Complete Guide to Loyalty Reward Points Program for Shopify stores

Online stores such as Shopify stores are probably the new marketplace for most of the people who have access to the internet and basic knowledge of e-commerce functions. The markets as we know it will always be there but it is probably foolish to think that the spread of e-commerce sites is not affecting everything around us. With these online stores taking on a huge number of masses the importance of loyalty reward points and other such loyalty programs is greater than ever.

There are a lot of direct and indirect reasons why this is happening but probably the clearest and most rational explanation for this would be based on the ease and convenience that e-commerce stores offer us. They basically let us sit in the safety of our homes and deliver the product to us. We can view thousands of products on our mobile phones and read the exact description and reviews from other buyers which is again a feature that is missing while going to the market physically.

While looking at the e-commerce market we see that there is one clear giant that currently holds the monopoly when it comes to online stores and that is Amazon. To compete with this giant, new companies or smaller companies need to pay a lot of attention to the loyalty programs that they roll out.

Before we start talking about the various programs and how to boost them let us try to understand what these loyalty programs actually are.

Understanding eCommerce loyalty programs

The loyalty programs undertaken by eCommerce websites are basically schemes to enhance customer retention and ultimately focus on higher sales. The programs or schemes basically incline the clientele to shop more often and show loyalty to a specific brand. According to experts at muula many eCommerce stores had given up on the concept of customer loyalty but they are being proved wrong gradually. The loyalty of a customer needs to be given importance as it helps build brands and ultimately plays a huge role in the success of your company.

Many companies are still playing by the age-old scheme of offering discounts in various places but this has simply made it even more difficult for companies to retain customers.

Customer Retention Tips

There are some things that are valued in a company much more than the usual drama around high sales. Let’s take you through a run-through of some factors that run parallel to the customer loyalty programs.

Empathy is the new target

These days post coronavirus, the new focus of companies is more on providing proper service to their customers instead of just providing discount codes or concentrating on boosting sales. It is advised to try and talk to your customers and get to know their desires in order to figure out what all should be included in your eCommerce loyalty program. By doing so you will be able to better chalk out a path for the program and to increase the impact of customer relations.

Also, instead of simply concentrating on the brand promotion you should also try promoting video and information that will actually help the customer. By linking such information with your product you will automatically have the attention of your customers in a way that will benefit you in the future.

Show that you actually care

It is easy to take out advertisements and just put out the message that you care but to actually show that you care you will have to indulge in a few activities that will probably be opposed by many people in your company. These activities are basically the ones where you give out free services and products or give them a chance to earn rewards online in order to gain the loyalty of a customer. You may provide free shipping and delivery which can really impact the customer retention percentage and you could also provide some free merchandise on the order of some specific products. This way you can maneuver around the companies that stand in your way by simply showing empathy.

Types of Loyalty Programs


Probably the most common type of loyalty program is the point-based program. It is basically a customer reward program where the customer earns rewards after completing various types of activities. These activities can be anything from putting up your profile picture to writing a review. These points that are collected can be used to make actual purchases by the customer. This is a highly attractive way to make sure that people stay with you longer.


Tiered loyalty programs are probably the customer-favorite when it comes to such programs. This program basically works in a tier system within the eCommerce platform. A customer basically spends money and makes purchases to climb up a tier. Apart from getting benefits, a customer will also be provided a certain tier which works as a status being provided to the person. It also sometimes means that a customer will be liable to earn rewards much more frequently than one from a lower tier. If a customer reaches a high tier then he/she would want to stay in that company and work on the same profile instead of building another one in another company from scratch


Perks are basically simple advantages that are handed out to all the customers or members. The perk programs do not work with points as the benefits are distributed equally to all of them. The perk system is a beautiful way to make sure each and every one of your customers gets a certain perk and therefore has a higher chance to stay loyal to you.

Loyalty programs are a great way to make sure that the customers do not simply go away or lose interest in your business. Making a sale is easy but making another sale to the same customer is not everyone’s piece of cake. You also need to understand that loyalty programs are not the only things that help you retain customers as there are other much simpler and direct things that also matter. The aforementioned points and details will be helpful to you if you are also looking for innovative ways to increase customer retention and ultimately increase your sales.