What is Loyalty Points?
Loyalty points are credits a customer earns on purchases and can later redeem for a discount or a gift, to encourage repeat visits.
Updated
Meaning
English
Loyalty points are credits a customer earns on purchases and can later redeem for a discount or a gift, to encourage repeat visits.
Roman Urdu
Loyalty points woh points hain jo gahak khareedari par kamata hai aur baad me discount ya gift ke liye istemal karta hai, taake woh baar baar aaye.
Also called reward points, loyalty programme, loyalty card.
Example
A bakery gives 1 point for every 100 rupees spent; 100 points are worth 100 rupees off. A family that spends 12,000 rupees a month earns 120 points and uses them at Eid.
How it works
Points work best when the rules are simple enough to explain at the counter in one sentence. The shop decides how many points per rupee, what a point is worth, the minimum to redeem and when points expire. Unredeemed points are a promise the shop owes, so the owner should know their total value at any time.
In Pakistan the customer's mobile number is the natural loyalty card. A WhatsApp message with the balance after each visit reminds customers to come back. Measure the programme: compare what points cost with the repeat sales of members.
In Nafaa
The Loyalty page in Nafaa sets the rules, member levels and points expiry, and shows points outstanding with their rupee value, points given and redeemed by day and branch, each member's history, and manual gifts or corrections.
Related terms
- Discount
A discount is a reduction from the normal selling price, given as a fixed amount or a percentage on an item or a whole bill.
- Average Bill Value
Average bill value is total sales for a period divided by the number of bills, showing how much a customer spends per visit on average.