04. Ways to Redeem Points

Customers redeem their accumulated points for rewards that automatically generate discount codes in Shopify. Everything is configured from Loyalty Plan > Ways to Redeem.

Reward Types

1. Fixed Amount Discount

An exact dollar amount off. For example: $10 off.

2. Percentage Discount

A percentage off the order total. For example: 10% off.

3. Shipping Discount

Free or discounted shipping. You can optionally set a maximum shipping cost covered by the discount.

4. Product Reward

Lets the customer redeem points for a specific product from your store. The discount is calculated dynamically at checkout based on the actual variant price in the cart.

Configuration:

  • Product: The product from your store offered as a reward.
  • Discount percentage: Percentage off the product price (default 100% = free product).

How does it work?

  1. The customer selects the product reward in the panel and chooses the desired variant (size, color, etc.).
  2. A unique, single-use discount code is generated.
  3. The product is automatically added to the customer's cart.
  4. The customer applies the discount code at checkout.
  5. The discount is automatically applied to the variant price in the cart.

The code works with any variant of the product. If the product has variants with different prices, the discount adjusts automatically.

Redemption Methods

Fixed Redemption

The customer pays an exact number of points for the reward. For example: 500 points = $10 off. They just need to have enough points.

Variable Redemption

The customer chooses how many points to use via a slider. More points means a bigger discount.

  • Points step: Minimum increment (e.g., in steps of 10).
  • Value per step: How much money each step is worth (e.g., every 10 points = $1).
  • Maximum points: Upper limit (0 = no limit).

VIP Tier Restrictions

Rewards can be restricted to certain VIP tiers:

  • No restriction: Any member can redeem.
  • Restricted by tier: Only members of the selected tiers can redeem.

Configured within each reward in Loyalty Plan > Ways to Redeem > (select reward).

How Does the Redemption Process Work?

  1. The customer selects a reward in the loyalty panel.
  2. For fixed redemptions, they click "Redeem". For variable redemptions, they choose the amount with the slider. For product rewards, they select the desired variant.
  3. The system verifies the customer has enough points and meets the tier requirements.
  4. Points are consumed in FIFO order (oldest first).
  5. A unique discount code is created in Shopify.
  6. The customer receives the code in the panel and by email (if emails are active).

Unused Rewards

Customers can view their pending rewards (unused codes) in the loyalty panel. Each reward shows:

  • The discount code (with a copy button).
  • The reward details.
  • The expiration date (if applicable).