Siebel Loyalty Administration Guide > Setting Up Siebel Loyalty Programs >

About Loyalty Program Points, Tiers, and Rewards

Loyalty programs give members points for purchases or for other behavior. Members benefit from earning points in these ways:

• Redeeming points for rewards
• Qualifying for tier status
• Using points to pay for some member services

Redeeming Points for Rewards

Members can redeem these points for rewards, such as products. For example, a program can give members frequent flyer miles that they can redeem for airplane flights.

When you define products, you specify how many points members can earn by purchasing the products. You also define how many points the members must redeem to purchase the product.

NOTE:  You can define products for accrual without specifying points. For example, you can create a generic product, such as Flight, to denote any flight activity. You can then use promotions to allocate points based on the member's transactions with the host company.

Qualifying for Tier Status

Members can also qualify for tier statuses, such as Silver Member, Gold Member, or Platinum Member, by earning a specified number of qualifying points in a specified time.

Most loyalty programs give members two types of points:

• Qualifying points. Count toward earning tier status, but cannot be redeemed for rewards.
• Nonqualifying points. Can be redeemed for rewards and do not count toward earning tier status.

Members can only redeem their nonqualifying points.

Using Points to Pay for Some Member Services

You can set up some member services, such as giving gift points and reactivating points, so members can pay for them using cash, points, or a combination of cash or points. For more information, see Setting Prices for Member Services.

Expiration of Points

Points that are given to members might or might not have an expiration date depending on the expiration level defined. The point expiration basis is set at the program level and can be defined at these levels:

• Tier. If the expiration basis field is defined as Tier level, then the expiration date is calculated according to what is specified at the tier level. The expiration date is calculated based on the member's tier.
• Point Type. The expiration basis field can also be defined as Point Type Level. At the point level, point expiration can be based on either:
  • Member account activity
  • A fixed date
  • A fixed period of time

A point's expiration date is usually maintained at the point level, except expiration for dates based on member activity. However, if the expiration level value defined at the program level is set to Tier Level and Expire Points check box is not selected for a tier, then points do not expire for any member who is part of that tier, even if the points are past their expiration date. The points keep their original expiration date, but they do not expire until the member becomes part of a tier that expires points.

If an accrual transaction is canceled, then the points that were given are returned to the original point block. If a point expires, then it is not added back to the point block. An expired point can no longer be used, just as if the member had used it for a redemption award.