--- name: sales-loyalty description: "Designs and manage customer loyalty programs — points, tiers, rewards, referrals, VIP programs, brand communities, retention mechanics. Covers strategy, structure, and implementation across Brevo Loyalty, Smile.io, LoyaltyLion, Yotpo, Stamp.me, Skeepers Brand Communities, and custom-built programs. Use when repeat purchase rate is low, loyalty members not redeeming rewards, unsure which loyalty platform fits, tier structure not motivating upgrades, brand community inactive, or can't prove program ROI. Do NOT use for affiliate/referral programs with commission payouts (use /sales-affiliate-program), email marketing to loyalty members (use /sales-email-marketing), checkout optimization (use /sales-checkout), or Skeepers-specific config (use /sales-skeepers). For Brevo-specific help, use /sales-brevo." argument-hint: "[describe your loyalty program question or goal]" license: MIT version: 1.0.0 tags: [sales, loyalty, retention, rewards] --- # Customer Loyalty Programs Help the user design and manage loyalty programs — from strategy and structure through points/tiers/rewards mechanics, member engagement, and ROI measurement. This skill is tool-agnostic but includes platform-specific guidance for Brevo Loyalty, Smile.io, LoyaltyLion, Yotpo, Stamp.me, and custom-built solutions. ## Step 1 — Gather context If `references/learnings.md` exists, read it first for accumulated knowledge. Ask the user: 1. **What do you need help with?** - A) Program design — creating a new loyalty program from scratch - B) Tool selection — choosing loyalty program software - C) Points & rewards — setting up earning rules and reward catalog - D) Tiers / VIP — designing tier levels and progression - E) Member engagement — increasing participation and redemption - F) Analytics & ROI — measuring program effectiveness - G) Integration — connecting loyalty to e-commerce, CRM, or POS - H) Migration — switching loyalty platforms - I) Something else — describe it 2. **What type of business?** - A) E-commerce / DTC - B) Retail (physical stores) - C) SaaS / subscription - D) Hospitality / restaurants - E) B2B - F) Multi-location / franchise - G) Other 3. **Current loyalty setup?** - A) No program yet — starting from scratch - B) Using Brevo Loyalty - C) Using Smile.io - D) Using LoyaltyLion - E) Using Yotpo - F) Using a custom-built solution - G) Using another platform - H) Have a basic program (punch card, discount codes) but want to upgrade **If the user's request already provides most of this context, skip directly to the relevant step.** Lead with your best-effort answer using reasonable assumptions (stated explicitly), then ask only the most critical 1-2 clarifying questions at the end. ## Step 2 — Strategy and approach ### Loyalty program types | Type | How it works | Best for | Example | |---|---|---|---| | **Points** | Earn points on purchases, redeem for rewards | E-commerce, retail | 1 point per $1 spent, 100 points = $5 off | | **Tiered** | Higher tiers unlock better perks | Brands wanting aspirational status | Silver → Gold → Platinum with increasing benefits | | **Paid / VIP** | Pay for membership with exclusive benefits | Premium brands, Amazon Prime model | $99/year for free shipping + early access | | **Cashback** | Earn store credit on purchases | Price-sensitive customers | 5% back on every purchase | | **Punch card** | Buy X, get 1 free | Cafes, salons, simple retail | Buy 10 coffees, get 1 free | | **Experiential** | Rewards are experiences, not discounts | Luxury brands | Early access, exclusive events, personal styling | ### Program design framework 1. **Define the objective** — retention, AOV increase, purchase frequency, referrals, data collection? 2. **Choose the model** — points, tiers, paid, hybrid? 