First Membership Program

Build your first complete membership program with this hands-on walkthrough. You’ll create a realistic retail loyalty program with three tiers, points earning rules, and flexible redemption options.

What You’ll Build

A complete retail loyalty program called “Rewards Plus” with:

Three Membership Tiers:

• Bronze (Entry level) - 1x points earning
• Silver (Mid tier) - 1.5x points earning
• Gold (Premium tier) - 2x points earning

Loyalty Points System:

• Earn points on every purchase
• Tier-based earning multipliers
• Birthday bonus points
• Welcome bonus for new members

Flexible Redemption:

• Convert points to cash discount
• Minimum redemption thresholds
• Member-exclusive special offers
• Points never expire (configurable alternative shown)

Time Required: 30-60 minutes

Skill Level: Intermediate

Prerequisites: Core Module applets configured (see Installation Requirements)

Program Overview

Business Scenario

You operate a retail store called “Urban Style Boutique” and want to:

• Increase customer retention
• Drive repeat purchases
• Reward loyal customers
• Gather customer data for marketing

Program Economics

Earning Rate:

• Bronze: $1 spent = 1 point
• Silver: $1 spent = 1.5 points
• Gold: $1 spent = 2 points

Redemption Rate:

• 100 points = $1 discount
• Minimum redemption: 500 points ($5 value)

Tier Progression:

• Bronze: Default for all new members
• Silver: Earn 2,000 points in a year
• Gold: Earn 5,000 points in a year

Member Benefits by Tier:

Before You Begin

Verify Prerequisites

Confirm these applets are configured:

• Organization Applet - with active location
• Customer Maintenance Applet - operational
• Doc Item Maintenance Applet - can create FI-ITEM
• Pricebook Applet - tier pricing ready
• Membership Points Currency Applet - installed
• Membership Program Applet - installed
• Membership Admin Console - installed

Gather Information

Have these details ready:

• Company legal name
• Operating locations
• GL accounts for membership revenue
• Tax treatment for membership (usually exempt)
• Member communication channels (email, SMS)

Phase 1: Create Points Currency

Step 1.1: Create Loyalty Points Currency

Navigate to Applets > PTS CCY Module

Click "+" to create new currency

Configuration:

Click “Create” to save

✓ Checkpoint: RWDPTS currency appears in currency list

Step 1.2: Configure Currency Settings (Optional)

If your applet supports advanced settings:

Point Valuation:

• Accounting value per point: $0.01 (for financial reporting)
• Minimum balance: 0 points
• Maximum balance: 999,999 points (prevent abuse)

Display Settings:

• Decimal places: 0 (whole points only)
• Rounding: Round down (prevent fractional points)

Phase 2: Create Membership Products

Membership products represent the membership offering in your inventory system.

Step 2.1: Bronze Membership Product

Navigate to Doc Item Maintenance Applet

Click "+" to create new item

Basic Information:

Pricing:

Financial Settings:

Membership Attributes:

Click “Save”

Step 2.2: Silver Membership Product

Repeat the process for Silver tier:

Step 2.3: Gold Membership Product

Create Gold tier membership:

✓ Checkpoint: Three membership products (MEM-BRONZE, MEM-SILVER, MEM-GOLD) visible in item list

Phase 3: Configure Member Classes

Member classes define the tier structure and associated benefits.

Step 3.1: Create Bronze Member Class

Navigate to Membership Program Applet > Member Classes

Click "+" to create new class

Basic Configuration:

Tier Properties:

Progression Rules:

Benefits Configuration:

Click “Create”

Step 3.2: Create Silver Member Class

Create the mid-tier class:

Progression Rules:

Benefits:

Click “Create”

Step 3.3: Create Gold Member Class

Create the premium tier:

Progression Rules:

Benefits:

Click “Create”

✓ Checkpoint: Three member classes (BRONZE, SILVER, GOLD) configured with progression rules

Phase 4: Configure Earning Rules

Define how members earn points across different scenarios.

