E-commerce tips
Shopify rewards program: Key info, best apps and detailed setup
By
Emma
on
Table of content
- 1. Understanding Shopify rewards program: Everything you need to know about it
- 2. Key elements of a successful Shopify rewards program
- 3. Top 5 rewards program apps for Shopify
- 4. Step-by-step guide to implementing Shopify rewards program
- 5. Conclusion
Acquiring new customers is difficult and expensive for a Shopify store owner. Did you know, in fact, it can cost anywhere from 6 to 25 times more than retaining an existing one? (HBR.org). But looking on the bright side, loyal customers are gold. They are 5 times more likely to repurchase, 5 times more likely to forgive slip-ups, and 4 times more likely to refer friends to your business (Bain & Company). This is why a smart Shopify rewards program is so crucial, especially heading into 2025.
If you are wondering “Does Shopify have a rewards program?", our answer is both yes and no. In reality, Shopify does not offer a built-in rewards program, but it supports third party loyalty and rewards apps that you can integrate with your store.
In this article, we will cover everything you need to know about the Shopify rewards program, which includes how it works, which key elements make a successful program, top app recommendations, and a step by step tutorial for you to get started.
1. Understanding Shopify rewards program: Everything you need to know about it
1.1 What is a Shopify rewards program?
Shopify rewards program is a strategic tactic designed to encourage customer loyalty and specific actions. It functions by offering incentives when customers engage in behaviors you want to promote, such as:
Making purchases
Writing product reviews
Referring new customers
Engaging with your brand on social media
And more.
These incentives typically take the form of points, discounts, store credits, exclusive access, or other defined perks.
Shopify actually does not have a native rewards program Shopify. If merchants want to create rewards programs on your Shopify stores and use Shopify's native features, you need to do it through an intermediary with some features like Shopify store credit, free gift cards,... Nonetheless, Shopify supports a wide range of third-party rewards apps available in its App Store, which integrate smoothly into your store front and backend.
Rewards programs for Shopify may come in various formats, in which, each designed to motivate different customer behaviors and align with different business goals. It depends upon whether you want to encourage your customers to reorder, increase customer referrals, or reward loyal VIPs.
There are 4 typical types of rewards programs, including: Points-based programs; Tiered VIP programs; Referral programs; Hybrid programs. In detail:
Points-based programs: They offer customers to earn points by actions such as purchasing, reviewing, or sharing on social media.
Tiered VIP programs: They allow customers to unlock better rewards when they reach higher loyalty tiers.
Referral programs: With these models, customers will receive rewards when they refer to friends who make a purchase on your Shopify store.
Hybrid programs: These models combine multiple types for maximizing customers’ engagement.
Shopify actually does not have a native rewards program, you need to use a third-party app.
1.2 Benefits of a Shopify rewards program
So why should store owners integrate the rewards Shopify program? A Shopify loyalty rewards program may bring benefits related to increasing customer retention, boosting sales, enhancing user loyalty and maximizing customer lifetime value and sustainable business growth as well.
Increased customer retention: Shopify customer rewards program provides customers with valuable benefits and incentives, encouraging them to keep engaging with your brand. You can offer some exclusive discounts, early access to your new products or private offers, loyal customers more often to attach and make repeat purchases.
Higher average order values: The best Shopify rewards program may motivate customers to spend more in a single transaction to reach the next reward threshold. For example, you can offer them a $10 reward per one $100 spent on larger purchases, especially with time-limitedness.
The best Shopify rewards program may motivate customers to spend more in a single transaction to reach the next reward threshold.
More repeat purchase: A well-constructed Shopify loyalty rewards program can encourage more repeat purchases by giving customers with some exclusive offers and rewards (VIP experiences, personalized discounts), driving them more likely to pick up your brand for future transactions.
Enhanced customer data collection: A qualified Shopify rewards program support you to collect valuable customer data on buying preferences, patterns and engagement. From that, you can personalize your marketing campaigns and make data-driven decisions on further promotion programs.
Competitive advantage: If you have a well-branded rewards program Shopify, you may stand out in the context of countless ecommerce stores trying to catch customers’ attention.
If your store has a good Shopify rewards program, it will play an important role in supporting your customer retention strategies in 2025 and beyond. According to recent studies, Shopify rewards program systems can bring tangible benefits to ecommerce businesses.
