How to Create a Loyalty Rewards Program For a WooCommerce Store

How to Create a Loyalty Rewards Program For a WooCommerce Store Using Advanced Coupons

Do you want to increase sales and revenue for your WooCommerce Store? You can make use of loyalty rewards points program on your WooCommerce store and increase sales and revenue manifolds. In this article, we will tell you how you can create a loyalty rewards program on your WooCommerce store by making use of a WordPress plugin (without writing a single line of code!)

Let’s explore some of the Reasons Why You Should Start a Loyalty Points Program. 

Loyalty programs encourages customers to come back to your store as they are rewarded in the form of rewards points when they shop for products. This also tends to increase the average spend per customer. 

You can offer rewards points to your customers when they spend over a particular amount (e.g Buy products worth $500 and get this amazing voucher). This also increases the chances of visitors returning to your store.

Let’s proceed further and see how you can create Loyalty rewards points program on your WooCommerce store. 

As we said earlier, you don’t need to hire a developer or learn coding to create a loyalty program for your WooCommerce store. WordPress plugins make our lives easier and one such WordPress plugin that we are going to use to create Loyalty rewards program is Advanced Coupons

For the uninitiated, Advanced Coupons is one of the most popular WordPress plugins for creating coupons, loyalty programs, discount rules and much more for WooCommerce Store.

We will also give you a walkthrough on how to set up Loyalty rewards program on your WooCommerce store by using Advanced Coupons plugin 

Before we proceed further let’s understand the terminology of Loyal customers. 

Loyal customers are those customers who trust your brand /company and come to your store whenever they have to buy products or services that they need. They have a high level of trust in you and so they don’t even go to your competitor’s website to buy particular products. 

Loyal customers are your repeat customers who tend to spend more as compared to new customers. Also, the cost of acquiring a new customer is much more than retaining an existing one and that is why it is important to have a Loyalty program on your WooCommerce store. 

If you focus on customer loyalty then you will certainly see improvements in sales and revenue over time. There are several ways to improve customer loyalty, one of them is having a Loyalty rewards program on your E-Commerce store. 

We have given the different types of elements that form a Loyalty rewards program

Reward points – You can offer reward points to your customers whenever they make a purchase and these reward points can be redeemed for purchasing products, vouchers etc. 

Exclusive discounts – If customers have signed up to your Loyalty rewards program you can offer exclusive discounts to them which are only available to customers who are members of your Loyalty rewards program and are not available for regular shoppers. 

One of the recent study conducted by Wirecard stated that 75% of the shoppers said that they were more likely to make another purchase if they were offered some kind of incentive or reward. 

WooCommerce doesn’t include the functionality so you will need to set up a Loyalty rewards program and that is why we are going to make use of Advanced Coupons WordPress plugin as it will make it super easy to create a Loyalty rewards program on your WooCommerce store. 

Step 1: Buy One of the Premium Plans of Advanced Coupons

Important Pre-requisite

You need to buy one of the Premium plans of Advanced Coupons in order to create a Loyalty rewards Program for your WooCommerce Store

Advanced Coupons offers two plans at the moment Growth and Business Plan. If you own multiple WooCommerce websites then Business plan is ideally suited for you.

Once you have purchased one of their Paid plans (Growth OR Business) depending on your requirement then you will have to create an account with Advanced Coupons , install and activate their plugin

Step 2: Install and Activate Advanced Coupons WordPress Plugin

In case you are new to WordPress and don’t know how to install and activate a WordPress plugin worry not, we have covered the steps below

In order to install the Advanced Coupons plugin follow the below given steps

Navigate to your WordPress dashboard. Go to the Plugins section –> Add New

Adding a New Plugin to WordPress

Once you click on Add New you will come across a screen which contains several plugins. In the search box type “Advanced Coupons” and then you will come across a screen similar to the one shown below.

In our case we had already installed the Plugin and activated it that is the reason it is showing ” Active”. In your case you will see an option of “Install Now” as shown in the above screenshot. Now click on “Install Now” and then Activate the Plugin.

Now that we you have activated the plugin let’s proceed further and look at the actual implementation steps on how to create a loyalty rewards program on your WooCommerce Store by making use of Advanced Coupons WordPress plugin.