Step 4.1: Standard Purchase Earning (All Tiers)

Navigate to Membership Program Applet > Earning Rules

Click "+" to create new earning rule

Rule: Bronze Purchase Points

Calculation Method:

Conditions:

Points Award:

Click “Save”

Rule: Silver Purchase Points

Create similar rule for Silver:

Rule: Gold Purchase Points

Create for Gold tier:

Step 4.2: Welcome Bonus Rule

Create earning rule for new member enrollment:

Configuration:

Award Details:

Click “Save”

Step 4.3: Birthday Bonus Rules

Create birthday earning rules for each tier:

Bronze Birthday Bonus:

Silver Birthday Bonus:

Gold Birthday Bonus:

✓ Checkpoint: Earning rules configured for purchases, welcome bonus, and birthday bonuses

Step 4.4: Test Earning Calculation

Before proceeding, test the earning logic:

Test Scenario:

• Bronze member purchases $50 of products
• Expected: 50 points (50 × 1.0)

Test Scenario:

• Silver member purchases $100 of products
• Expected: 150 points (100 × 1.5)

Test Scenario:

• Gold member purchases $100 of products
• Expected: 200 points (100 × 2.0)

Phase 5: Configure Redemption Options

Define how members can use their points.

Step 5.1: Points-to-Cash Redemption

Navigate to Membership Program Applet > Redemption Rules

Click "+" to create redemption rule

Configuration:

Conversion Rate:

Redemption Limits:

Restrictions:

Click “Save”

Step 5.2: Member-Exclusive Redemption Items (Optional)

Create special redemption for exclusive products:

Configuration:

Redemption Catalog:

✓ Checkpoint: Redemption rules configured for cash discount and exclusive items

Phase 6: Configure Pricebook for Member Pricing

Set up tier-based discounts via Pricebook.

Step 6.1: Create Member Price Lists

Navigate to Pricebook Applet

Click "+" to create price list

Bronze Member Pricing:

Discount Configuration:

Assignment:

Click “Save”

Silver Member Pricing:

Create similar price list:

Gold Member Pricing:

✓ Checkpoint: Member pricing configured with 5%, 10%, and 15% discounts by tier

Phase 7: Configure Expiry Rules (Optional)

Set up points expiration for liability management.

Option A: No Expiry (Simplest)

Points never expire. No configuration needed.

Pros:

• Simplest to manage
• Most member-friendly
• Encourages long-term engagement

Cons:

• Higher liability on balance sheet
• No urgency for redemption

Option B: Annual Expiry

Points expire at end of each year.

Configuration:

Navigate to Membership Program Applet > Expiry Rules

Option C: Rolling Expiry

Points expire 12 months after earning.

Configuration:

Recommendation for First Program: Start with No Expiry for simplicity. Add expiration later if needed for liability management.

Phase 8: Test Complete Member Journey

Thoroughly test all functionality before launch.

Test 8.1: New Member Enrollment

Test Steps:

1. Navigate to Customer Maintenance Applet
2. Click "+" to create new customer
3. Enter customer details:

First Name: Jane
Last Name: Smith
Email: jane.smith@example.com
Phone: (555) 123-4567
Birthday: March 15, 1985

4. In Membership section:

   • Check “Enroll in Membership Program”
   • Program: Rewards Plus
   • Member Class: BRONZE (should auto-select as default)
   • Points Currency: RWDPTS (auto-selected)

5. Click “Save”

Expected Results:

• ✓ Customer created successfully
• ✓ Membership active with BRONZE tier
• ✓ Welcome bonus: 50 RWDPTS awarded automatically
• ✓ Member ID generated

✓ Checkpoint: Member enrollment works with welcome bonus

Test 8.2: Points Earning on Purchase

Test Steps:

1. Go to POS or Sales module
2. Create sale for Jane Smith
3. Add products totaling $75.00
4. Complete transaction
5. Check Jane’s points balance

Expected Results:

• ✓ Transaction completed
• ✓ 75 points earned (75 × 1.0 for Bronze)
• ✓ Total balance: 125 points (50 welcome + 75 earned)
• ✓ Transaction appears in points history

