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Loyalty Program Design: Pick the Right Type for Your Business

Points, visits, or tiers — which loyalty model fits your operation, and how to configure it without over-engineering.

Last updated: 7 min read

Eatsy supports three loyalty program types. Picking the right one matters more than the configuration tweaks — a points-based program forced on a counter-heavy taquería rarely takes off, while a visits-based program in a fine-dining spot feels cheap. Match the model to the operation.

The three types

Points-based. Customers earn 1 point per dollar spent. Redeem at thresholds (e.g., 100 points = $5 off, 250 points = free entree). Best for: operations with average tickets above $20, where customers think in dollars and want flexibility on what to redeem for.

Visits-based. Classic punch card, modernized. 10 visits = free item. Best for: counter-heavy operations with low average tickets ($8–18) where customers come frequently. Taquerías, coffee shops, casual lunch spots.

Tiered spend. Bronze ($0–199 lifetime), Silver ($200–499), Gold ($500+). Each tier unlocks perks (free delivery, early access to specials, monthly free dessert). Best for: full-service restaurants, sports bars, and anyone with a loyal regular base who'd appreciate status.

You can change later

You can switch program types after launch. Existing customers' loyalty status carries over (e.g., a customer with 47 points becomes a "Bronze tier" customer). Don't agonize over this for weeks.

How to choose: 3 questions

1. What's your average ticket?

  • Under $15 → visits-based usually wins
  • $15–35 → points-based fits most operations
  • Over $35 → tiered spend is more impressive to the customer

2. How often does your average customer visit?

  • Daily/weekly → visits-based makes the math obvious
  • Monthly → points or tiers
  • Quarterly or rarer → tiers (visits-based feels glacial)

3. Do you want loyalty to drive trade-ups (bigger orders) or frequency (more visits)?

  • Trade-ups → points (customers spend more to redeem faster)
  • Frequency → visits (each visit counts equally regardless of spend)

Configuration steps

  1. Pick your program type in the dashboard

    Marketing → Loyalty → Program → Type. Choose Points, Visits, or Tiered.

  2. Set your earning rate

    Points: typically 1 point per $1 spent. Some operators do 1 per $0.50 to make redemption feel faster. Visits: typically 1 visit counts regardless of spend. Some require a $10 minimum to count. Tiers: spend thresholds — defaults are reasonable for most operations.

  3. Set your redemption rewards

    For points: 100 pts = $5 off, 250 pts = free entree, 500 pts = free meal. Pick 3–5 reward tiers so customers always have a near-term goal. For visits: simple — every Nth visit unlocks a reward. For tiers: pick perks per tier. Free delivery, % off, free side, early access to specials.

  4. Configure WhatsApp + email triggers

    Welcome series (after first order), tier-up celebration, win-back at 30/60/90 days, birthday rewards. EatsyAI writes the copy. You approve.

  5. Launch with a soft announcement

    Tell your existing customers the new program is live. WhatsApp blast (if opted in) and email blast. Customers' historical orders count retroactively if you turn that setting on (most do).

What not to do

  • Don't over-engineer. 5 reward tiers, not 15. Customers can't track 15.
  • Don't make it impossible to redeem. If your "free entree" requires $300 of spend, no one redeems and the program dies.
  • Don't forget WhatsApp. Hispanic customers respond to WhatsApp 3:1 over email. If you don't enable it, you're leaving 60–70% of redemption volume on the table.
  • Don't give up at week 2. Loyalty programs take 60–90 days to hit their stride. Most second-month metrics look weak; third-month metrics look great.

See also: WhatsApp Campaigns, Win-Back Automation.