In detail, according to Queue-it, 84% of consumers say that they are more likely to follow a brand that offers a loyalty program. Besides, research conducted by Harvard Business Review has shown that loyalty members may spend up to 18% more than non-members.
More than 70% of consumers are willing to recommend a brand with a good customer loyalty program (Bond Brand Loyalty).
2. Key elements of a successful Shopify rewards program
The best rewards program for Shopify is not only about giving away reward points Shopify, it needs to be thoughtfully structured, deeply integrated into the customer journey, suited with your brand’s value and meet your customer expectations.
In the below content, we explore 5 key elements making a successful Shopify rewards program, both for customer engagement and your long-term profitability.
2.1 A good reward points Shopify earning structure
A well-structured rewards point Shopify program will be one of the key elements making any successful Shopify rewards program in general. It helps you determine how customers interact with your loyalty system and how motivated and connected they feel to engage with your brand.
Your Shopify loyalty rewards program should consider rewarding every touchpoint throughout your customer journey. Some common actions may include:
Creating an account
Following and sharing your brand on social media
Writing some reviews
Celebrating a birthday
It can lead your casual visitors into loyal brand advocates. If your customers have more rewarding and fun experiences, they are more likely to return.
You will build a deeper relationship with customers by these actions while also increasing engagement. For example, 1 point per $1 spent or rewarding 100 welcome points on successful sign-up creates an immediate incentive to join the program, while offering reward points for product reviews can help you effectively build social proof and drive further conversions.
2.2 Tiered reward redemption options
Rewarding redemption is the way that your Shopify loyalty reward program becomes more tangible for your customers. Besides commonly effective incentives like percentage or dollar-based discounts, you may consider offering free products, free shipping, even early access to new collections, exclusive product drops or private sales events.
You may also introduce experience-based rewards like events or virtual consultations to your customers, which create emotional value and enhance brand loyalty.
It is a fact that offering a tiered redemption system can encourage long-term participation. You need to align your reward offerings with customer preferences and perceived value. From that, your Shopify loyalty reward program not only has good engagements from customers, it also creates such a deeper emotional connection and brand loyalty.
2.3 Balanced point valuation & profit strategy
One of the next key elements making your successful Shopify rewards program is to balance between your customer satisfaction and your business profitability. You are able to start with a clear point-to-currency value ratio, for example, 100 points equaling $5, helping your customers easily understand and use their points effectively.
While making your customer feel excited about the point value or redemption options, you need to remain within a cost range preserving your profit margins.
You should also consider installing safeguards such as point expiration periods, minimum redemption thresholds to prevent long-term liability buildup. Besides, you should seriously analyze your average order value and purchase frequency of customers to calculate or evaluate how quickly customers can accumulate and redeem points.
Remember that your Shopify rewards program should be attractive and generous, but it can not be a financial burden. Therefore, your periodic performance reviews and adjustments based on data insights may help you choose the right way to deliver value for business and its customers over time as well.
2.4. A strong branded & seamless UX Shopify rewards program
It can not be denied that branding and user experience (UX) play important roles in how your Shopify rewards program is successfully adopted by customers. If you get a well-branded program, your overall brand narrative will also be enhanced.
At the beginning, you can give your Shopify loyalty rewards program a memorable and unique name that is consistent with your brand voice, such as Koin Cashback & Store Credit, or something custom that ties into your store’s product or theme.
Additionally, you need to ensure that your seamless interface is mobile-friendly and easy to navigate ensures customers know how to earn and redeem rewards without confusion.
If you know how to embed your Rewards point Shopify within the shopping experience of customers, such as showing points earned in the cart or at checkout, you will boost visibility and reinforce your program’s value.
An example of embedding your Rewards point Shopify within the shopping experience that you may consider.
In short, a great UX combined with strong branding not only helps you attract users, but also keeps them engaged over time.
2.5 Effective communication strategies
Your Shopify rewards program cannot truly thrive if your customers are not fully aware of how it works or the exciting benefits it offers. This is precisely why a proactive and effective communication strategy is an absolutely critical element for success.
