Points expiration
IN THIS ARTICLE:
- What are the benefits of point expiration?
- How to set a point expiration date in the Growave app
- Pros and Cons of enabling points expiration
- How does the "Points Expiration" work in Growave?
- Which period should I set up for points expiration?
- What you can do in Growave to ensure that your customers are aware of points' expiration date?
What are the benefits of point expiration?
How to set a point expiration date in the Growave app?
Enable this function and choose the expiration time.
Please be informed about the next conditions:
- If you have set 100 days and after 10 days changed the setting to 50? Then the countdown will continue from the initial activation of this setting.
- If you have set 100 days, disabled the setting, and then reactivated it again, in this case, the countdown will start from the moment the setting was enabled again.
- The expiration date applies to a total amount of points and gets updated every time a customer completes a new activity on your store.
For example, if a customer earns X points, which are about to expire in X days, but one week later he leaves a review (i.e. completes an activity) and earns X more points, he will then have X points in total, which will be expired in another X days, as the expiration date got updated:
1) Customer John earned 1000 points on January 1, 2022.
2) Points Expiration is enabled and the expiration period is set for 365 days.
3) John’s 1000 points will expire on January 1, 2023
4) If John earns 100 points on December 31, 2022, his whole balance (1000 + 100 = 1100 points) will expire on December 31, 2023.
We would recommend you remind your customers about the expiration date. Here you can set the preferred period of time before expiration to your notification:
Pros and Cons of enabling points expiration
- Encourages customers to come back to your store. Without points expiration, customers have no pressing need to earn and redeem points, which might limit the number of repeat purchases and sales overall.
- Keep the brand on top of your customer's mind. Nobody likes losing, and this is exactly how expired points feel. To avoid this, customers will be more likely to remember your brand and their unused loyalty balance to keep participating in your membership program.
- Easier program management. With an expiration policy, you can limit situations where customers with indecently high loyalty scores come into your store to claim dozens of free rewards in one go. Moreover, stagnant high balances make it difficult to differentiate active from dormant users.
- Worsens customers’ experience. If your expiration policy is not well implemented, it might lead to your customers feeling cheated. Loyalty programs should be built with both parties’ interests in mind. Put yourself in their shoes for a moment. Imagine getting an email saying that if you don’t spend points in the next month your points will disappear. I bet that would piss you off a bit.
How does the ‘Points Expiration’ work in Growave?
Which period I should set up for points expiration?
What you can do in Growave to ensure that your customers are aware of points' expiration date?
- Mention the ‘Points expiration’ period and logic in FAQ
- Enable notification about the points expiration date
- You can make double/triple notifications before points expiration using our integration with Klaviyo
- Mention points expiration logic and rules in the Terms& Conditions doc
That's it! Hope it was clear and interesting 🤗 If not, please contact us at support@growave.io or by chat icon in the bottom-right corner and we'll gladly help you with your requests and questions.