12 Inspiring Loyalty Programs From
Top E-Commerce Brands

What are the e-commerce loyalty programs?

E-commerce loyalty programs reward clients for doing business with a particular brand. The goal: keep them coming back. These programs provide benefits such as discounts, cashback, free shipping, and exclusive offers.

There are several sorts of loyalty programs. Customers get points for every purchase they make with points-based programs. They can use these points to get rewards later. Tiered programs provide greater incentives when users spend more. The higher the tier, the better the benefits.

12 Smart Loyalty Rewards Program Examples

The best e-commerce loyalty programs are:

1. Sephora's Beauty Insider

Sephora's Beauty Insider is a tiered loyalty program designed to reward customers for their purchases. Members get to earn points for every dollar spent, which can be redeemed for products, exclusive experiences, and early access to sales. The program has three tiers: Insider, VIB (Very Important Beauty Insider), and Rouge, each offering increasing benefits based on annual spending.

How Does It Help Customers?

• Earn and Redeem Points : Members earn one point per dollar spent, which can be used for deluxe samples, full-sized products, and exclusive experiences. This lets customers try new products for free, adding value to their purchases.
• Exclusive Perks : Members enjoy birthday gifts, early sale access, and invitations to special events. Higher-tier members get extra benefits like free shipping and exclusive event access.
• Personalised Recommendations :Sephora tailors product suggestions and beauty advice based on customer preferences. It enhances the shopping experience.

How Does It Help the Business in Return?

• Boosts Loyalty and Spending : The tiered system encourages customers to spend more to enjoy better rewards, leading to repeat purchases and higher LTV.
• Customer Insights : The program collects data on shopping habits, helping Sephora personalise marketing and product recommendations, improving sales and customer satisfaction.
• Stronger Brand Engagement :Exclusive events and personalised experiences build an emotional connection with customers, increasing retention and brand advocacy.

2. Starbucks Rewards

Starbucks Rewards is an exceptional loyalty program that allows members to earn "Stars" for each purchase made at Starbucks. All earned Stars can be redeemed for free drinks, food items, and select merchandise. The program also has personalised offers, the ability to order ahead, and a free birthday treat.

How Does It Help Customers?

• Earn and Redeem Stars : Customers earn two Stars per dollar spent using a Starbucks Card or app, which can be redeemed.
• Personalised Offers : Members receive tailored discounts and promotions based on their purchasing habits.
• Convenient Mobile App :The app allows customers to order ahead, customise drinks, and pay seamlessly, reducing wait times.
• Exclusive Promotions & Events :Members enjoy Double Star Days, early access to new products, and special promotions.

How Does It Help the Business in Return?

• Boosts Customer Retention & Spending : The program encourages frequent visits, increasing customer loyalty and transaction value.
• Data-Driven Marketing : Starbucks collects insights on buying habits to refine marketing, inventory, and product development.
• Improved Cash Flow :Customers preloading funds onto Starbucks Cards or the app ensures upfront revenue.
• Competitive Edge :A strong rewards program differentiates Starbucks, making it harder for customers to switch to competitors.

3. Dunkin' Rewards

Dunkin' Rewards is a loyalty program that allows program members to earn points on purchases, which can be redeemed for free beverages and other menu items. The program also offers exclusive deals, birthday rewards, and the ability to order ahead through the Dunkin' app.

How Does It Help Customers?

• Earn and Redeem Points : Members earn 10 points per dollar spent, redeemable for free menu items like MUNCHKINS®, donuts, and coffee.
• Boosted Status : Frequent visitors (12 visits per month) earn 12 points per dollar for three months, accelerating rewards.
• Personalised Offers :Members get exclusive discounts, surprise deals, and birthday bonuses with 3x points on purchases.
• Convenient App Features :The Dunkin' App allows customers to order ahead, customise orders, and track rewards, reducing wait times.

How Does It Help the Business in Return?

• Increases Loyalty and Sales : The tiered system encourages more visits and higher spending per customer.
• Customer Insights : Dunkin' gathers data on preferences to refine promotions, menu choices, and marketing strategies.
• Operational Efficiency :The order-ahead feature speeds up service, reducing queues and boosting sales.

4. IKEA's Family Program

IKEA's Family Program is a free loyalty club that offers members exclusive product discounts, special offers, and access to workshops and events. Members also receive complimentary coffee or tea during store visits and are entered into regular prize draws.

How Does It Help Customers?

