Configuring Tiered Rewards

Introduction

Welcome to the Tiered Rewards Configuration Guide! 🌟

Tiered rewards offer a VIP-style experience by organizing customers into levels based on activity, loyalty, or purchase history. Each tier provides special benefits and reward multipliers to motivate customers to advance and stay engaged with your brand.

This guide will show you how to set up tiers, configure expirations, define advancement criteria, add bonuses, and preview the customer view on the front end.

Let’s dive in and start building your VIP program!

Step 1 - Access Features

Navigate to the left sidebar and click Features to begin configuring your tier settings.

Step 2 - Open the Tier Program

Inside Advanced Features, locate and click on Tier Program.

Step 3 - Enable & Configure

Click Configure to enable the Tier Program, and proceed to the Configuration screen.

Step 4 - View Tier Expiry Settings

Within the configuration menu, find the section for Tier Expiry.

Step 5 - Set Tier Expiry Duration

Choose the expiry period for your tiers:

• No expiry, or
• 2 to 16 months

Step 6 - Understand Tier Expiry Logic

If a customer enters Tier X today and the expiry is set to 12 months, they will automatically drop to the previous tier after one year unless they re-qualify. Proceed to Tier Setting.

💡 Tip: Use expiry to ensure customers remain consistently engaged.

Step 7 - Configure Tiers

Create each tier you wish to offer (e.g., Bronze, Silver, Gold).

Step 8 - Create a New Tier

Click the + icon in the top-right corner to add a new tier, and define the qualifications for it.

Step 9 - Choose Tier Criteria

Select criteria such as:

• Available points
• Earned coins
• Lifetime value (LTV)

Tiers can be based on points, coins, or spending.

Step 10 - Add Additional Criteria

Basing advancement on:

• Total orders
• Number of referrals
• Custom tags

💡 Tip: Combine multiple criteria for precise segmentation.

Step 11 - Set Spend Thresholds & Bonus Factor

Example:

• Average Order Value = ₹1000
• Set eligibility to ₹1500 LTV
• Define the Bonus Factor, which multiplies points earned at this tie.

Step 12 - Understand the Bonus Factor

The Bonus Factor multiplies all earning rules for customers in this tier. If your earning rule is 1 point per rupee spent and the bonus factor is 1.2, customers will receive 120 coins for every 100 rupees spent. Finalize the configuration by creating the tier.

Step 13 - Configure Additional Bonuses

After creating the tier, click into it to add extra perks such as:

• Birthday bonuses
• Referral bonuses

Ensure the LTV criteria align with tier requirements.

Step 14 - Create Customer Tags

Use the Nectar dashboard to create tags based on:

• RFM
• Order frequency
• Custom filters

These can be used to qualify customers for tiers.

Step 15 - Apply Conditional Triggers

Decide if tier conditions require all conditions or any one condition to be satisfied.

Step 16 - Configure Birthday Bonus

For now, disable the condition toggle. Set a birthday bonus — for example: 100 coins.

Step 17 - Configure Tier Upgrade Rewards

Set up rewards for when customers move from one tier to another (e.g., Tier X → Tier Y).

Example: Reward 200 coins when a customer upgrades from Bronze → Silver. Select the appropriate trigger.

Step 18 - Create a New Tier Trigger

Create a new trigger that awards 200 coins whenever customers upgrade.

Step 19 - Add Trigger Name & Title

Provide a title and description that customers will see when they receive the reward.

Step 20 - Set Tier Benefits and Finalize

In the Tier Benefit section, configure what customers will see on the widget and rewards page — e.g., “Earn 20% extra coins at this tier.”

This is how benefits will appear to customers. Add multiple descriptions if needed and Save your changes.

Step 21 - Repeat for Additional Tiers

Repeat the process to create the rest of your tiers (Silver, Gold, etc.).

Step 22 - View Newly Created Tiers

All new tiers will be displayed in your Tier Program dashboard.

Step 23 - Review Tier Criteria

Check LTV requirements and multipliers — e.g.,

• Silver: ₹2,500 LTV with 1.5× multiplier
• Gold: ₹5,000 LTV with 1.8× multiplier

Step 24 - Configure Bonus Rules

Set bonus rules such as:

• Birthday bonuses
• Referral bonuses
• Order bonus multipliers

Ensure Reward Accuracy - With all settings applied, customers will now receive rewards according to the tier and earning rules you defined.

Step 25 - Preview Configuration

Preview how the configuration will appear to the customer and how they can navigate and understand the rewards. Access the front-end store. For instance, a dummy store with 500 points.

Click on the widget to view the bronze level upgrade path. The widget displays the next attainable level and its description.

Customers can track their progress and determine the additional effort required to reach the next level.

Step 26 - Explore VIP Program Details

The rewards page will show:

• Current tier
• Tier benefits
• VIP program structure

Step 27 - Completion & Next Steps

This concludes the setup of earning rules for tiered rewards. Next, you’ll configure redemption rules for these tiers.

Wrap-Up

Great work! 🎉 You’ve successfully configured a full Tiered Rewards Program in Nector.

You can now:

• Create and customize multiple VIP tiers
• Set expiry periods and progression criteria
• Add birthday, referral, and upgrade bonuses
• Apply multipliers to enhance earnings
• Preview exactly how your customers experience their tier journey

Your personalized tiered program is now ready to boost engagement and loyalty! 💚