3. **Set earning rules** — how do customers earn? (purchases, reviews, referrals, social shares, birthdays) 4. **Design rewards** — what can they redeem? (discounts, free products, free shipping, exclusive access, charity donations) 5. **Create tiers** (optional) — 2-4 tiers with clear progression and meaningful benefits at each level 6. **Plan communication** — welcome email, points reminders, tier upgrade notifications, expiry warnings 7. **Measure** — enrollment rate, active rate, redemption rate, incremental revenue ### Points economy design **Earning rules (typical):** - Purchase: 1 point per $1 spent (or 10 points per $1 for psychological effect) - Account creation: 50-100 points (one-time) - Birthday: 50-200 points (annual) - Product review: 25-50 points - Social share/follow: 10-25 points - Referral: 100-500 points **Redemption value:** - Target 5-10% effective discount rate (e.g., 100 points = $5 on a program where you earn 1 point/$1) - Don't make rewards too hard to reach — first reward should be achievable in 2-3 purchases - Offer a mix of reward values ($5, $10, $25, free product, free shipping) ### Tier design - **2-3 tiers is ideal** — more than 4 creates confusion - **Name tiers** — use brand-relevant names, not just Bronze/Silver/Gold - **Clear progression** — spend $X/year or earn X points to reach next tier - **Meaningful benefits** — each tier must feel noticeably better (not just 1% more discount) - **Maintain status** — require annual re-qualification to maintain tier (prevents dormant high-tier members) ## Step 3 — Platform-specific guidance ### In Brevo - **Product**: Brevo Loyalty — full loyalty engine with points, tiers, rewards, vouchers, mobile wallet - **Key concepts**: Programs, Subscriptions (enrolled members), Balances (points), Tiers, Rewards, Vouchers - **API**: Comprehensive REST API for all loyalty operations — program management, subscription enrollment, balance transactions, tier assignment, voucher creation/redemption - **Mobile wallet**: Digital loyalty cards on Apple Wallet / Google Pay (Enterprise only) - **Strength**: Integrated with Brevo's email/SMS/WhatsApp — loyalty events can trigger marketing automation (e.g., tier upgrade → congratulations email, points expiring → reminder SMS) - **Limitation**: Enterprise plan only — not available on Starter/Standard/Professional - **Best for**: Teams already using Brevo for marketing who want integrated loyalty without a separate tool - **Platform skill**: `/sales-brevo` ### In Smile.io - **Product**: Popular loyalty platform for Shopify, BigCommerce, Wix - **Programs**: Points, VIP tiers, referrals — all in one - **Free tier**: Up to 200 monthly orders - **Strength**: Best Shopify integration. Easy setup, good-looking widget. Strong referral program built in. - **Limitation**: Limited customization on lower plans. Advanced analytics on higher tiers only. - **Best for**: Shopify stores wanting a quick, attractive loyalty program ### In LoyaltyLion - **Product**: E-commerce loyalty platform with deep analytics, AI recommendations, and headless API - **Programs**: Points, tiers, custom rewards, referrals, loyalty pages, receipt upload (omnichannel) - **Pricing**: Classic $199/mo (500 orders), Advanced (custom, 4k orders), Plus (custom, 10k+ orders). Free tier via Shopify App Store (very limited). - **Klaviyo**: Elite Master Partner — syncs loyalty data to profiles on Classic, real-time Klaviyo Events (reward claimed, tier upgrade, points expiring) on Advanced add-on or Plus - **API**: Admin API (token/secret auth, 20 req/sec) + Headless API (TypeScript client for custom UIs, Hydrogen reference store) - **Strength**: Advanced analytics and segmentation. Branded loyalty pages built for you. Klaviyo Events for advanced email flows. Headless API for custom storefronts. 100+ integrations including Shopify POS. - **Limitation**: Higher starting price ($199/mo). VIP tiers require Advanced plan. Klaviyo Events require Advanced add-on or Plus. Multi-currency stores may need separate setups. - **Best for**: Mid-market DTC/e-commerce brands on Shopify wanting data-driven loyalty with deep Klaviyo integration - **Platform skill**: `/sales-loyaltylion` ### In Yotpo - **Product**: Part of Yotpo's retention marketing suite (loyalty + reviews + SMS + email) - **Programs**: Points, tiers, referrals, VIP - **Strength**: Combines loyalty with reviews and UGC — customers earn points for reviews, which generates social proof. Unified retention platform. - **Limitation**: Most powerful as a suite — loyalty alone may be expensive. Complex pricing. - **Best for**: E-commerce brands wanting loyalty + reviews + SMS in one platform ### In Stamp.me - **Product**: Digital loyalty card and stamp program - **Programs**: Digital punch cards, points, tiered rewards - **Strength**: Simple and affordable. Mobile-first with digital stamp cards. Good for brick-and-mortar. - **Limitation**: Less sophisticated than full loyalty platforms. Limited e-commerce integrations. - **Best for**: Cafes, restaurants, salons, and