Want customers to keep coming back? Connect their spending directly to your rewards. The Credit Points for Purchases flow returns a percentage of each order as loyalty points — like cashback, but with points.

Go to LoyaltyEarning FlowsCredit Points for Purchases to set it up.

Earning flow credit points settings
Earning flow settings for credit points

How the Earning Works

The system uses a percentage of the total purchase (including tax) to calculate points.

1

Get the order total

The system takes the full order amount, including tax.

2

Convert currency if needed

If the order currency differs from your program's default, the system converts it in real time.

3

Apply your ratio

The percentage you set in the earning flow is applied to the total.

4

Round the result

The system rounds the points using the rounding strategy you chose (round up, down, or nearest).

5

Credit the points

The final amount goes straight to the customer's balance.


Choosing the Right Ratio

The ratio is the percentage of each order value converted into points. Set it too high and you eat into margins. Set it too low and customers lose interest.

Example: If your ratio is 5% and a customer spends €100, they earn 5 points.

You also decide how much each point is worth in discounts. For instance, 1 point = €1 discount, or 1 point = €0.50 discount.

Your program uses one ratio for all products, so it needs to balance margin and reward attractiveness across your entire catalog.

Business Type Suggested Ratio Notes
Fashion & Apparel 5%–8% Mid margin allows decent reward value
Grocery & Food 1%–3% Low margins — keep the ratio low to avoid losses
Electronics 0.5%–2% High prices but low margins — reward sparingly
Beauty & Wellness 4%–7% Consumables with decent margin
Subscription Services 5% (or fixed points) Reward fixed renewal or use 5% if only % is available

Translating Points into Rewards

Since points earned = % of order value, define a point-to-currency conversion that keeps rewards attractive without hurting your margins.

Example with 5% ratio (5 points per €100 spent):

  • 1 point = €1 discount → 5 points = €5 off €100 (effectively 5% discount) — generous
  • 1 point = €0.50 discount → 5 points = €2.50 off €100 (effectively 2.5%) — better for margins

Start conservative with your point value. You can always increase it later, but lowering the value of a point frustrates existing customers.

Reward Examples and Thresholds

Reward Type Points Cost Equivalent Value Notes
5% discount on next order 5–8 pts €2.50–€4 (at 1 pt = €0.50) Easy to redeem, encourages frequent orders
Fixed €5 off 10 pts €5 Higher threshold but attractive
15% discount on next order 12–15 pts €7.50–€12 (at avg order) Encourages larger orders

How Returns Work

The earning flow handles returns automatically. If a customer returns part or all of a purchase, the corresponding points are removed from their balance.

The system recalculates per returned item — partial returns only remove the points tied to the returned products, not the entire order.

Example: You set the ratio to 15% with rounding up.

A customer buys three products: - Product A — $100 - Product B — $130 - Product C — $59

Total: $289. Points earned: $289 × 15% = $43.35, rounded up to 44 points.

Two weeks later, the customer returns Product B. The adjustment: -$130 × 15% = -$19.50, rounded to -20 points. The customer now has 24 points.

This applies to returns and full cancellations — both online and in-store.


Adding a Holding Period

Protect your margins by setting a Holding Period. Points stay "on hold" (tracked but not redeemable) for a number of days before moving to the customer's spendable balance.

  • Strategic use — Match the holding period to your return window (e.g., 15 or 30 days)
  • Safety net — If a return happens during the holding period, points are removed before the customer can spend them

Without a holding period, customers could redeem points and then return the purchase — costing you both the discount and the refund.


Tips for Managing Your Points Economy

  • Set a minimum redemption threshold (e.g., 5 points) so customers accumulate before spending
  • Keep points valid for 6–12 months to motivate usage
  • Use push notifications to remind customers of their balance and available rewards
  • Keep bonus points (referrals, social follows) proportional to your purchase ratio — if customers earn 5 points on a €100 order, a 15-point referral bonus feels meaningful

Find best practices on tier configuration in this article.