You should prepare a strategic communication plan that includes multiple touchpoints and channels to ensure your customers are fully informed and motivated to take action. An automated email to welcome new members, reward balances notifications, or a caution for your customer to upcoming expirations or exclusive promotions, are some recommendations from us to help you have a strategic communication plan.
Besides, on-site banners or in-app messages can help you effectively promote your customers' earning opportunities during the shopping experience, such as double point events or bonus rewards for leaving a review.
3. Top 5 rewards program apps for Shopify
Shopify rewards and loyalty apps offer a range of features such as creating points-based systems, referral programs, personalized incentives or tiered rewards that help you install, manage and measure the effectiveness of these loyalty programs in your store.
In this section, we will cover the top 5 Shopify rewards program apps for 2025, including detailed information about their features, pricing plans, ratings and how to make them fit into your store.
3.1 Quick comparison among Shopify rewards program apps
To help you easily understand our top 5 recommended Shopify rewards program apps, we create a table that has a quick comparison among them below:
App | Feature | Pricing | Ideal for |
|---|---|---|---|
Points, referrals, VIP tiers, integrations with major apps | Free plan available; Paid from $49+/month | Small to medium stores | |
Points, referrals, VIP tiers, popup widgets, multilingual support | Free plan available; Paid from $25/month | All Shopify store sizes | |
Reviews, referrals, SMS, and subscription integrations | Free plan available; Paid from $199/month | Omni-channel and subscription-based brands | |
Unlimited members, branded widgets, VIP tiers | Free plan available; Paid from $49–$499/month | Growing and scalable stores | |
Customizable rewards, time-limited offers, referral & tier programs | Free plan available; Paid from $29 to $299/month | Budget-conscious and mid-sized Shopify stores |
The table shows the key differences among 5 Shopify rewards program apps.
As you can see, each of these apps can provide Shopify store owners unique features, which fit to differing business needs and sizes.
3.2 Five Shopify rewards program apps in detail for your consideration
We will show you 5 Shopify rewards program apps in detail to help you make the right choice and how to set it up in our step-by-step guide in the next section as well.
3.2.1 Smile.io
The table shows the key differences among 5 Shopify rewards program apps.
💎 Built for Shopify
Rating : 4.8 🌟(6.955 reviews)
Smile.io is a loyalty, referrals and VIP rewards program app, helping boost sales, repeat purchase, save your acquisition costs, and enhance your brand loyalty as well. Smile.io possesses some nice features which can be mentioned below:
Points-based loyalty program: It allows your customers to earn points in various ways, including signing up, finishing an order, referring a new customer and having activities on social media (Instagram, Facebook, TikTok) such as following, sharing.
Different reward types: It offers your customer Shopify rewards to be loyal customers with an amount discount (such as $10), percentage discount or free delivery.
Referral program: Smile.io lets customers earn reward points Shopify by referring their friends and family to your store.
Integration: You can integrate Smile with your favorite tools like Klaviyo, Gorgias, and 25+ others
About pricing, Smile.io offers 4 plans for Shopify store owners:
Free: Up to 200 monthly orders
Starter $49/month: Up to 500 monthly orders + additional features
Growth $199/month: Up to 2,500 monthly orders + additional features
Plus - $999/month: Up to 7,500 monthly orders + additional features
Smile.io is suitable for small to medium-sized stores. It does not require coding and has a team of experts who are always ready to support you from technical questions to rewards and loyalty best practices.
3.2.2 BON Loyalty
The table shows the key differences among 5 Shopify rewards program apps.
Rating : 4.9 🌟(1.953 reviews)
BON Loyalty is a combination app including the possibility to create loyalty and referral programs, which is ideal for encouraging people to be returning customers and be willing to recommend your store to their friends and family.
You can get some outstanding benefits from BON Loyalty with its features:
Points-based loyalty program: This app allows your customers to earn reward points Shopify by creating an account, completing an order, or choosing to subscribe to your newsletter and following your store on social media as well.
Various reward types: It offers customers rewards for being loyal customers such as amount discount, percentage discount or a free product.
Customizable widgets: You can customize the widgets you place on your store to encourage customers to join your program. They may be icons, additions to product pages, and loyalty pages.
Referral program: Your customer will earn Reward points Shopify by referring their friend or family to your store.