small retail with simple loyalty needs ### In Skeepers - **Product**: Skeepers Brand Communities — white-labeled, AI-powered community platform for customer advocates - **Programs**: Community membership, gamification (badges, points, levels), member segmentation - **Strength**: Integrates with Skeepers Verified Reviews and Influencer Marketing — community members become review generators and UGC creators. AI-powered engagement features. White-labeled to match your brand. - **Limitation**: Part of the broader Skeepers UGC suite (~3K EUR/mo) — not available standalone. European focus. - **Best for**: Ecommerce brands already using Skeepers for reviews or influencer marketing who want to build a customer advocate community that drives UGC and reviews - **Platform skill**: `/sales-skeepers` ### Custom-built - **When**: Unique business model, specific integration needs, or very high volume (millions of members) - **Approach**: Build on your database + API layer, or use headless loyalty APIs - **Strength**: Complete control and customization - **Limitation**: Significant development effort, ongoing maintenance - **Best for**: Enterprise with unique requirements or companies where loyalty is a core competitive advantage ## Step 4 — Actionable guidance ### Launch checklist 1. **Design program** — model, earning rules, rewards, tiers (see Step 2) 2. **Choose platform** — based on your e-commerce stack and needs 3. **Configure** — set up program, earning rules, reward catalog, tiers 4. **Design assets** — loyalty page, widget, emails (welcome, points earned, reward available, expiry warning) 5. **Set up automations** — trigger emails/SMS based on loyalty events 6. **Soft launch** — test with a small group, verify points earning and redemption 7. **Promote** — announce vian email, site banner, checkout page, social media 8. **Measure** — track enrollment, engagement, and revenue impact weekly ### Key metrics | Metric | Benchmark | What it tells you | |---|---|---| | Enrollment rate | 20-40% of customers | Program attractiveness | | Active member rate | 40-60% of enrolled | Ongoing engagement | | Redemption rate | 20-40% of points issued | Reward appeal | | Member vs non-member AOV | 15-25% higher | Revenue impact | | Member purchase frequency | 20-40% higher | Retention impact | | Program ROI | 3-5x cost | Overall program value | ## Gotchas 1. **Don't make the first reward unreachable** — if it takes 10 purchases to earn the first reward, most customers will give up. Design the first reward to be achievable in 2-3 purchases. 2. **Don't create too many tiers** — 2-3 tiers with meaningful differences beats 5 tiers with marginal distinctions. Each tier should feel like a real upgrade. 3. **Don't forget expiration communication** — if points expire, you must warn members before expiration (30 days, 7 days, 1 day). Surprise expiration creates angry customers. 4. **Don't discount your way to losses** — if your effective discount rate exceeds your margin, the program loses money. Model the economics before launch (typical target: 5-10% effective discount). 5. **Don't neglect non-purchase engagement** — the best loyalty programs reward reviews, referrals, social engagement, and account actions — not just purchases. This keeps members engaged between purchases. - **Self-improving**: If you discover something not covered here, append it to `references/learnings.md` with today's date. ## Before recommending a specific platform skill This skill covers a strategy domain across many platforms. **Before pointing the user to any specific platform skill** (any `/sales-{platform}` listed in `## Related skills`, e.g., `/sales-mailshake`, `/sales-klaviyo`, `/sales-apollo`), read that platform skill's actual `SKILL.md` first. The 1-line description in `## Related skills` is enough to *identify* a candidate — it's not enough to *commit* to it or to write a prompt that invokes it well. **How to read it:** - If `~/.claude/skills/{skill-name}/SKILL.md` exists locally, `Read` it. - For `sales-*` skills, `WebFetch` directly from this repo: `https://raw.githubusercontent.com/sales-skills/sales/main/skills/{skill-name}/SKILL.md` — e.g., for `sales-mailshake`: `https://raw.githubusercontent.com/sales-skills/sales/main/skills/sales-mailshake/SKILL.md`. - For non-`sales-*` skills (third-party), look up `{org}/{repo}` in `~/.claude/skills/sales-do/references/skill-sources.md` if