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A cash- or item-based solution? What's the difference?

Our customer loyalty solutions range from completely cash-spent based to items-bought based solutions, with key differences between how rewards are collected and how they are redeemed.

Cash spent -based loyalty solutions	Items bought -based loyalty solutions
Cash-based systems track the amount of money that was spent and reward customers for spending money, irregardless of how many items they bought. Usually customers are rewarded with points that that they can later redeem themselves.	Item-based loyalty systems track the number of items that the customer bought, reward product purchases and disregarding the amount of actual cash they spend in the store. Also called "frequent buyer programs" Typically reward customers on a buy "x get y for z " scenario - e.g. "Buy 10 get 1 free"

The purpose of both types of programs is to reward customers for making purchases. However the rewards and redemptions may need to be different depending on the situation. We have 3 loyalty programs that span the range from completely cash-based to completely item-based. Simply put, this is how our loyalty programs work:


	Hero Points	Happy Checks	Q-Rewards
The customer collects:	Points	Points	Quantity of items purchased on account
Collected by	Spending cash	Spending cash	Buying individual items
Counted per	Dollars spent	Dollars spent	Items bought
Redeemed for	Dollar or percentage discount, or a gift item	Coupons with a dollar discount	Free or discounted items

CASH SPENT -BASED LOYALTY PROGRAM FEATURES	Hero Points	Happy Checks
Point Collection
Available for Microsoft Dynamics RMS
Available for Dynamics POS 2009
Collect points for cash spent
Collect decimal points
Minimum Purchase – a minimum transaction subtotal before the points can be collected
Point Accelerators - customers can earn points faster in certain circumstances
Welcome Points - customers are automatically given points simply by signing up
Bonus Points - customers get extra points for buying promoted products
Point Redemption
Redeem points for a cash discount at the POS
Redeem points for a percentage discount at the POS
Points are automatically redeemed for direct-mail coupons
Redeem points for gift items
Point and coupon expiration
Maximum discount percentage - the reward cannot be higher than a set percentage of the transaction total
Customer purchase and redemption history tracking

ITEMS BOUGHT -BASED LOYALTY PROGRAM FEATURES	Q-Rewards
Available for Microsoft Dynamics RMS
Fully customizeable rewards redemption schedule
Incentive group based redemption - the customer is rewarded by buying items that belong to the same incentive group
Unlimited incentive groups - have as many reward items and incentive groups as you'd like
Unlimited number of items in incentive groups
Track customer purchases over time
Reporting of purchase and redemption history available - useful for manufacturer-sponsored frequent buyer programs

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No idea where to start?

A cash- or item-based solution? What's the difference?

Cash spent -based loyalty solutions

Items bought -based loyalty solutions

The customer collects:

Collected by

Counted per

Redeemed for

CASH SPENT -BASED LOYALTY PROGRAM FEATURES

ITEMS BOUGHT -BASED LOYALTY PROGRAM FEATURES

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