Integration: You can integrate your programs to every customer touchpoint: product pages, homepage, checkout.
Global expansion: BON Loyalty can globally expand with 250+ languages and multi-currency discounts
About pricing plans, BON Loyalty offers 4 ones ranging from free to $349/m, which include:
Free
Basic $25/month
Growth $99/month
Professional $349/month
BON Loyalty is ideal for all Shopify store sizes. Whether your store is a small shop or a large enterprise, BON Loyalty can help you manage loyalty programs easily.
3.2.3 Yotpo Loyalty & Rewards Referral
This app is suitable for omni-channel and subscription-based brands.
Rating : 4.7 🌟(2.631 reviews)
Yotpo Loyalty & Rewards Referral app allows you to set up an ideal loyalty program with the following outstanding features:
Points-based loyalty program: Like other apps, Yotpo Loyalty & Rewards Referral allows your customers to earn points by basic activities such as signing up, completing an order, referring a new customer and following on social media.
Multiple reward types: Yotpo Loyalty & Rewards Referral has many customers rewards for being loyal customers. They can be mentioned as amount discount, percentage discount or free delivery.
Referral program: Yotpo Loyalty & Rewards Referral also lets your customer get points or discounts in rewards programs by introducing your store to their friends and family.
In addition, the paid plan also allows your customer to redeem their rewards at the checkout. A potential drawback of Yotpo Loyalty & Rewards Referral you need to consider is that you can not manage it directly in your Shopify dashboard. You must open a new window where you manage it instead.
Yotpo Loyalty & Rewards Referral has two pricing plans, including:
Free: Up to 100 orders a month
Gold $199/month: Up to 500 orders a month + $0.20 for each additional order
This app is suitable for omni-channel and subscription-based brands due to its seamless integration with Yotpo’s broader ecosystem, including SMS marketing, reviews, and subscription tools.
3.2.4 Rivo Loyalty
Rivo Loyalty provides you with a strong free plan with unlimited members.
Rating : 4.9 🌟(2.553 reviews)
With Rivo Loyalty, you can effectively build a loyal customer program with its nice features below:
Points-based loyalty program: Your customers can get reward points from activities on page such as: signing up, finishing an order, referring a new customer and following on social media.
Unlimited members: Rivo Loyalty allows having an unlimited number of members as part of your loyalty program.
Live chat support: Rivo Loyalty is always ready to support you with 24/7 world class live chat.
Integration: This app instantly integrates with your stack. Klaviyo, Gorgias, Postscript, etc.
Besides, you are able to add multiple touchpoints for your program, such as a landing page, and embed it in their account pages with being able to provide VIP tiers and reward expiration dates. One drawback you need to consider is that Rivo will go fullscreen in your dashboard by default.
About pricing plans, Rivo offers four ones, which are:
Free: Up to 200 orders a month
Scale 400 $49/m: Up to 400 orders a month + additional features
Scale 1000 $159/m: Up to 1,000 orders a month + all advanced features
Plus $499/m: Unlimited orders + developer toolkit and custom integrations
Rivo Loyalty is built for growing and scalable stores. The reasons are that Rivo Loyalty provides you with a strong free plan with unlimited members, customizable branded widgets, VIP tiers, and referral program without high cost.
3.2.5 Loloyal: Loyalty Rewards Refer
Loloyal is an ideal option for budget-conscious and mid-sized businesses.
Rating : 4.9 🌟(1.163 reviews)
Loloyal can combine a loyalty and referral program in one app with some features below:
Points-based loyalty program: It allows the same points-based loyalty program as others mentioned in this article by signing up, completing an order, referring a new customer and following on social media.
Limited-time offers: It encourages customers to complete their checkout by offering limited-time offers.
Repeat purchases encouragement: Loloyal can help encourage your customers to reorder & CLV by rewarding every order with points & VIP.
Other utilities: It supports POS connect online, offline store data, analytics, and multi-languages.
You should consider a disadvantage of Loloyal dashboard before deciding to choose it. Loloyal dashboard does not feel clean and intuitive. Loloyal offer 4 pricing plans, in detail:
Free: Up to 50 orders a month
Starter $29/month: Up to 1,000 orders a month + additional features
Growth $69/month: Up to 2,000 order a month + additional features
Plus $299/month: Unlimited orders + all features
Loloyal is an ideal option for budget-conscious and mid-sized Shopify stores because it still offers a generous free plan and competitively priced paid tiers as well despite providing strong core features related to referral incentives, time-limited offers and customizable rewards.
