Cashback Loyalty
A loyalty format that credits a percentage of what the customer spends as value to use on a future purchase with the same business.
In a cashback loyalty program, each eligible purchase earns a percentage back as credit held in the program. A 5% rate on a 100 purchase credits 5 for next time. The credit is merchant loyalty value redeemable with that business; it is not cash, not a refund and not a bank or card-network product.
It matters for businesses where order values vary widely. A customer who spends 200 earns more than one who spends 50, which feels proportionate to both. Example: a retail shop credits 5% of each basket; the customer sees the balance on their card and uses it against a later purchase.
Cashback differs from a stamp card, which rewards the visit regardless of spend, and from a points card, which converts spend into points with defined reward levels rather than a spendable balance. It also differs from a gift card, which holds value the customer or a giver paid for rather than earned.
With Loyal-T Cards, the cashback card shows the configured loyalty balance in Apple Wallet or Google Wallet. Staff record eligible spend and redemptions with the scanner; the balance is updated by your team, not by your till.
Where this applies
Related terms
Loyalty Program
A structured way of rewarding customers for repeat purchases or continued custom.
Stamp Card
A loyalty card that records one stamp per eligible visit or purchase and gives a reward when a set number of stamps is collected.
Customer Lifetime Value (CLV)
The total revenue a business can expect from one customer over the whole period they remain a customer.