LoyaltyCustomer retention
Loyalty points vs discounts: which brings customers back?
13 May 2026 · 3 min read
A discount ends the relationship
Knock 10 percent off and the transaction closes. The customer leaves with no reason to think about you until the next time they happen to be hungry.
Points create an open loop
A balance the customer hasn't spent yet is an unfinished story. Eighty points, twenty more for a free coffee, is a reason to choose you over the place next door.
Make earning visible at the counter
On the review screen, show what they just earned and what they can claim. The moment of earning is the moment of habit forming.
Let branches set their own scheme
A city-centre branch and a suburb branch have different margins. Branch-wise point and discount rules mean each location runs a scheme that actually pays.
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