Loyalty Program: What happens to accumulated stars if I change the program criteria?

[SingleSpeedCafe]

I'm considering changing the parameters of our Loyalty Program from 1 star per visit to 1 star per $5. What will happen to our Customer's existing accumulated stars?

[Andrés · Accepted solution]

Hi @SingleSpeedCafe,

Any stars your customers have already accumulated will not be affected, they'll just be put towards a reward using the new parameters. No stars or rewards already earned will be lost, they'll just have to spend $5+ for any future stars.

For example, if a customer currently has 4/5 stars earned and the reward minimum is bumped to 10, they'll now have 4/10 stars.

I should note if you were to delete your current rewards program, any outstanding stars will be lost and deleted. Outstanding rewards will remain valid until they expire 1 calendar year after being issued.

Learn more about managing your loyalty program in our Support Center.

[dogtownmia]

Just to clarify, if the criteria is changed the stars transfer 1 for 1? In our case, a client earns 1 star for any purchase over $35. We'd like to change it to 1 point for every $5 spent. This would mean that in the new program that $35 (or more) purchase they made would be worth at least 7 stars. I could see how this would cause some issues with our current subscribers. Can you please elaborate. Thank you.  

[pessosices]

@dogtownmia Good Question.

I believe this is how it works:

In your current program you have 1 star for any purchase over $35.
Jim has earned 4 stars so far - he came in and purchased over $35 four times.

You change you program today to be 1 point for every $5 spent.
Jim still keeps his 4 stars, and for his next purchase of $35, he will gain 7 more stars.

You can manually go in and add more stars to people's accounts to make up for "lost stars" but I do not think you have to since you are Changing your program. When you change your prices, you don't go back and ask for more money from people (or give money back if you happen to lower them). And here when you change your program you don't have to go back and give more stars.

Are you changing the reward structure too to devalue the stars?

If yes, you can send a message and make some signs that the program is changing on a certain date and to redeem their stars before then while the value is still higher.

If no, then the stars they earned keep their value, and no harm done! It only makes it easier for them in the future.

Hope this helps!

[steven]

An employee just called saying that a customer had an email from square stating that their loyalty rewards would expire if they didn't use them soon... is there a limit on how long a customer can hold on to their reward points?

[katieand]

Hi @steven - I merged your post here so you can check out Andres' best answer!

[tyler]

The reward is valid for one year starting from the date of issue. I don’t think the points expire?