DESIGN YOUR REWARD

A good reward takes care of your business too.

Test shorter or longer goals with your own numbers. Find out how much you allocate to rewards before deciding your program rules.

Private simulation on this page · No data is saved and no cards are changed

Model: one stamp per paid purchase of similar value. Visits without purchases are not counted as sales.

First, your numbers

The starting values are a coffee example, not your business data. Amounts in USD.

Revenue per eligible purchaseAverage purchase excluding collected taxes. A visit without a purchase does not generate this revenue.Which figure do you know?This is not net margin: rent, fixed salaries and other costs still need to be deducted.Variable cost of that purchaseIngredients, packaging, fees and other costs that vary with each sale.Reward typeCost of providing the rewardUse its variable cost, not its selling price or the catalog reference value.Contribution allocated to the reward (%)25% is only an example. You set the budget, from 1% to 100%.

One free welcome stampIt is deducted from the paid purchases in the first cycle. We do not count revenue for that free stamp.

YOUR STARTING POINT

A goal backed by numbers.

stamps in the first cycle6 paid purchases

Estimated goal to keep the reward within 25% of accumulated contribution. This is not a profitability guarantee.

Contribution per purchase: $0.40
Cost per reward: $0.60
Purchases needed to cover the reward alone: 2

We assume 100% of rewards are redeemed, not that customers forget to use them.

NOT EVERY CUSTOMER NEEDS THE SAME GOAL

What if you prefer a shorter program?

Explore; no plans are assigned

Compare how much remains for fixed costs and how much you allocate to customer rewards.

Goal to test 8 stampsThis cycle includes 8 paid purchases.How many purchases would actually be new? 1Your own assumption: purchases that would not have happened without the incentive. This is not a Vuelve prediction.

INCREMENTAL SCENARIO-$0.20

The investment is not recovered in this scenario, before other costs. Decide whether you can absorb it.

1 new purchase × $0.40 − $0.60 in rewards.

How we calculate and what we cannot promise

Contribution = revenue minus variable costs. The goal divides the reward cost by the contribution per purchase and the percentage you choose; we round up and add the free stamp, if applicable.
Model based on paid purchases of similar value, with one stamp per purchase. Stamps based on spending, visits without purchases and percentage rewards require different assumptions.
We assume one reward per cycle, 100% redemption and the first cycle if a welcome stamp is enabled. We exclude fixed costs, non-recoverable taxes, platform fees and sales the gift might replace.
A program can fund its reward from sales that would have happened anyway, without generating new sales. Measure frequency and additional purchases before attributing results to it.
Your cost inputs are not sent or saved. To apply a goal, configure it separately; this calculator does not change balances, coupons or cards.

Accounting basis: contribution and break-even point (OpenStax). Your business chooses the budget and scenarios.