How much does a loyalty program cost?

We all know about the huge benefits of a loyalty program, but do you know how much it costs?

The benefits of a loyalty program are substantial. Starbucks, who operates one of the world’s most successful loyalty programs, states that one of their loyalty customers will spend 3x more than a non-loyalty customer. 40% of their transaction in the US comes from Starbucks loyalty programs. Myer, a major high street retailer in Australia, has quoted that they have around 70% of their sales being conducted by one of the 5 million loyalty members. These examples epitomize the significance of a loyalty program to your business.

Digital Loyalty Platform Costs

There are often 2 options to build a loyalty platform for your brand. The first one is to develop the platform using a developer or an agency from the ground up. The typical cost for this solution ranges from €150.000 to €500.000+. The option is expensive as you need to hire UX/UI designers to plan out the concept, customer journey and wireframe your solution. Another cost arisen afterward is for supporting the solution, which you can do with either in-house developers or employed agencies. You should budget at least €15.000 per month depending on the size of your project.

The second option is to customize a program from an existing loyalty app platform, which is called ‘White Label’. This solution has been given recognition recently because of its effectiveness and time and cost-saving. You will have your own platform tailored to your taste by specialists in the loyalty program platform provider industry.

Generally, the cost structure includes a ‘one-time’ setup and a ‘yearly’ license fee. The market price for setup expenses is around €40.000 and €30.000 for the annual license fee. You can choose add-ons to your program with variables being upwards of €2000 per month depending on each type and your business size.

Stampwallet pricing

We offer White Label solutions to businesses completely in line with their house style. Compared to the average cost indicated above, our ‘one-time’ setup fee is much cheaper: €30.000 for Basic and €35.000 for Pro version. The yearly license fee is €20.000€25.000 for 2 types, respectively. Pro version allows you to build upon the basic platform with add-ons such as Receipt Capturing, POS Integration, Face Recognition and more.

With our White Label, you will be completely in charge of your focused industry, the pricing, and strategies. Of course, you always have our back for advice and support.

We hope this gave you some idea of the price you can expect to pay for your loyalty program.

Does the price sound appealing? Don’t hesitate to contact us for more information. 

Published in: News