty cards to your end-customers.
- Customer cockpits and their URL addresses – the cockpit is automatically created for each new customer in your account. By sharing its URL, your customers can track their loyalty score, program updates, and exchange points for rewards.
Let's create a complete loyalty workflow step-by-step. To start, go to the Campaigns tab and run the Campaign Manager with the plus.
Choose Create next to the Loyalty Program campaign and add the program name. By default, your program is auto-updated. If you leave auto-update mode on, the campaign will be auto-extended with new cards when the initial batch of loyalty cards runs out.
If you want the codes to follow a predefined pattern, check Advanced code settings and set the syntax.
When ready, go to the next step.
Choose Create earning rule to define the first action that rewards your customers with points. Start from selecting the action that triggers points. You can choose from:
- A customer paid for the order.
- A customer performed a specific action (custom event).
- A customer entered a particular customer segment.
Next, specify the number of points that customers should get when they match the rule. If you choose the Order paid rule (1), you can define a fixed number of points or reward customers proportionally to the total order amount.
Using validation rules you can define additional limits for your customers that will be checked before triggering points. To attach validation rules, select one from the existing sets of rules or create a new set on the spot.
Validation rules can limit the earning rule to specific customer segments, cart structure, or other buying circumstances of your choice. Go here to read more about available validation rules.
When ready, save your earning rule with Done. Add as many earning rules as you want to your campaign. All active rules will be listed in the main Earning rules view.
When all rules are set, go to the next step and prepare your Rewards Catalog.
Select the reward name from the list (1) and define the reward price in points (2). If you didn't prepare your rewards beforehand, click Create new reward (3) instead, and define the new reward on the spot. You can find the detailed Rewards descriptions in this guide.
When you map the reward to a predefined number of loyalty points, confirm with Add reward. All added rewards will be listed in the Rewards Catalog.
Go to the next step to enable Tiers. If you don't want to use the tiers, skip this section.
Tiers are optional membership levels of your loyalty campaign. Setting up tiers is always a three-step process:
Step 1: Adding tiers
Click Add tier and define its details (points range, name, and if needed, custom metadata). Confirm with Save.
You can add as many campaign tiers as you want. Note that each tier needs to cover a different point range.
Step 2: Mapping earning rules
Next, you can define new points mapping to each earning rule. New points assignments will be executed only for the particular tier members. Choose Map earning rules and Add mapping next to the rule you'd like to edit.
The mapping defines a related tier and a multiplier that changes the number of points assigned to the earning rule.
Remember to confirm mapping with Save.
Step 3: Mapping rewards
Click on Map rewards to define new tier-specific reward prices. As a result, customers from different tiers may need a different number of points to get the same reward.
When tiers are ready, go to the next step to set up automatic notifications.
Notifications are optional, automatic messages sent from Voucherify to the end-customers or 3rd party applications. There are three types of loyalty notifications that you can set up in the Campaign Manager.
- Send loyalty program code (digital loyalty card) (1) – notifications will send a message with a unique loyalty card every time you publish (assign) a new card to a customer. There are many ways of publishing cards to your customers, you can learn about them in this short guide and choose the right method for you.
- Loyalty points gained (2) – notification is sent automatically to customers once they get new loyalty points.
- Reward redeemed (3) – customers redeeming their reward triggers the message. You can notify about updated loyalty score, send coupon code, inform about reward details.
Choose which notification you'd like to set up (1,2,3) and configure the message. If you collect marketing permissions from your customers, you can add the required ones to deliver messages. By default, marketing consent verification is disabled for loyalty notifications.
Choose a message channel by enabling its settings.
Then, configure the message details and design the template. If you need help with that, visit our Distribution Guide. Note that you can use more than one channel in each notifications setup.
Using emails or text messages, you can include the following loyalty variables into the message template:
- For sending loyalty codes: voucher code (loyalty card code), voucher value, customer cockpit URL, loyalty card QR code, and barcode.
- For notifying about new points: earning rule (name), earning rule points value, loyalty card code (text, barcode, QR code), customer cockpit URL.
- For notifying about redeemed reward: reward name, reward value, cockpit URL, loyalty card code (text, QR code, barcode).
When the campaign is on, you can manage and track notifications in the Distributions tab.
With notifications ready, go to the next step.
In the last step, you can see the program summary and go back to each section to make edits. When everything is set properly, click Save to confirm the loyalty campaign.
After saving the campaign, Voucherify will show you a campaign dashboard with metrics and stats you can track. Voucherify automatically updates reports to show the on-going program performance.
Loyalty Cards Publication
- Invoke Create Publication API method.
- A dedicated landing page with a subscribe form.
- A web widget placed on your website.
- Manual or automatic distribution via the dashboard.
- Manual publication using Publish button in the detailed loyalty card view.
Be careful while using Distributions and Loyalty Notifications in parallel. If you already set up Notifications that send loyalty cards, choosing the same channel in the distribution settings results in sending the message with the loyalty card code twice.
Each customer with a loyalty card has an individual cockpit with earned points and available rewards. Depending on balance changes, Voucherify will dynamically activate/deactivate particular rewards for a customer. As a result, a customer can exchange earned points for particular rewards.
To visit the customer's cockpit, go to his/her profile and click the cockpit icon.
Redeeming Loyalty Rewards
When a customer collects the required number of points, the reward is automatically published in their cockpit (it's active). Then, they can decide if they want the reward or not by clicking on the respective button.
If a customer chooses to transfer points for a reward, Voucherify updates their points balance. A customer can use the chosen reward during the purchase, which invokes the validation and redemption process noted in the Voucherify dashboard.