A well-designed loyalty program can turn occasional shoppers into lifelong brand advocates, but how do you know if it’s actually working?
Tracking the right metrics is the key to understanding your program’s performance, identifying areas for improvement, and proving ROI. Whether you're launching a new rewards initiative or optimizing an existing one, knowing which numbers to watch can make all the difference.
We’ve already covered how to measure the success of a loyalty program, touching on key performance indicators that can help you evaluate your program’s effectiveness. And now, we’re taking it a step further.
From member growth rate to spend per visit, this guide will walk you through the loyalty program metrics you need to know, what they mean, why they matter, and how to use them to drive retention, engagement, and growth.
Here we go.
1. Member Growth Rate
Member growth rate tracks how quickly your loyalty program is expanding. It measures the percentage increase in enrolled members over a given time period, giving you insight into how well your program is attracting new customers and encouraging sign-ups.
Member growth rate is calculated by comparing the number of new members gained within a specific period to the total members at the start of that period. It helps you gauge program awareness, marketing effectiveness, and how compelling your value proposition is to potential members.
Why It Matters
A healthy member growth rate means your program is gaining traction and resonating with your target audience. It shows that your messaging is clear, your rewards are appealing, and customers see enough value to join.
On the other hand, slow or stagnant growth may point to poor visibility, complicated sign-up processes, or rewards that fail to excite. Without consistent growth, it becomes harder to scale engagement and impact across your customer base.
Loyalty Programs Increasing Member Growth Rate
Mr. Puffs achieved a remarkable 317% increase in loyalty program membership within just two weeks, thanks to a strategic promotion tied to the Summer Olympics. By offering customers six free puffs each time Canada secured a gold medal, they tapped into national pride and created a compelling incentive for sign-ups. This initiative not only attracted new members but also boosted engagement among existing ones, as customers eagerly anticipated each Canadian victory to claim their rewards. The promotion's success was further amplified through their mobile app, which streamlined the redemption process and enhanced the overall customer experience. As a result, Mr. Puffs not only expanded their loyalty base but also fostered a stronger sense of community and brand loyalty among their customers.
How to Increase Member Growth Rate
- Promote across channels: Highlight your loyalty program at every touchpoint—website, checkout, email campaigns, social media, and in-store signage
- Simplify sign-up: Make joining quick, intuitive, and mobile-friendly. Consider enabling one-click enrollment during checkout
- Offer a welcome incentive: Give customers a reason to join by offering instant perks like bonus points, discounts, or free gifts with registration
Member growth rate is the foundation of a thriving loyalty program. The more members you attract, the more opportunities you have to engage, reward, and build lasting customer relationships.
Don’t have the time to send personalized offers or tailored rewards? DataCandy’s automated offers makes personalization easy!
Want to see how sweet rewards leads to results?
Read more about how Mr. Puffs grew their loyalty member base with compelling incentives.
2. Member Spend Per Visit
Member spend per visit tracks how much your loyalty members spend each time they shop with you. This metric helps you understand purchasing behavior and evaluate how your program influences average transaction size.
When analyzed over time, it reveals how effectively your program encourages customers to spend more with each visit, whether through personalized offers, exclusive perks, or bonus point incentives.
Why It Matters
An increase in member spend per visit is a strong sign that your loyalty program is driving deeper engagement and influencing buying decisions. It can also indicate that members are responding well to targeted promotions or value-added rewards that encourage larger purchases.
Low spend per visit might suggest that rewards aren’t compelling enough to shift purchasing behavior, or that members aren’t fully aware of the benefits available to them. Understanding this metric helps identify where there's room to elevate the shopping experience.
How to Increase Member Spend Per Visit
- Implement bonus thresholds: Offer extra points or discounts when members hit specific spending amounts
- Upsell and cross-sell: Use member data to suggest relevant add-ons or bundle deals at checkout
- Promote exclusive offers: Give members access to limited-time deals or early product launches that encourage them to spend more
When you focus on increasing member spend per visit, you're not just encouraging bigger baskets, you're maximizing the value of each interaction and increasing customer lifetime value.