Test 8.3: Tier Progression

Simulate progression to Silver tier:

1. Use Membership Admin Console
2. Find Jane Smith’s account
3. Manually adjust points to 2,050 (for testing)
4. Trigger tier evaluation (or wait for automated check)

Expected Results:

• ✓ Jane automatically upgraded to SILVER tier
• ✓ Earning rate now 1.5x
• ✓ Member discount now 10%
• ✓ Notification sent (if configured)

Test Silver Earning Rate:

1. Create $100 purchase for Jane
2. Check points earned

Expected Results:

• ✓ 150 points earned (100 × 1.5 for Silver)
• ✓ Confirms multiplier working correctly

Test 8.4: Points Redemption

Test Steps:

1. Jane has 2,200 points total
2. Create new sale: $50.00 worth of products
3. Jane requests to use 1,000 points
4. Apply redemption

Expected Results:

• ✓ 1,000 points deducted from balance
• ✓ $10 discount applied (1,000 ÷ 100)
• ✓ New total: $40.00
• ✓ Remaining points: 1,200
• ✓ Redemption recorded in history

Test 8.5: Birthday Bonus

Test Steps:

1. Set system date to March 1st (or use manual trigger)
2. Trigger birthday bonus processing
3. Check Jane’s account (birthday March 15)

Expected Results:

• ✓ 250 points awarded (Silver birthday bonus)
• ✓ Points added to balance
• ✓ Birthday email sent (if configured)
• ✓ Bonus recorded in transaction history

Test 8.6: Member Pricing

Test Steps:

1. Create sale for Jane Smith (Silver member)
2. Add product with regular price $100
3. Check pricing applied

Expected Results:

• ✓ 10% Silver discount applied automatically
• ✓ Price shown: $90.00
• ✓ Discount visible on receipt
• ✓ Member saves $10.00

✓ Checkpoint: All core functionality tested and working

Phase 9: Configure Member Communications

Set up automated communications for member engagement.

Email Templates

Create templates for these events:

Welcome Email:

Subject: Welcome to Rewards Plus!

Hi {{FirstName}},

Welcome to Rewards Plus! You've been enrolled as a Bronze Member and
we've added 50 bonus points to your account.

Your Member ID: {{MemberID}}
Current Points: {{PointsBalance}} pts

Start earning:
- 1 point for every $1 spent
- Birthday bonus: 100 points
- 5% member discount on all purchases

[View Your Account] [Shop Now]

Thank you for being a valued customer!
Urban Style Boutique

Points Earned Notification:

Subject: You earned {{PointsEarned}} points!

Hi {{FirstName}},

Thanks for your recent purchase! You've earned {{PointsEarned}} Rewards Plus points.

Transaction: {{TransactionDate}}
Amount: ${{TransactionAmount}}
Points Earned: {{PointsEarned}} pts

Your new balance: {{PointsBalance}} pts
Value: ${{PointsValue}}

[Redeem Points] [View History]

Keep shopping to earn more rewards!

Tier Upgrade Notification:

Subject: Congratulations! You're now a {{NewTier}} Member!

Hi {{FirstName}},

Great news! You've been upgraded to {{NewTier}} membership!

New Benefits:
- {{EarningRate}} earning rate
- {{Discount}}% member discount
- {{BirthdayBonus}} birthday bonus points
- Early access to sales

[See All Benefits] [Shop Now]

Thank you for your loyalty!

SMS Notifications (Optional)

Configure SMS for time-sensitive notifications:

• Welcome enrollment
• Points earned confirmation
• Tier upgrade celebration
• Birthday bonus awarded
• Points expiring soon (if applicable)

Phase 10: Set Up Reporting

Configure reports for program monitoring.