4. Step-by-step guide to implementing Shopify rewards program
An actionable guide to set up a Shopify rewards program will help you easily handle every challenge when implementing a rewards program requiring many complex tasks. Here it is:
Step 1: Planning phase - Researching customer preferences
Start by identifying 1-2 clear objectives for your rewards program:
Increase repeat purchases
Boost customer lifetime value
Encourage specific customer actions (reviews, referrals)
Clear goals will help merchants choose the right direction to implement the rewards program as well as the index to evaluate the effectiveness of the rewards program.
After that, you need to conduct some research and rely on existing customer data as well to find out what actually motivates them, such as, free shipping, discounts, store credit or exclusive experiences, etc.
From these insights you can choose the right rewards structure and actions to incentivize.
Step 2: Selection and installation - Choosing the right app and initial configuration
When choosing a Shopify rewards app, focus on these key considerations:
Budget compatibility: Match your investment to expected returns
Essential features: Identify must-haves (points system, store credit options, automation)
Ease of use: Choose an intuitive interface for both you and customers
Integration capabilities: Ensure compatibility with your existing theme and apps
Support quality: Verify the availability of setup assistance and ongoing help
Step 3: Setting up your program
In this part, you need to complete 4 following tasks to set up your Shopify rewards program, including:
Defining point values: Determine how your customers can earn and redeem points towards rewards in your loyalty points program; and then, define point values (e.g., dollars spent = points earned).
Creating reward tiers: Design on your own a program’s tier and VIP levels that unlock better rewards over time.
Setting up earning actions: Arrange and configure all eligible point-earning activities for customers, such as purchases, social sharings and followings, product reviews, birthdays.
Configuring redemption options: Set up the rules for redeeming points, including offering percentage-based discounts, cash, free products or exclusive experiences.
Step 4: Promoting your program
Promoting your Shopify rewards program helps your brand connect to customers and make them feel easy to remember. You can try suggested these step below:
Choose a memorable name for your Shopify loyalty rewards program
Pick something catchy to call your currency
Use familiar colors to stylize
Add graphics to your loyalty program
After that, let's create a promotion for your rewards program across channels like social media, emails, banner popups, hanging banners, creating widgets to display right on product pages, and cart pages to boost awareness and signups.
Step 5: Testing and launching
Finally, it is a good way for you to test all your settings in a staging environment to ensure accuracy, clarity and a smooth user experience before going live:
Track enrollment and redemption rates
Gather customer feedback
Make small adjustments as needed
5. Conclusion
In summary, setting up a Shopify rewards program is a strategic plan that you need to carefully consider to boost customer retention, increase average order value, raise engagement, and foster long-term loyalty.
Throughout our article, we explored that Shopify did not support a rewards program as a native one. If you want to create rewards on your Shopify stores and use Shopify’s native features, you need to do it through an intermediary with some features like store credit, free gift cards,... However, Shopify App Store has many third-party apps available which are easily integrated into your store.
We also went through the benefits of a rewards program, key structural elements for a successful one, and how to implement such a program by step-by-step instruction.
No matter what you are choosing a points-based, tiered, referral, or hybrid model, the right apps such as Smile.io, BON Loyalty, or Rivo Loyalty… can help you implement your rewards programs with their outstanding features and flexibility.
And now, it is time for you to turn these insights into action. You can start to plan your program immediately by defining your goals, understanding your customers’ motivations, and choosing the right app that fits your brand. A well-structured rewards strategy is not just about perks, it is also about providing customers with memorable experiences. From that, your possibility to turn your first-time buyers into lifelong fans is more likely higher.
-About Author
Emma C.
As the Chief Marketing Officer at KOIN app, I’m here to build a robust ecosystem by collaping with Shopify apps. Together, we can create seamless integrations that add more value to our shared customers.
KOIN helps merchants retain customers, increase repeat purchases, and drive loyalty by offering cashback and store credit rewards.
📩 Let’s connect! emma@getkoin.io
