Despite several ways to calculate points, one of the simplest is:


  • Take the average monthly revenue per month and decide how much your loyalty marketing budget is. 

=> example - I sell SGD 10,000$ /month => how much of that value do you wish to use for your reward program? 

=> let’s take 5%

=> 5% of SGD. 10,000$. The total reward budget is SGD. 500$


What is the perceived value per point? Formula is 500/10,000 = 0.05 value per point.


=> It means that for every 100 points, you can give out a reward of SGD. 5$


If an item retail price is SGD. 40$ then the points collected are 40 points. Each will represent a value of SGD 0.05 x 40 - SGD. 2$ (or 5% of SGD. 40$).


SGD 1 spend = 1 point or SGD 1 reward = 20 points.


The Success Team will be more than happy to guide you through it and help you to think about the best strategy for your loyalty program.