installed and fetch the same `skills/{skill-name}/SKILL.md` path under that repo. **After reading,** ground your recommendation in something concrete from the SKILL.md (its scope, a sub-flow, its `argument-hint` shape, or a "Do NOT use for..." negative trigger). Align any generated invocation with the platform skill's `argument-hint`. If the platform skill turns out not to fit the user's situation, swap to another or handle the question here directly rather than recommending a poor fit. ## Related skills - `/sales-skeepers` — Skeepers platform help (Brand Communities, Verified Reviews, Influencer Marketing) - `/sales-loyaltylion` — LoyaltyLion platform help (points, tiers, rewards, Klaviyo Events, API) - `/sales-brevo` — Brevo platform help (Brevo Loyalty setup and configuration) - `/sales-affiliate-program` — Affiliate and referral programs with commission payouts - `/sales-email-marketing` — Email communication for loyalty program members - `/sales-checkout` — Checkout optimization (loyalty display at checkout) - `/sales-integration` — Connect loyalty tools with e-commerce and CRM - `/sales-do` — Not sure which skill to use? The router matches any sales objective to the right skill. Install: `npx skills add sales-skills/sales --skill sales-do` ## Examples ### Example 1: Designing a loyalty program for a Shopify store **User says**: "I run a DTC skincare brand on Shopify with $80 AOV. How should I structure a loyalty program?" **Skill does**: Recommends points-based program with 2 tiers. Earning: 1 point/$1 + bonus points for reviews and referrals. Rewards: $5 off (50 points), $15 off (150 points), free mini product (100 points). Tiers: Regular + VIP (spend $500/year for 1.5x points, free shipping, early access). Recommends Smile.io for Shopify. **Result**: Complete program design with economics, platform recommendation, and launch plan ### Example 2: Measuring loyalty program ROI **User says**: "Our loyalty program has been running for 6 months and we're not sure if it's working" **Skill does**: Defines key metrics to pull (member vs non-member AOV, purchase frequency, retention rate, redemption rate). Provides benchmark comparisons. Identifies common issues (low engagement, unreachable rewards, no communication). **Result**: Measurement framework with specific metrics, benchmarks, and optimization recommendations ### Example 3: Setting up Brevo Loyalty with email automation **User says**: "We're on Brevo Enterprise and want to launch a tiered loyalty program with automated emails" **Skill does**: Walks through creating a loyalty program in Brevo → defining tiers and earning rules → setting up reward catalog → building automation journeys triggered by loyalty events (enrollment → welcome, tier upgrade → congratulations, points expiring → reminder) **Result**: Loyalty program configured in Brevo with automated email flows for all key moments ## Troubleshooting ### Low enrollment rate **Symptom**: Less than 10% of customers joining the loyalty program **Cause**: Program not visible enough, value proposition unclear, or signup process too complex **Solution**: 1) Add loyalty callout on homepage, product pages, and checkout. 2) Offer sign-up bonus (50-100 points). 3) Simplify enrollment to 1 click (email only). 4) Show the first achievable reward at signup ("You're 2 purchases away from $5 off!"). ### Members not redeeming rewards **Symptom**: High points issuance but low redemption (< 15%) **Cause**: Rewards not appealing, redemption process too complex, or members forget they have points **Solution**: 1) Survey members on desired rewards. 2) Simplify redemption (1-click at checkout). 3) Send points balance reminders monthly. 4) Add lower-tier rewards that are easier to reach. 5) Show points balance prominently on account page and in emails. ### Program losing money **Symptom**: Loyalty program costs exceed the incremental revenue it generates **Cause**: Effective discount rate too high, or program attracts deal-seekers without increasing loyalty **Solution**: 1) Calculate effective discount rate (total rewards redeemed ÷ total member revenue). 2) If > 10%, reduce earning rate or increase redemption thresholds. 3) Add non-discount rewards (early access, exclusive content). 4) Implement minimum spend for redemption. 5) Segment: compare member lifetime value to non-member — if no difference, the program isn't driving incremental behavior.