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Step 3: Loyalty Program Configuration

Set up your customer loyalty program with point earning rates, tier thresholds, and rewards structure to drive customer retention.

Loyalty Program Overview

The Worxflow loyalty system helps you:

  • Reward repeat customers
  • Increase customer lifetime value
  • Drive specific behaviors
  • Build brand advocates
  • Track customer engagement

Core Configuration

Point Conversion Rate

Define how customers earn points with these key settings:

  • Point Conversion Rate: 1 point for every $1 spent (customizable)
  • Minimum Spend: No minimum purchase required to earn points
  • Points Expiration: Points expire after 1 year (365 days)

Common Configurations:

Business ModelRateExample
Standard1:1$100 service = 100 points
Premium2:1$100 service = 200 points
Budget0.5:1$100 service = 50 points
TieredVariableBased on customer tier

Welcome & Referral Bonuses

Incentivize new customers and referrals with bonus points:

  • Welcome Bonus: 100 points when a new customer joins
  • Referral Bonus: 50 points for each successful customer referral
  • Birthday Bonus: 100 points during the customer's birthday month
  • Review Bonus: 25 points for leaving a service review

Tier Structure

Default Tier Configuration

Worxflow provides four standard tiers:

TierPoints RequiredBenefitsPoint Multiplier
Bronze0Member pricing, Email reminders1.0x
Silver5005% discount, Priority scheduling1.25x
Gold100010% discount, Free inspections1.5x
Platinum200015% discount, VIP perks2.0x

Tier Benefits Examples

Bronze (Entry Level):

  • Points Required: 0 (automatic enrollment)
  • Benefits: Member-only pricing, service reminders, birthday discount, points on every visit
  • Point Earning: Standard 1.0x rate
  • Discount: No discount

Silver (Loyal Customer):

  • Points Required: 500 points
  • Benefits: 5% discount on all services, priority appointment booking, free seasonal checkup
  • Point Earning: Enhanced 1.25x rate
  • Discount: 5% off all services

Gold (VIP):

  • Points Required: 1,000 points
  • Benefits: 10% discount, free loaner vehicle, complimentary car wash, extended warranty on repairs
  • Point Earning: Premium 1.5x rate
  • Discount: 10% off all services

Platinum (Elite):

  • Points Required: 2,000 points
  • Benefits: 15% discount, VIP express service, free annual detail, concierge service, exclusive events
  • Point Earning: Elite 2.0x rate
  • Discount: 15% off all services

Custom Tier Creation

Beyond defaults, create specialized tiers:

Fleet/Commercial Tier

Fleet Partner (5,000 points required)

  • 20% fleet discount on all services
  • Net 30 billing terms
  • Dedicated account manager
  • Priority scheduling for fleet vehicles
  • Requirements: Must have at least 5 vehicles

Subscription Tier

Maintenance Club (No points required)

  • Unlimited oil changes included
  • Free tire rotations
  • 20% discount on parts
  • No appointment needed for basic services
  • Monthly fee: $49.99

Point Redemption Options

Configure how customers can use their accumulated points:

Standard Redemptions

  • $10 Off Service: 100 points (10% return value)
  • Free Oil Change: 500 points ($49.99 value)
  • 50% Off Inspection: 250 points ($44.50 value)

Special Rewards

  • Free Detailing: 1,000 points (available to Gold tier and above)
  • Tire Discount Certificate: 750 points (20% off tire purchase, valid for 90 days)

Database Schema

How Data is Stored

Reward Tiers Information: Each tier contains details like the tier name, points required, benefits list, point multipliers, discount percentages, and settings for visibility and ordering.

Customer Points Tracking: For each customer, the system tracks their current point balance, lifetime points earned, current tier status, points needed for next tier, and history of when they last earned or redeemed points.

UI Component

The loyalty program setup interface provides an easy way to configure your tiers. It comes with four default tiers (Bronze at 0 points, Silver at 500, Gold at 1,000, and Platinum at 2,000 points) along with a standard point rate of 1 point per dollar and a 100-point welcome bonus.

Setup Interface Features

  • Visual tier builder to design your program
  • Easy sliders to set point thresholds
  • Checklist of benefits to assign to each tier
  • Preview showing how customers will see their rewards
  • Point calculator to test different scenarios
  • Comparison table showing all tier benefits side-by-side

Business Strategy

Setting Point Values

Conservative Approach:

  • Lower earn rate (0.5 points per dollar)
  • Higher redemption values
  • Focus on tier benefits

Aggressive Approach:

  • Higher earn rate (2+ points per dollar)
  • Frequent redemption options
  • Quick tier progression

Tier Spacing Strategy

StrategyBronze→SilverSilver→GoldGold→Platinum
Linear500500500
Progressive300500700
Exponential2505001000

Point Expiration Policy

Options:

  • No Expiration: Builds long-term loyalty
  • Annual Reset: Drives yearly engagement
  • Rolling Expiration: Points expire 365 days after earning
  • Tier-Based: Higher tiers get longer expiration

Integration Features

Automatic Point Triggers

Points are automatically awarded for:

  • Service completion
  • Customer referrals
  • Online reviews
  • Birthday month
  • First visit
  • Milestone visits (10th, 25th, etc.)

Marketing Automation

Tier changes trigger:

  • Congratulations email
  • New benefit summary
  • Exclusive offers
  • Tier celebration badge

Reporting Metrics

Track program performance:

  • Enrollment rate
  • Points earned vs. redeemed
  • Tier distribution
  • Revenue per tier
  • Customer lifetime value by tier

Best Practices

DO's

DO: Keep tier names simple and memorable DO: Make first tier achievable quickly DO: Offer tangible benefits at each level DO: Celebrate tier achievements DO: Allow point balance checking easily

DON'Ts

DON'T: Make tiers too difficult to achieve DON'T: Expire points too quickly DON'T: Change tier requirements frequently DON'T: Offer benefits you can't deliver DON'T: Complicate the earning structure

After Configuration

Once loyalty program is set:

  1. Customer Enrollment

    • Automatic for new customers
    • Retroactive for existing customers
    • Welcome bonus applied
  2. Point Tracking

    • Real-time balance updates
    • Transaction history
    • Tier progress visualization
  3. Management Tools

    • Dashboard > Loyalty Program
    • Manual point adjustments
    • Bulk point awards
    • Program analytics

Technical Process

Tier Creation

When you submit your loyalty program configuration, the system creates all your tiers with their point thresholds, benefits, and settings. You'll receive confirmation showing how many tiers were created successfully, and then automatically proceed to Step 4 of the onboarding.

Common Configurations

Auto Repair Standard

  • Point Rate: 1 point per dollar spent
  • Welcome Bonus: 100 points
  • Tiers: Bronze (0), Silver (500), Gold (1000), Platinum (2000)

Quick Lube Model

  • Point Rate: 2 points per dollar (higher rate for lower ticket amounts)
  • Welcome Bonus: 50 points
  • Tiers: Regular (0), Preferred (200), VIP (500)

Dealership Model

  • Point Rate: 0.5 points per dollar (lower rate for higher ticket amounts)
  • Welcome Bonus: 250 points
  • Tiers: Owner (0), Loyal Owner (1000), Elite Owner (5000)

Troubleshooting

IssueCauseSolution
Points not accumulatingProgram disabledEnable in settings
Tiers not showingNo active tiersCreate at least one tier
Wrong tier assignmentPoint calculation errorRecalculate customer points
Benefits not applyingTier misconfigurationVerify tier benefits