Points expiry
Learn how to configure points expiry rules to control program liability, boost engagement, and encourage timely redemption.
Implementing points expiry rules in your loyalty program is essential for managing financial liability and keeping users engaged. Points expiry ensures that unused points do not accumulate indefinitely, helping to control the program’s costs and prevent excessive liability.
Additionally, expiry rules encourage users to redeem their points within a certain period, promoting regular interaction with your program and enhancing overall engagement.
Expiry types
There are two point expiry types available: Specific Date and Rolling Date.
Specific date expiry
This option expires points earned but not yet spent by users on a specified date each year. You can choose which points should expire on this date.
Expiry Date
Choose the date the points should expire for all users.
Expiry Period
The expiry period essentially determines the minimum safe period for a user's points before they expire. User's points are safe for the expiry period you choose, and will expire on the expiry date after the expiry period has passed.
You can choose between one to six years, or select ‘all’, which means the total points balance of your users expires on the specified date regardless of when the points were earned.
For example:
If you set the expiry date to be 1 January each year and select 'Over two years ago' – on 1 January 2025 all points earned but not yet spent in 2023 and earlier would expire. A user's points are safe for a minimum of two years after they're earned, and will expire on the next expiry date due after at least two years has passed since the points were earned.
If you set the expiry date to be 1 March each year and select 'Over one year ago' – on 1 March 2025 all points earned but not spent on or before 1 March 2024 would expire. A user's points are safe for a minimum of one year after they're earned, and will expire on the next expiry date due after at least one year has passed since the points were earned.
Rolling date expiry
This option expires points earned but not yet spent by users on a rolling basis relative to the day the points were earned, rather than on a fixed date each year.
Expiry Period
You can choose between one to six years.
For example, if you set the expiry period to one year, any points earned but not spent on 10 June 2024 would expire on 10 June 2025.
Points expiry behaviour
When it comes time for your points to expire, based on the rule set, a POINTS_EXPIRED event will be automatically reported by the Loyalty Engine for the user(s) with points expiring. This event will deduct the relevant points from the user(s)' balance.
Once this happens, the only way to reverse this would be by making a manual adjustment of an individual user's points balance so ensure you check your points expiry configuration carefully before saving it.
Creating a points expiry rule
Login to the Loyalty Console: Access your account and navigate to Settings > Points Liability.
Create a Rule: Click on the option to create a new rule and give it a name for internal reference.
Select Rule Type: Choose points expiry and then ‘Specific Date Expiry’ or ‘Rolling Date Expiry’ as the expiry type.
Define Expiry Options:
For Specific Date Expiry, set the expiry date and the number of years.
For Rolling Date Expiry, set the rolling period in years.
Save the rule
Check your chosen configuration carefully before you save the points expiry rule.
Saving a points expiry rule will immediately expire any points which fall within the expiry options you have configured. This action is irreversible.
Creating audiences based on points due to expire
You can create an audience of users who have points due to expire soon.
Prediction Period: This defines the timeframe in which the points are due to expire. Choosing 'greater than 30 days' includes users who have the number of points defined in Points Due to Expire due to expire in 30 days or less.
Points Due to Expire: This sets the number of points a user must have expiring to be included in the audience. Choosing 'is greater than 0' includes all users with any points expiring within the Prediction Period.
FAQs
What happens when a points expiry rule is saved?
Once a points expiry rule is saved, any points falling within the specified expiry period are expired immediately. This action is irreversible, so double-check your configuration before saving.
Can I create multiple points expiry rules?
Yes, you can create multiple expiry rules with different configurations to address specific needs. For instance, you might use both a specific date and a rolling date expiry to manage different points accruals.
What’s the difference between specific date and rolling date expiry?
Specific date expiry removes points on a set date each year after a defined period, while rolling date expiry is based on the anniversary of each points-earning action, expiring points individually after a set duration.
Can I notify users about upcoming points expiry?
Yes, you can create an audience of users with points due to expire soon. Use this audience for targeted communications, such as reminders, encouraging users to redeem points before they expire.
What is the Prediction Period in points expiry audiences?
The Prediction Period specifies the timeframe for users with expiring points. For instance, setting it to ‘30 days’ targets users with points expiring within the next 30 days, helping you send timely notifications.
Can I exclude certain points from expiring?
No, once an expiry rule is applied, all points within the rule’s configuration will expire.
What happens to unredeemed points when the new year starts?
Unredeemed points remain in the user’s wallet at the start of the new year unless an expiry rule applies to them. Points will only expire based on the expiry rule configurations, such as a specific or rolling date expiry.
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