• Exclusive Discounts : Members get special pricing on home furnishings, food, and services, helping them save on purchases.
• Free Beverages : Enjoy a complimentary tea or filtered coffee on weekdays during store visits.
• Workshops & Events :Access free sessions offering home improvement tips and design inspiration.
• 90-Day Price Protection :Get a refund if an item’s price drops within 90 days of purchase.
• Buy Back & Resell :Sell back used IKEA furniture for store credit, promoting sustainability.
• Surprise Rewards :Receive birthday treats and other special perks, adding value to membership.

How Does It Help the Business in Return?

• Boosts Customer Loyalty : Perks and personalised experiences encourage repeat visits and long-term engagement.
• Direct Communication : IKEA can promote new products, events, and services directly to members, driving sales.
• Customer Insights :Data on shopping habits helps IKEA refine product offerings and marketing strategies.
• Supports Sustainability :The Buy Back & Resell service aligns with IKEA’s eco-friendly initiatives, enhancing brand reputation.

5. Amazon Prime

Amazon Prime is another paid subscription service offering members benefits such as free shipping and even access to Prime Video and Music, exclusive deals, and more. The program aims to improve the overall shopping and entertainment experience for Amazon customers.

How Does It Help Customers?

• Fast & Free Shipping : Prime members enjoy free next-day and two-day delivery, with same-day options in select areas.
• Exclusive Deals : Access special discounts, including Prime Big Deal Days, for major savings across categories.
• Streaming Services :Get access to thousands of movies and TV shows through Prime Video.
• Additional Perks :Get access to Prime Reading for books and magazines, plus unlimited photo storage with Amazon Photos.

How Does It Help the Business in Return?

• Boosts Customer Loyalty & Spending : Perks encourage members to shop more frequently on Amazon.
• Steady Revenue Stream : The subscription model provides a reliable income source for Amazon’s services and expansion.
• Ecosystem Engagement :More services keep users engaged, increasing retention and lifetime value.
• Competitive Edge :Prime’s extensive benefits make Amazon a preferred shopping destination over competitors.

6. Chipotle Rewards

Chipotle Rewards allows members to earn points for every dollar spent at Chipotle. Collected points can then be redeemed for free menu items. The program also offers personalised challenges, bonus point opportunities, and early access to new menu items.

How Does It Help Customers?

• Earn & Redeem Points : Members get 10 points per $1 spent, which can be exchanged for free food like chips, guac, drinks, and entrées.
• Gamified Challenges : The "Extras" feature lets members complete fun challenges to earn bonus points and badges.
• Exclusive Deals & Surprises :Members enjoy special offers, free food drops, and birthday treats.
• Early Access :Get a first taste of new menu items before they launch to the public.

How Does It Help the Business in Return?

• Boosts Repeat Visits : Rewards encourage customers to return more often, increasing sales.
• Valuable Customer Insights : Chipotle gathers data on preferences to tailor promotions and marketing strategies.
• Stronger Digital Engagement :Gamification features keep customers active on the app and website.
• Enhances Brand Loyalty :Exclusive perks create a sense of community and make Chipotle stand out from competitors.

7. Myntra Insider

Myntra Insider is Myntra's customer loyalty program. It offers a wide range of tiered benefits and privileges for customers. The program rewards members for purchases as well as engagement activities such as browsing new categories.

How Does It Help Customers?

• Early Access to Sales : Members get priority access to sales, securing exclusive deals before the public.
• Exclusive Rewards & Privileges : Enjoy perks like priority support, birthday offers, and VIP experiences.
• Free Shipping :Members get free delivery on all purchases, adding more value.
• Engagement-Based Rewards :Earn benefits not just for purchases but also for browsing, wish-listing, and sharing products, making shopping more rewarding.

How Does It Help the Business in Return?

• Boosts Loyalty & Repeat Purchases : Exclusive perks encourage frequent shopping and long-term engagement.
• Increases Platform Interaction : Rewarding engagement keeps customers active on the Myntra app and website.
• Data-Driven Insights :Myntra collects customer behaviour data to personalise marketing and optimise inventory.
• Competitive Advantage :A well-structured loyalty program helps attract as well as retain customers by offering more than just discounts.

8. Shoppers Stop First Citizen Club

The First Citizen Club is Shoppers Stop's loyalty program offering members exclusive rewards, discounts, and offers. The program has multiple tiers, including Silver Edge, Golden Glow, Platinum Aura, and Black Card, each providing varying levels of benefits.

