How to Build the Perfect Loyalty Platform

Recently, here at Elementz, we were asked to develop a custom Loyalty Platform for a potential client. As part of this requirement, we researched custom and out of the box solutions. Loyalty itself is pretty straight forward – shop, earn points, and spend them. However, when building a system to support loyalty, there are a number of things to consider.

Business Objectives

The first question that needs to be answered is,What are your business objectives?”. So, start with clarifying your business goals, given that loyalty programs can produce a variety of benefits. Next, engineer your program’s reward structure, and create incentives powerful enough to change buying behavior but not so generous that they erode your margins. Lastly, benchmark against other loyalty programs and see what the competitive landscape looks like so you can build the best.


Below are the factors to consider when you think of the loyalty key components of a successful digital loyalty platform:

  1. Customer Focus – the customer has to see the real benefit in using a loyalty program. They eventually want to get discounts or rewards.
  2. Easy to Manage and Easy to use – from a usability standpoint, it has to feel easy and simple to use even if it has a complicated functionality.
  3. Ability to Market and Upsell – the platform has to have the ability to upsell or market to the end users.
  4. Integrations – any good digital rewards program needs to be seamlessly integrated into a retailer’s ecommerce platform as well as their store POS system if they have one.

The loyalty platform ecosystem revolves around 3-4 main players. You have the customer, the merchant, sometimes, the retailer chain management, and the loyalty platform admin. This can be challenging for designing and developing a platform that maximizes the best usability.

As we did our research, we found out that one of the best pre existing platforms out there that can be used is Open Loyalty ( ). Open Loyalty is loaded with features and a limited version of it is available on Github to test out. Open Loyalty is built for the retail space and can be used to easily set levels and rules for earning points, run loyalty campaigns, and allow customers to easily login through a custom theme to check their rewards. It can be used online and offline in stores. On the service provider side, there is a full admin available for merchants to manage all of the loyalty set up and maintenance. Additional integrations include a POS module and ecommerce API, and the ability to build a mobile app on top of the existing API.

If you’re interested in building a loyalty platform, lets us know – we can help you make it happen. Drop us a note at


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