3. Total Member Sales
One of the clearest indicators of a program’s impact is how much your members are spending. Tracking sales from loyalty program members shows whether your program is truly influencing purchasing behavior and encouraging repeat visits.
Sales from loyalty program members measures the total revenue generated by enrolled members compared to non-members. This can include both online and in-store purchases, and is often segmented by member tiers or account type (pro-tip: you can add both these metrics onto your DataCandy dashboard). It offers a clear view into how well your program drives customer loyalty and long-term value.
How to Increase Member Sales
- Drive awareness: Promote the benefits of the loyalty program across all customer touchpoints—retail, website, checkout, email, and social media
- Create compelling rewards: Offer meaningful incentives that motivate members to choose your brand more often, such as exclusive discounts, early access to new products, or experiential perks
- Personalize engagement: Use purchase history and preferences to send tailored offers that encourage members to return and spend more
By tracking and growing sales from your loyalty members, you can gauge how well your program is performing, and continuously refine it to turn occasional shoppers into loyal brand advocates.
An Example of How A Loyalty Program Can Increase Member Spend Per Visit
America's Thrift Stores saw a dramatic increase in loyalty member sales, growing from $1.3 million to $23.5 million over five years, by leveraging DataCandy’s loyalty platform. This 18-fold growth was driven by a combination of personalized rewards, seamless digital integration, and a mission-driven approach that resonated with customers. By tailoring offers to individual preferences and creating a frictionless experience both in-store and online, the brand encouraged more frequent visits and higher spend. Additionally, the loyalty program aligned closely with their community-focused mission, further strengthening customer connection and trust. As a result, they grew their loyalty base to 118,000 members, with 34,000 actively shopping each month.
Want to see the full strategy behind this 18x growth?
Take a look at how America's Thrift Stores turned their loyalty program into a revenue driver
4. Redemption Rate
Did you know that 68% of people engage in less than half of the programs they are a part of? Redemption rate is a critical metric that tells you how actively members are engaging with your loyalty program.
Redemption rate tracks how often members cash in their points, coupons, or rewards. A high redemption rate shows that members find the rewards appealing and accessible. It reflects real participation, not just sign-ups, making it a strong indicator of customer engagement and satisfaction.
Why It Matters
Redemption is where loyalty becomes tangible. When members redeem rewards, it means they’re paying attention, finding value in the program, and interacting with your brand regularly. It’s a direct signal that your loyalty strategy is working.
A low redemption rate, however, may point to missed opportunities, rewards might be too difficult to earn, not compelling enough, or poorly communicated. It could also suggest that members aren’t fully aware of what’s available to them.
How to Increase Redemption Rate
- Make rewards achievable: Ensure that earning and redeeming points is simple and attainable. Avoid long or confusing qualification requirements
- Offer appealing rewards: Include a mix of options: discounts, freebies, exclusive experiences—that cater to different customer motivations
- Promote rewards consistently: Use emails, app notifications, and point balance reminders to keep rewards top of mind and drive action
A strong redemption rate doesn’t just reflect activity, it reflects engagement, satisfaction, and trust. By encouraging members to redeem, you bring your loyalty program to life and create more rewarding brand experiences.
Looking for ways to get your customers to redeem their rewards? Explore strategies to encourage point redemption.
Conclusion
A successful loyalty program runs on smart strategy and even smarter data. Tracking the right metrics helps you understand what drives engagement, boosts spending, and keeps customers coming back.
With DataCandy’s dashboard, you can monitor all your key loyalty metrics in one place, so you can make faster, data-driven decisions that grow your program and your business.
The dashboard transforms raw data into clear, actionable insights, helping you identify what’s working, where to improve, and how to optimize for deeper engagement and higher returns. Whether you’re monitoring trends or measuring campaign impact, DataCandy puts the full picture of your loyalty program at your fingertips.
Ready to take your loyalty metrics to the next level?
Learn more about how our platform helps you turn insights into impact.
