What a loyalty program is for
A loyalty program rewards customers for coming back. Done well it does three things: it gives regulars a reason to choose you, it tells you who your regulars are, and it gives you a way to reach them.
The five common types
| Type | How it works | Good for |
|---|---|---|
| Stamp / punch card | A stamp per visit; a full card earns a reward | Frequent, similar purchases |
| Points | Points per peso, spent on rewards | Varied baskets |
| Cashback | A % of spend back as credit | Price-conscious customers |
| Membership | Paid or free club with perks | Salons, gyms, clinics |
| Tiered VIP | Higher tiers earn more | Rewarding your top spenders |
Not sure? Read stamp card vs points.
Choosing the reward
Pick a reward customers want that costs you little: a drink, a pastry, an add-on. Work out its real cost (ingredients, not menu price). Make the first reward reachable within 4–8 normal visits.
Working out the cost
A ₱45 reward earned after ₱1,500 of spend is a 3% give-back. Most small shops are comfortable between 2% and 5%. Use the loyalty points calculator.
Who owns what
The business decides the value of rewards and the rules. The software calculates and records them. In Selyo, rewards are your promise to your customers; we run the system that keeps track of them.
Launch checklist
- One card, one reward, written in one sentence.
- QR codes printed at the till and on tables.
- Every staff member has their own login and has done a test scan.
- A line staff can say: "Want your first stamp? Just scan this."
- A welcome stamp or welcome points.
- A date in your calendar 30 days out to review the numbers.
The metrics to watch
- New cardholders per week: is the QR working?
- Repeat rate: did cardholders come back? (calculator)
- Redemptions: are rewards reachable?
- Retention by month: are newer customers staying longer? (how to read cohorts)
- Loyalty liability: what unspent points are worth.
After the first month
- Few redemptions → the goal is too far; lower it.
- Lots of redemptions, no change in visits → the reward is too easy, or rewarding people who would come anyway.
- Many sign-ups, few second visits → add a visit-two bonus.
Common mistakes
- Launching every feature at once
- Rewards worth less than the effort
- Staff who don't mention it
- Never looking at the numbers