Step 3: Enable the Loyalty Program feature from Advanced Coupons

The pre-requisite is that you need to have WooCommerce plugin installed on your WordPress website. Assuming that you already have WooCommerce enabled let’s proceed to the further steps

Navigate to your WordPress dashboard –> Mouseover on WooCommerce –> Settings Tab

When you click on the setting tab you will come across a screen similar to the one shown below.

Make sure that you enable the checkbox which says “Run a loyalty program………..” and then click on Save Changes

Now in the next step you need to configure the Price to points ratio

Step 4: Configure the Price to points Ratio

Click on the Loyalty Program tab (as shown in the below given screenshot)

When you click on Loyalty Program you will come across several settings. Let’s explore them one by one.

This setting determines how many points the customer will earn after spending $1. By default, the price to points earned ratio is 1 which means that the customer earns 1 point after spending $1. You can change it to 20 or 10 depending on your requirement.

Step 5: Configure the Points to Price Ratio

The other setting within this section is “Points to price redeemed ratio”. By default, this is set to be 10 which means that the user needs to spend 10 points to get $1 discount. You should keep these both settings in tandem as they are interrelated.

If you have a look at the above example you will notice that customers will have to redeem 100 points to get $1 discount.

You can use the below given formula in order to get an idea of the relationship between the points and the price.

Formula – Discount (as percent) = ((1/points to price redeemed ratio) * price to points earned ratio) * 100

So if we have to fill in numbers in the above formula let’s take the numbers we can see in the screenshot

i.e Price to points earned ratio – 20 & Points to Price redeemed ratio is 100. So the formula with these actual numbers would look something like

20% = ((1/100) * 20) * 100

You can decide the best numbers for your loyalty program so as to get the maximum profit and keep your customers happy at the same time.

Step 6: Give a Suitable Name to the Reward Points & Set Earning Rules

You need to give a suitable name to the reward points system. This is basically the name which you would want your customers to call you with. Starbucks has named their rewards points system as “Stars”. If you are looking for ideas for your Loyalty Rewards program you can check out this amazing resource

Important Note: You will need the Premium plan of Advanced Coupons in order to create Loyalty Rewards Program and configure all these settings we just discussed in the article.

In this setting you need to give a name to your rewards program. Refer to the below screenshot.

You can think of a name that goes along with your brand image

You will also have to set certain rules about points accumulation and redemption that you want. There are four options which decide how points are calculated.

Discounts – Check this box to apply discounts before calculating the price upon which the customers rewards points will be based.

Tax – Enabling this option will incorporate tax in the price before deciding the reward points the customer will receive

Shipping – If you want you can include the cost of shipping and then determine the points the customer will receive.

Fees – If you have any other associated fees with WooCommerce you can include that in the price so that you can calculate the points the consumer will receive.

The discount and tax will be taken into consideration before points are being rewarded. You can also reward points to the user if they choose to pay shipping / fees.

If the user has discount code you can give them reward points only depending on how much they spend. There are several settings that you can tweak and play around. Below we have gven some scenarios

– The minimum amount the user has to spend to get the reward points.

– Rewarding points to the user when they spend over a specific amount

– Specify when the reward points are going to expire

Besides the above there are few more settings that you can work on. You may want to set the minimum thresholds to determine how much customers to spend in order to start earning and the minimum points allowed for redemption.

Step 7: Customizing the reward points messages

Whenever customers buy something they will come across the message on how many points they would get after making a particular purchase. This is exactly what you need to configure inside the messages setting.

Step 8: Configure the Expiration Settings

You may want to set an expiry date for the reward points. You can create settings such that the reward points will expire after specific amount of time.. If you set an expiry date this will remain on your customer’s mind and they might certainly swipe their cards in order to make a purchase and redeem the reward points.

You can notify your users that their reward points are expiring and they should act fast as the points might expire soon.

Step 9: Specify the Earning Actions

Now the only important thing that you need to do is specify the actions that the customers need to take in order to earn reward points. You can enable which all actions you want the customer to take in order to get the reward points.

You can play around the numbers so as to get a optimum tradeoff between sales and revenue and customer loyalty.

We hope you enjoyed going through this detailed tutorial on how to create a Loyalty rewards program for your WooCommerce Store using the Advanced Coupons Plugin

If you own a WooCommerce Store and are looking to boost your sales and revenue then you should certainly make use of a loyalty rewards program

Buy Advanced Coupons Premium Plan and Create an amazing Loyalty rewards program for your WooCommerce store and boost sales

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