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3 Steps to Build the Best Loyalty Program

Updated over a week ago

Introduction

A strong loyalty program doesn’t just reward customers, it builds long-term engagement and brand love. In this guide, we’ll walk you through 3 key steps with practical tips to set up an effective Loloyal points program.


Step 1: Set up multiple ways for customers to earn points

The most successful loyalty programs make it easy and exciting for customers to participate. With Loloyal, you can create several earning opportunities by navigating to:
Program > Points > Earn Points > Add ways to earn points

Here are some popular actions you can reward:

  • Signing up for your program

  • Sharing their birthday 🎂

  • Making a purchase 🛒

  • Engaging with your brand on social media

  • And more!

💡 Loloyal Pro Tip: Choose earning actions that fit your customers’ behaviors and motivations. The more relevant the actions, the more likely customers are to keep engaging.

It’s also important to set a balanced points structure:

  • Too few points: Customers may feel under-rewarded and lose interest.

  • Too many points for small actions: The program can quickly become unsustainable.

Use this earning guide to strike the right balance:

Rule

Recommended Earning Limit

Recommended Points

Sign up

Once per lifetime

200

Celebrate a birthday

Once per year

200

Place an order

No limit

1 point per 1 unit of currency spent

Leave a review

No limit

100 points per review, plus an extra 100 points when photos or a video are included.

Follow on Instagram

Once per lifetime

100

Follow on TikTok

Once per lifetime

100

Share on Facebook

Once per month

50


Step 2: Diversify the ways customers can redeem points

Earning points is fun, but redeeming them is where the real excitement happens. The more flexible your rewards, the more satisfied your customers will be. Set up rewards by going to:
Program > Points > Redeem Points > Add ways to redeem

Reward options include:

  • Fixed discounts (e.g., $5 off)

  • Percentage discounts (e.g., 10% off)

  • Free products (available on Starter Plan & above)

  • Free shipping (available on Starter Plan & above)

💡 Loloyal Pro Tip: Think about what motivates your customers most—whether that’s discounts, freebies, or perks—and design your rewards to match their expectations.

When assigning point values, keep it simple. Customers should instantly see the value. A good standard ratio is:
100 points = $1 reward value

Check out this guide to keep your redemption system straightforward:

Reward

Recommended Points Cost

$5 off coupon

500

$10 off coupon

1,000

$25 off coupon

2,500


Step 3: Customize your program’s branding

Your loyalty program should feel like a natural extension of your brand. With Loloyal’s customer panel, you can tailor the look and feel by customizing:

  • Theme colors

  • Panel design

  • Launcher style

✨ Personal touches go a long way! Add your logo, brand photography, and unique names for your program or currency to make it memorable and recognizable.

You can also emphasize your program's branding by including it in more areas of your customer experience, including:

  • A dedicated program page

  • Your store's navigation bar

  • Store homepage banner or call-to-action

  • Email marketing

💡 Loloyal Pro Tip: A consistent, on-brand experience builds trust and keeps customers coming back.


By following these three steps—earning variety, reward flexibility, and brand customization—you’ll create a Loloyal points program that customers love to use, and that strengthens your relationship with them over time.

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