What are loyalty points?

Loyalty points are a type of currency that a business offers within a loyalty scheme. They can have a monetary value, respected in that particular brand (allow for pay-with-points reward), or be exchangeable for a set of rewards defined in a rewards catalog. The way and rate at which customers earn points is defined by earning rules and points multipliers which can differ between loyalty tiers.

If your are running a point-based loyalty program, you can give points a special name that is in line with your brand. Here are some ideas:

• "Cork" for alcohol-selling businesses.
• "Page" for bookstores.
• "Buttons" for fashion stores.
• "Steps" for fitness apps.

For example, Starbucks calls their points "stars" and airlines often refer to points as "miles" in their frequent flyer programs.

Remember that by giving a special name to your points, you build a cohesive customer experience, and show that your rewards program is part of your brand community experience, not an afterthought.