How Does It Help Customers?

• Exclusive Discounts & Early Access : Members get priority access to sales and new collections, securing deals before others.
• Personalised Offers : Enjoy special birthday deals and customised promotions for a more rewarding shopping experience.
• Tiered Membership Perks :Higher-tier members (Silver Edge, Platinum Aura, Black Card) get enhanced rewards, personal shopper assistance, lounge access, and exclusive event invitations.
• Extended Exchange Period :Members can exchange items within 60 days, offering greater flexibility.

How Does It Help the Business in Return?

• Boosts Customer Loyalty & Repeat Purchases : Exclusive perks encourage members to shop frequently and stay engaged.
• Increases Customer Spending & Engagement : The tiered structure motivates higher spending to unlock better rewards.
• Data-Driven Marketing :Shoppers Stop gains valuable insights into customer preferences, enabling personalised promotions and improved engagement.
• Competitive Edge :A structured loyalty program helps attract and retain customers by offering added value beyond just discounts.

9. Edgard & Cooper’s Loyalty Program

Edgard & Cooper's loyalty program is designed to reward customers for their purchases of pet food products. Members get to collect points for every purchase, which can be redeemed for discounts on future orders.

How Does It Help Customers?

• Earn Points for Engagement : Members collect "Belly Rubs" by making purchases or interacting with the brand, unlocking new reward levels.
• Flexible Reward Choices : Members can redeem points for discounts, donate meals to shelter dogs, or plant trees, aligning with their values.
• Subscription Perks :Subscribers get a 5% discount on every order and continue earning loyalty points, making premium pet food more affordable.

How Does It Help the Business in Return?

• Boosts Customer Loyalty & Repeat Purchases : Meaningful rewards encourage long-term engagement, with nearly 50% of revenue linked to loyalty members.
• Strengthens Brand Reputation : Offering charitable and eco-friendly reward options enhances Edgard & Cooper’s socially responsible image.
• Customer Insights & Personalisation :Loyalty data helps the brand tailor marketing efforts and refine product offerings to meet customer needs.

10. Clevr Blends

Clevr Blends offers a loyalty program that rewards customers for purchasing their superfood latte products. Members collect points for every dollar spent, which translates to discounts on future purchases.

How Does It Help Customers?

• Subscription Discounts : Subscribers get to enjoy a 15% discount on every order, making their favourite beverages more affordable.
• Ambassador Program : Customers can share discount codes with their network and earn commissions, creating a community-driven experience while enjoying financial rewards.

How Does It Help the Business in Return?

• Boosts Customer Loyalty & Sales : The subscription model encourages repeat purchases, while the ambassador program helps attract new customers.
• Valuable Customer Insights : Purchasing data allows Clevr Blends to improve their marketing strategies and develop products that better meet customer preferences.

11. H&M Member Program

The H&M Member Program rewards customers with exclusive benefits and personalised experiences based on their shopping activity. The more members shop, the more points they earn, unlocking new rewards and perks.

How Does It Help Customers?

• Earn & Redeem Points : Members earn points with every purchase. These points can later be redeemed for rewards like exclusive discounts, free deliveries, and special offers.
• Personalised Offers : Members receive discounts and promotions tailored to their shopping habits. This ensures more value with every purchase.
• Exclusive Rewards & Events : Members gain access to special events, product drops, and promotions. This keeps them ahead with the latest trends and exclusive perks.

How It Helps the Business

• Customer Loyalty & Retention : Offering exclusive rewards and personalised offers helps H&M build strong customer loyalty, encouraging repeat purchases and long-term engagement.
• Higher Conversion Rates : Benefits like free deliveries and early access to sales make customers more likely to complete purchases, boosting conversion rates.
• Data-Driven Personalisation : The program collects valuable customer data, enabling targeted marketing, better product recommendations, and a more personalised shopping experience.

12. Nike Membership

The Nike Membership program rewards customers with exclusive access, personalised experiences, and a smooth shopping journey. The more members engage with Nike, the more rewards they earn, unlocking new perks and benefits.

How It Helps Customers:

• Exclusive Access : Members get early access to limited-edition products. They are the first to shop new collections and exclusive releases.
• Nike By You : Members can design their own Nike products. This makes their gear truly personal.
• Receiptless Returns : Members can return or exchange items easily through the Nike App without needing a receipt. This makes returns hassle-free.
• Member-Only Events : Members get access to exclusive live events where they can connect with the Nike community and enjoy special experiences.

