9 Best Loyalty Punch Card Programs | Examples & Lessons for Small Business
Jan 24, 2025
There's something satisfying about watching stamps accumulate on a loyalty card. That visual progress toward a free coffee, a complimentary meal, or a reward you've earned creates genuine motivation to return. It's simple psychology, and it works.
Research consistently shows that over 80% of consumers are more likely to stick with brands that offer loyalty programs. People appreciate being rewarded for their loyalty—and businesses benefit from the repeat visits and customer data that programs generate.
While the traditional paper punch card served businesses well for decades, the shift to digital has transformed what's possible. Digital punch cards can't be lost, provide valuable customer insights, and enable direct communication between visits. The core appeal remains the same; the capabilities have expanded dramatically.
This article showcases nine examples of loyalty punch card programs that get it right, spanning different industries and approaches. More importantly, we'll extract the lessons small businesses can apply to their own programs.
What Makes a Great Punch Card Program?
Before diving into examples, let's establish what separates effective programs from forgettable ones:
Simplicity: The best programs are immediately understood. No complicated calculations, no confusing rules. Customers know exactly what they need to do and what they'll get.
Achievable rewards: Goals should feel attainable. Too far away, and customers lose motivation. Too easy, and the reward loses meaning.
Valuable rewards: What customers earn should genuinely excite them. A reward that feels underwhelming damages the entire program.
Seamless experience: Earning and redeeming should be quick and painless. Any friction erodes participation.
Pleasant surprises: The best programs include unexpected moments—bonus stamps, surprise rewards, special recognition—that create delight beyond the predictable earn-and-redeem cycle.
Now, let's see these principles in action.
9 Loyalty Punch Card Programs Worth Studying
1. Domino's: Points That Add Up to Free Pizza
Domino's "Piece of the Pie Rewards" program demonstrates how a simple points system can drive significant engagement in the competitive pizza market.
How it works: Customers earn points on every order through the Domino's app. Accumulate enough points, and you've earned a free pizza of your choice.
What makes it work:
Universal appeal: Everyone wants free pizza. The reward isn't a discount or a side item—it's the main product customers actually came for.
App-centric experience: Everything happens through the app, which also handles ordering, tracking, and deals. The loyalty program is woven into the broader customer experience.
Clear progress: Customers can see exactly how close they are to their next free pizza, creating motivation to order again.
Lesson for small businesses: Make your reward the thing customers actually want most. A free version of your signature product typically outperforms percentage discounts or lesser items.
2. Subway: Tokens, Tiers, and Surprises
Subway's "MyWay Rewards" operates across thousands of locations worldwide, demonstrating how to run a cohesive program at scale while maintaining personal touches.
How it works: Customers earn tokens for every dollar spent (currently four tokens per dollar). Accumulate 200 tokens, and you receive a $2 reward. The program also includes "Surprise & Delight" bonuses—unexpected rewards that appear without warning.
What makes it work:
Surprise element: The unexpected bonuses keep the program fresh. Customers don't just earn mechanically; they occasionally get pleasant surprises that create memorable moments.
Dual format: Subway offers both physical cards and digital tracking through their app, accommodating different customer preferences.
Easy online ordering: The app integrates ordering with loyalty, making the program part of the natural purchase flow rather than an afterthought.
Lesson for small businesses: Don't rely solely on predictable earn-and-redeem cycles. Occasional surprises—a random bonus stamp, an unexpected free item—create the delight that customers remember and share.
3. Myer: Tiered Rewards That Grow With Customers
Australian retailer Myer demonstrates how tiered programs can work for retail, creating aspirational goals that encourage increased engagement.
How it works: Myer One has four reward levels, each with increasing benefits. All members receive birthday rewards and "membership anniversary" gifts, plus invitations to exclusive events. Higher tiers unlock better perks.
What makes it work:
Birthday recognition: Everyone receives something on their birthday—a personal touch that costs little but creates genuine goodwill.
Anniversary celebration: Acknowledging how long someone has been a member makes them feel valued for their loyalty, not just their spending.
Aspirational tiers: Customers can see what benefits await at higher levels, motivating increased engagement to reach the next tier.
Lesson for small businesses: Consider milestone recognition beyond just purchase counts. Birthday rewards and loyalty anniversaries cost little but create emotional connection. Perkstar includes automated birthday rewards that trigger without manual effort.
4. BP: Simple Points for Everyday Purchases
BP's fuel rewards program shows how everyday, routine purchases can be transformed into loyalty-building opportunities.
How it works: Customers earn points on fuel purchases (with premium products earning more per litre) and on in-store convenience items. Points accumulate toward rewards.
What makes it work:
Behaviour steering: By offering more points for premium fuel, BP gently encourages customers toward higher-margin products without forcing anything.
Cross-category earning: Points from fuel purchases and convenience store purchases combine, encouraging customers to buy snacks and drinks alongside their fill-up.
Partnership network: BP partners with other brands, expanding where and how customers can earn and redeem.
Lesson for small businesses: If you have products or services with different margins, consider rewarding premium purchases more generously. This steers behaviour toward what's best for your business while still rewarding all customers.
5. Expedia: Points That Fund Adventures
Expedia's travel rewards program demonstrates how loyalty can work in industries where purchases are infrequent but high-value.
How it works: Members earn points on eligible travel bookings, with higher tiers earning more points per dollar. Points convert into savings on future trips. Tiered members also receive perks like free breakfast or spa credits.
What makes it work:
Experiential rewards: Rather than just discounts, members earn experiences—spa treatments, room upgrades, complimentary breakfast. These feel more valuable than equivalent dollar amounts.