Standard Reports to Enable

Member Growth Report:

• Total members by tier
• New enrollments by period
• Tier distribution
• Growth trend

Points Activity Report:

• Points issued by period
• Points redeemed by period
• Outstanding points liability
• Breakage rate (unredeemed points)

Program Performance Report:

• Member purchase frequency
• Average transaction value by tier
• Redemption rate
• Member lifetime value

Financial Report:

• Points liability valuation
• Redemption expense
• Membership revenue
• Net program cost

Dashboard Configuration

Set up real-time dashboard with:

• Total active members
• Points earned today/this week/this month
• Points redeemed today/this week/this month
• New enrollments
• Tier distribution chart
• Top members by points balance

Phase 11: Staff Training

Prepare your team for program launch.

Training Materials Needed

Enrollment Process:

• How to sign up new members
• Collecting required information
• Issuing member cards
• Explaining program benefits

Daily Operations:

• Looking up member accounts
• Processing points earning
• Handling redemptions
• Applying member discounts

Customer Service:

• Answering member questions
• Checking points balances
• Explaining tier benefits
• Troubleshooting issues

Role-Specific Training

Cashiers/Sales Associates:

• Member identification at checkout
• Points calculation explanation
• Redemption processing
• Receipt explanation

Customer Service:

• Account lookup and management
• Points balance inquiries
• Tier benefit explanations
• Dispute resolution

Store Managers:

• Program overview and objectives
• Performance monitoring
• Reporting and analytics
• Exception handling

Phase 12: Soft Launch (Pilot Program)

Test with limited member group before full launch.

Pilot Program Plan

Duration: 2-4 weeks

Pilot Group Size: 50-100 members

Selection Criteria:

• Mix of customer types (frequent/occasional)
• Representative demographics
• Willing to provide feedback
• Email contacts for communication

Pilot Objectives

• Validate earning calculations
• Test redemption workflows
• Confirm tier progression
• Identify operational issues
• Gather member feedback
• Train staff with real members
• Refine communications

Monitoring During Pilot

Daily Checks:

• Enrollment success rate
• Points calculation accuracy
• Redemption processing
• System performance
• Staff feedback

Weekly Reviews:

• Member satisfaction survey
• Issue log review
• Staff feedback sessions
• Configuration adjustments
• Communication refinements

Success Criteria for Full Launch

• 90%+ enrollment success rate
• Zero calculation errors
• Staff confident in operations
• Positive member feedback
• All issues resolved
• Communications effective

Phase 13: Full Launch

Roll out to all customers.

Launch Day Checklist

System Readiness:

• All configurations verified in production
• Backup completed
• Monitoring enabled
• Support team briefed
• Escalation procedures ready

Marketing Readiness:

• In-store signage installed
• Website updated
• Email campaign scheduled
• Social media posts ready
• Staff wearing program badges/shirts

Operational Readiness:

• All staff trained
• Member cards/materials stocked
• Enrollment stations set up
• Quick reference guides distributed
• Manager on-site for support

Launch Day Activities

Morning:

• Team huddle to review procedures
• System functionality verification
• Test enrollment processing
• Open communication channels

Throughout Day:

• Monitor enrollment volume
• Track issues in real-time
• Provide staff support
• Collect customer feedback

Evening:

• Review day’s performance
• Document issues and resolutions
• Plan adjustments for next day
• Celebrate successes with team

Phase 14: Post-Launch Monitoring

Track program performance and optimize.

First Week Monitoring

Daily Metrics:

• New enrollments
• Points earned
• Points redeemed
• System errors
• Customer complaints

Issue Tracking:

• Log all issues
• Categorize by type
• Assign resolution priority
• Track resolution time

First Month Review

Program Performance:

• Total members enrolled
• Tier distribution
• Average points earned per member
• Redemption rate
• Member satisfaction score

Optimization Opportunities:

• Earning rate adjustments
• Tier criteria refinement
• Redemption threshold changes
• Communication improvements

Ongoing Management

Monthly Reviews:

• Performance vs. objectives
• Financial impact analysis
• Member engagement trends
• Staff feedback

Quarterly Enhancements:

• New earning opportunities
• Seasonal promotions
• Tier benefit additions
• Technology improvements

Success Metrics

Track these KPIs to measure program success:

Membership Metrics

• Total Active Members - Growing member base
• Enrollment Rate - % of customers who join
• Tier Distribution - Balance across tiers
• Churn Rate - Members leaving program

Engagement Metrics

• Purchase Frequency - Transactions per member per year
• Average Transaction Value - By tier comparison
• Points Earning Velocity - Points earned per member per month
• Redemption Rate - % of earned points redeemed

Financial Metrics

• Program ROI - Revenue increase vs. program costs
• Points Liability - Outstanding unredeemed points value
• Breakage Rate - Points that expire or go unused
• Member Lifetime Value - By tier

Operational Metrics

• Enrollment Time - Average time to sign up member
• System Uptime - Availability for transactions
• Error Rate - Calculation or processing errors
• Resolution Time - Issue resolution speed

Troubleshooting Common Issues

Members Not Earning Points

Possible Causes:

• Member class not assigned → Verify tier assignment
• Earning rule inactive → Check rule status
• Transaction type not eligible → Review trigger conditions
• Points currency mismatch → Confirm currency linkage

Tier Progression Not Working

Possible Causes:

• Progression criteria not met → Verify point thresholds
• Automated evaluation disabled → Enable tier check process
• Time period calculation error → Review evaluation period
• Manual override preventing change → Check admin holds

Redemption Errors

Possible Causes:

• Insufficient points balance → Verify member has enough points
• Below minimum threshold → Check 500-point minimum
• Excluded product category → Review redemption restrictions
• Maximum redemption exceeded → Check transaction limits

Member Discount Not Applying

Possible Causes:

• Pricebook not linked to member class → Verify assignment
• Price list inactive or expired → Check effective dates
• Product excluded from discounts → Review exclusions
• Discount override in place → Check manual price adjustments

Next Steps After Implementation

Immediate (Week 1-4)

1. Monitor Daily - Track all metrics and resolve issues quickly
2. Gather Feedback - Survey members and staff
3. Document - Record learnings and best practices
4. Optimize - Make small adjustments based on data

Short Term (Month 2-3)

1. Marketing Campaigns - Promote program benefits
2. Member Segmentation - Target communications by tier
3. Performance Analysis - Deep dive into program data
4. Staff Recognition - Reward top enrollment performers

Medium Term (Month 4-6)

1. Program Enhancements - Add new earning opportunities
2. Seasonal Promotions - Double points campaigns
3. Partner Integration - Cross-promotion opportunities
4. Technology Upgrades - Mobile app, digital cards

Long Term (6+ Months)

1. Advanced Analytics - Predictive modeling, churn prevention
2. Personalization - AI-driven recommendations
3. Loyalty Network - Partner business integration
4. Gamification - Badges, challenges, leaderboards

Congratulations!

You’ve successfully implemented your first complete membership program!

What You’ve Accomplished:

✅ Created multi-currency points system ✅ Configured three-tier membership structure ✅ Set up earning rules with multipliers ✅ Enabled flexible redemption options ✅ Configured tier-based pricing ✅ Implemented tier progression logic ✅ Tested complete member journey ✅ Launched pilot program ✅ Deployed to production

Your Program Includes:

• Rewards Plus loyalty program
• Three tiers (Bronze, Silver, Gold)
• Flexible earning (1x, 1.5x, 2x multipliers)
• Points redemption (100 pts = $1)
• Member pricing (5%, 10%, 15% discounts)
• Automated bonuses (welcome, birthday)
• Tier progression (automated upgrades)

Resources

Documentation

• Membership Module Overview - Complete feature reference
• Membership Admin Console - Daily operations
• Points Currency Configuration - Currency management
• Membership Program Applet - Program configuration

Support

• BigLedger Support Portal - Technical assistance
• Community Forum - Best practices and tips
• Implementation Services - Professional consultation
• Training Resources - Video tutorials and guides

Related Guides

• POS Integration - Connect to point of sale
• E-Commerce Integration - Online member portal
• Financial Accounting - Liability tracking
• Advanced Configurations - Power user features