How It Helps the Business:

• Customer Loyalty & Retention : Nike Membership builds loyalty by offering personalised rewards and exclusive benefits, encouraging repeat purchases and long-term engagement.
• Increased Conversion Rates : Benefits like early access and customisation motivate members to buy more and complete purchases.
• Enhanced Data Collection : The program gathers insights into customer preferences and behaviours. Nike uses this data to tailor marketing, product recommendations, and personalised offers more effectively.
• Stronger Brand Advocacy : Members who enjoy exclusive experiences and rewards are more likely to share their positive experiences, driving organic growth and increasing brand loyalty.

Build Exceptional Loyalty Programs With TechMonk

TechMonk helps customers build and run high-scale consumer businesses by powering autonomous agents that optimise every consumer interaction. These agents create personalised customer journeys and experiences at every touchpoint. TechMonk’s platform uses agentic workflows with advanced AI Agents and a full-stack marketing toolkit.

This helps businesses reduce customer acquisition costs, improve customer lifetime value, boost repeat purchases, and gain valuable customer intelligence.

Creating a loyalty program that actually connects with your clients might be difficult. That is where TechMonk comes in, providing personalised solutions to assist e-commerce enterprises in creating extraordinary loyalty programs.

TechMonk is a comprehensive consumer engagement platform that uses GenAI to customise each client encounter. TechMonk enables businesses to easily attract, engage, convert, and retain customers through targeted drip marketing, seamless cart recovery, and comprehensive loyalty programs.

How to Set Up a Loyalty Program on TechMonk

• Accessing Settings
  • Open TechMonk Settings, which will take you to the Rewards & Loyalty section.
• Setting Up VIP Tiers
  • Click on the Add VIP Tier button.
  • Enter the required details for your VIP tier.
  • Click Save to confirm your changes.
  • Adjust the VIP TIERS settings to align with your loyalty program.
• Managing Points System
  • Navigate to the Points tab.
• Earning Points
  • Click Add ways to earn and select how customers can accumulate points.
  • Specify the number of points earned per action, set a Status, and click Save.
  • Modify the WAYS TO EARN BOX to ensure customers earn the appropriate points for specific activities.
• Redeeming Points
  • Click Add ways to redeem and select how customers can use their points.
  • Enter the necessary details for redemption, assign a Status, and click Save.
  • Adjust the WAYS TO REDEEM section to match the right rewards with the loyalty points.
• Customising Points Branding
  • Modify the points currency name to align with your brand identity.
• Configuring Referral Rewards
  • Open the Referrals tab under Rewards & Loyalty.

• Referrer Rewards
  • In the REFERRING CUSTOMER REWARD section, decide how many points existing customers will earn for referring friends.
• Referee Rewards
  • In the REFERRED FRIEND REWARD, choose the reward your new customers earn for registering their email through a referral link.

TechMonk's AI Agent engages customers by answering questions and sharing insights about AI agents and their capabilities. It helps customers understand how these technologies work. This AI-powered assistant handles common queries, guides onboarding, and shows how to use AI agents effectively within loyalty programs.

With TechMonk, businesses can elevate their loyalty programs by building custom AI agents tailored to their needs in 3 steps:

• Tools Library : TechMonk’s Tools Library helps businesses create custom AI agents using pre-built tools or build their own. Whether it’s collecting customer data or completing complex tasks, companies can craft the right solution for their loyalty program.
• Agent Library :The Agent Library offers pre-built AI agents ready to integrate into workflows. These agents can answer queries, give product recommendations, and facilitate loyalty point redemptions immediately.
• Agent Flow :The Agent Flow system lets businesses create agentic workflows that define how agents interact with customers at each stage. It automates loyalty program tasks seamlessly, from new member sign-ups to point redemption and reward delivery.

Key Features:

• Observability : This feature gives full visibility into AI agents’ performance in real-time. Businesses can monitor interactions, see outcomes, and identify areas for improvement.
• Traceability :Traceability tracks and records every action of AI agents. Businesses can audit interactions, follow customer journeys, and check the accuracy and relevance of AI responses.
• Guardrails (Input and Output) :Guardrails ensure AI agents provide accurate and appropriate responses by setting clear boundaries for both input and output.
• AI Agent Performance :This feature measures how each AI agent performs in the loyalty program. By tracking metrics like engagement, conversion, and customer satisfaction, businesses can continuously optimise agents for better results.