Tiered motivation: The program encourages consolidating travel bookings with Expedia to reach higher tiers with better earning rates.
Member pricing: Even basic members see exclusive pricing, providing immediate value upon joining.
Lesson for small businesses: Consider whether experiential rewards might resonate more than simple discounts. A "VIP experience" or exclusive access can feel more special than the equivalent monetary value.
6. Goodwill: Appreciation Days That Drive Traffic
Even non-profit organizations benefit from loyalty programs. Goodwill's REwards program demonstrates how to drive traffic on specific days while building ongoing relationships.
How it works: Standard earning is straightforward—1 point per dollar, with $5 off after 100 points. But the magic is in "Customer Appreciation Days" with tiered discounts: 15% off when you spend $15, 20% off when you spend $20, 25% off when you spend $25.
What makes it work:
Predictable special days: Regular appreciation days give customers something to look forward to and plan around.
Spend-tier discounts: The tiered discount structure encourages customers to spend a bit more to unlock better savings.
Community feel: Positioning rewards as "appreciation" rather than just "discounts" creates warmer emotional connection.
Lesson for small businesses: Consider regular special days for your loyalty members—double stamp days, member appreciation events, or exclusive early access. These create anticipation and give customers specific reasons to visit. Perkstar's push notifications make promoting these events to members simple.
7. Woolworths: The Power of Partnership Networks
Australian grocery giant Woolworths' "Everyday Rewards" shows how partnership ecosystems can multiply loyalty program value.
How it works: Members earn points at Woolworths stores (1 point per dollar) but can also earn at over a dozen partner businesses—liquor stores, fuel stations, insurance providers, and more. Points can be redeemed for shopping vouchers or converted to airline points.
What makes it work:
Earn everywhere: The more places customers can earn points, the more valuable the program feels. Daily shopping accumulates alongside fuel, insurance, and other purchases.
Choice in redemption: Customers can choose between shopping vouchers or airline points, appealing to different preferences.
Massive scale: With millions of members, the program creates network effects that make it increasingly valuable to participate.
Lesson for small businesses: Consider local partnerships. You may not build a 16-partner network, but partnering with one or two complementary local businesses—a café partnering with a bookshop, a gym partnering with a smoothie bar—can expand your program's appeal and reach.
8. Hotels.com: The "10 Nights = 1 Free" Simplicity
Hotels.com's rewards program is a masterclass in simplicity. The core proposition takes seconds to understand.
How it works: Book 10 nights, get 1 night free. That's it. The free night's value is based on the average of your 10 paid nights.
What makes it work:
Instant understanding: No points to calculate, no tiers to track. Everyone immediately grasps what they're working toward.
Fair value: Basing the free night on the average of paid nights ensures the reward feels proportional to what customers spent.
Flexibility: Whether it's one 10-night trip or ten separate weekends, progress accumulates the same way.
Lesson for small businesses: Simplicity is powerful. "Buy 9, get 1 free" is instantly understood by every customer. You don't need complex point calculations to run an effective program. Perkstar's stamp cards work exactly this way—simple, clear, effective.
9. Zambrero: Free Burritos, No Complexity
Mexican restaurant chain Zambrero runs one of the most straightforward punch card programs you'll find—and it works beautifully.
How it works: Collect 10 stamps, receive a free Classic Burrito or Classic Bowl. That's the entire program.
What makes it work:
Zero confusion: There's nothing to explain. Every customer understands immediately.
Desirable reward: A free burrito is exactly what customers came for. It's not a discount on something else or a lesser item.
Quick to achieve: Ten stamps is reachable within a reasonable timeframe for regular customers, keeping motivation high.
Easy to promote: Staff can explain the program in one sentence. "Get a stamp each visit; your 10th burrito is free."
Lesson for small businesses: Don't overcomplicate things. The most effective programs are often the simplest. If you can explain your program in one sentence, customers will understand, participate, and tell others.
Common Threads: What These Programs Share
Looking across all nine examples, several patterns emerge:
Clarity of proposition: Every successful program can be summarized in a sentence or two. Customers never have to wonder how it works.
Rewards worth wanting: Free pizza, free burritos, free hotel nights—the rewards are things customers genuinely value, not consolation prizes.
Digital convenience: Even programs that started with physical cards have embraced digital. Customers expect to track progress on their phones.
Surprise and recognition: Beyond mechanical earn-and-redeem, the best programs include unexpected moments that create emotional connection.
Cross-category integration: Where possible, programs span multiple products or partner businesses, maximizing earning opportunities.
Applying These Lessons to Your Business
You don't need Domino's marketing budget or Woolworths' partner network to run an effective loyalty program. The principles scale down perfectly:
Start simple: A basic stamp card—"Buy 9, get 1 free"—works for most small businesses. You can add complexity later if needed.
Reward your core product: Make the reward something customers actually want. Free coffee at a café, free haircut at a salon, free sandwich at a deli.
Go digital: Modern loyalty platforms like Perkstar let you run professional digital punch cards with wallet integration, push notifications, and customer data—without technical complexity.
Add personal touches: Automated birthday rewards, milestone recognition, and occasional surprises differentiate your program from forgettable alternatives.
Keep it fast: Stamp allocation should take seconds. Any friction at checkout erodes participation.
Perkstar was designed around these principles. The platform offers eight card types—including simple stamp cards that mirror the most effective programs in this article—with wallet integration that removes friction, push notifications for communication, and automated rewards for birthdays and milestones.
The 14-day free trial lets you build and test your program with real customers before committing.
