How to Make the Most Out of Your Loyalty Programme


Thought leadership article by Jolandé Duvenage, CEO of eBucks, the leading multi-partner rewards programme offered by FNB and RMB Private Bank

There’s no doubt that today’s times are tough. Nowadays our wallets and purses are likely to be overstuffed with loyalty programme cards instead of cash.

When you joined all those loyalty programmes you probably had grand visions of redeeming a wealth of rewards and awesome freebies. But months and years down the line, you’ve probably hardly even benefitted from them.

Yet, you continue to carry these cards around, swiping them when you remember, ever hopeful that one day in the future you will get all those fabulous rewards and discounts you were promised. 

The truth of the matter is that if you play your loyalty programmes right, you can actually derive a great deal of benefit from them. 

Below are some tips to help you make the most out of your rewards and loyalty programmes:

Get Rewarded For What You Already Do

When trying to make the most out of any loyalty programme, it’s important to look at your personality and spending habits. It’s always better to use a loyalty programme that works to reward you instead of you having to work to be rewarded.

Opt for a programme that rewards you for the things you’re already doing with or without the loyalty programme, such as buying airtime.

If the loyalty programme requires you to change your personal habits to be rewarded, you’ll probably stop using it after a few short weeks.

[tip title=”moneysmart tip”]A good loyalty programme will provide you with awesome benefits for doing something that’s part of your everyday routine. Therefore seriously consider joining a programme that requires you to change your habits and weigh up the benefits against the “work” required to receive them.[/tip] 

Get Rewarded At More Than One Retailer

It’s worthwhile to note that there are different types of rewards and loyalty programmes. The simplest programme will only allow you to earn and spend your rewards at a single place or retailer. 

Other loyalty programmes allow you to earn reward points from a number of different stores, however points can only be redeemed at one specific retailer.

The best kind of loyalty programme however is one that allows you to earn and spend reward points at multiple retailers, online and on your mobile.

Programmes like this are the best as they provide you with the most opportunities to benefit from the rewards points you’ve earned.

Understand The Fine Print

To get the maximum benefit from your loyalty programme, it’s crucial that you have a solid understanding of the programme’s terms and conditions of use.

These are just some of the questions you should be asking yourself when looking into using a loyalty programme: 

  • How many rewards points do I get for each qualifying rand spent? 
  • Is there a membership fee attached to the programme? 
  • Do my rewards points expire if not used within a specific amount of time? 
  • Am I allowed to pool my rewards points with friends and family, and if so, is there an additional charge for this? 
  • Is there a minimum amount of points I need to accumulate before I’m able to redeem my rewards? 

Once you fully understand how your rewards programme works you can use it to the maximum benefit. 

Work Out The Spend-To-Earn Ratio

Another great way to determine whether or not that loyalty programme is destined to be worth your while is to find out what its spend-to-earn ratio is.

This will show you how many rewards are being spent compared to what’s being earned.

The higher the ratio of spending to earning, the more people are actually using (i.e. spending rewards points) and benefitting from the programme.

A Final Thought

Do some research into the programme you’re interested in, and make sure you opt for a loyalty programme that works with your spending routine. 

By doing this, you’re sure to be enjoying some worthwhile benefits from using the programme.

Have any more tips of how to make the most out of a loyalty programme? Tell us about them in the comments below.


About Author

The moneysmart community is a place for everyone to engage in conversations about not only personal finance matters but lifestyle concerns too.