How Your Customer Loyalty Program Can Be Influenced by a POS System

  • By Danielle Dixon
  • Mar 30, 2023
  • Uncategorized
customer loyalty software

Without a question, customer loyalty plays a huge role in the business world. Consider this: Studies have found that returning customers spend an average of 67% more than new ones, which indicates that the majority of your profits come from repeat customers. The willingness of a customer to do business with or make purchases from a business repeatedly is referred to as customer loyalty. People are motivated to stick with a brand when it offers them something extra in addition to the good or service they already paid for. People are happy and satisfied with their customer experience as a result of this additional benefit.

By adding structure to this extra advantage, you develop a customer loyalty program. This service helps in customer retention and maintains their regular engagement with your material. Even more so, these programs become incredibly simple to use and produce long-term profits for your business when they are integrated with your point of sale (POS) software. In this blog, we’ll uncover some of the ways you can use a POS system to support your customer loyalty program.

How a loyalty program integrates with a POS system

Most people interpret POS systems as software for checkout and transactions, but they can also help a business with its marketing initiatives. With each sale your business makes, choosing a POS system with customer loyalty software integrated into the software can help your marketing efforts. POS loyalty software assists businesses in collecting customer information and monitoring customer behavior and spending patterns. You can enhance sales and better understand your customers’ demands with more precise customer data.

POS systems supporting customer loyalty programs

  1. Storing dataYou’ll need some sort of software to track your customers’ activity and the rewards they earn in order to manage a successful customer loyalty program. Your staff will find it convenient and simple to use because this feature is already included in your POS software. A POS system is fundamentally more than just the check-out device.

    In order to simplify life for store owners, a good POS system centralizes data from several sources. Your POS system, for instance, is directly connected to your inventory, which modifies stock based on which items are checked out at the counter. Additionally, it maintains track of your sales and gross profit. Some even include a built-in CRM (customer relationship management). This makes it ideal for a customer loyalty program because you can keep track of a customer’s past transactions and total amount of spending with you. Your employees will be able to identify your most devoted customers and approach them with rewards you’ll provide in exchange for promoting your business.

  2. Points-based systemTypically, customer loyalty programs use a points system, wherein a customer earns more points for each dollar spent with you. These points can then be redeemed for other services and products that you provide. This could be anything from a premium discount to freebies or even free service.

    Your POS software can quickly determine the goods and services your customers have purchased through a loyalty program and assign a certain number of loyalty points that they can accumulate over time. Once they acquire a certain number of points, you can either give them rewards depending on their total or let them decide how they want to use their points. Based on the information you’ve obtained about them in your CRM, you can even tailor the offers. Your POS software will record when a customer redeems their points and handle these orders as necessary.

  3. AutomationPOS systems centralize all of your information and automatically update your data. For instance, the system can modify your inventory while handling all other operations if an online customer selects a reward that you only provide in-store. Your loyalty program’s usage statistics, popularity, and the customers who interact with you the most will be simple for you to track. If you have a strong loyalty program in place, this might be a true goldmine for your company. If your program actively records customers’ past purchases and provides rewards that are undeniably valued goods or services, customers will return to your business.
  4. ReportingYour POS software can do more than just be a hosting spot for your customer loyalty program—it can also help you measure just how well the program is doing. Since sales and customer data passes through it, you should be able to easily gauge the effectiveness of your program through a few metrics. Keeping a record of how many rewards were processed and what items were most popular gives you a good idea of how well your program is working. Furthermore, you can analyze individual and combined customer spending to see how things are looking after your customers enroll in the system. Best of all, since the system is tracking everything, you won’t have to worry about keeping a separate record for your loyalty program, and you’ll be able to make every customer feel special with it, providing them with a positive customer experience.


If the customer loyalty software is part of your POS system, your marketing initiatives will advance. Maintain a positive customer experience and take advantage of the system’s reporting metrics to thank loyal customers for their business by rewarding them. Trying to start with a POS that works for you? If so, you’ve arrived at the right place! You can keep your business current from anywhere with our tools, as well as streamline your transactions to ensure operational performance. Curious to learn more? Reach out to us today.

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Danielle is a content writer at FTx POS. She specializes in writing about all-in-one, cutting-edge POS and business solutions that can help companies stand out. In addition to her passions for reading and writing, she also enjoys crafts and watching documentaries.

Danielle Dixon

Content Writer
A New Solution Coming To FasTrax

Matthew Davis is a content marketing specialist for FTx POS. With experience in marketing, brick-and-mortar retail, and ecommerce, Matthew enjoys writing about strategies and technology retailers can use to grow. Previously, he managed retail operations for a sports/entertainment facility and worked in marketing consulting.

Matthew Davis

SEO Specialist/Content Writer

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