Best Customer Loyalty Programs in India

Customer loyalty programs in India are evolving fast. From point systems to hybrid models, this guide explores top examples and shows you how to build one that drives repeat purchases and strengthens long-term brand relationships.

Written by Apeksha Khanna, 22 May 2025

Dirigir una empresa no es tarea fácil, sobre todo cuando se trata de captar la atención de nuevos consumidores hacia su marca. La captación de nuevos clientes es una actividad que exige mucho tiempo y atención, lo que agota por completo su energía y le impide concentrarse en otras áreas importantes de su negocio.

For entrepreneurs attaining new business is essential and a big challenge too; but what if we tell you there are other options/techniques to expand your business in less time with few resources. It seems to be a good idea, doesn’t it? Well, the option/technique to this ‘solution’ is none other than customer loyalty programs. Existing customers generate more revenue as compared to new customers.

According to Deloitte’s retail survey, “Businesses with loyalty programs are 88% more profitable on an average as compared to their competitors who do not.” Converting a new customer into a repeat customer does not happen overnight. This is the reason why customer loyalty programs should be considered.

customer loyalty program is a well-structured marketing strategy that a brand implements to get customers (associated with the program) to continue to use their products or services for added benefits in return.

How to build a customer loyalty program

A great loyalty program goes beyond points and discounts — it builds emotional connections, encourages engagement, and inspires repeat behavior. Here's how you can craft a loyalty program that stands out and delivers real value.

1. Start with a standout name

Your program’s name sets the tone. A strong name should feel exciting, spark curiosity, and make customers want to learn more. It’s not just about “rewards” — it’s about identity, exclusivity, and belonging.

Names like Insider Circle, Perks Club, or Rewards Collective imply value and community without being overly generic. Aim for creativity that aligns with your brand’s personality.

Pro Tip: Test a few name ideas with your audience through polls or A/B testing before finalizing.

2. Tie it to a meaningful purpose

A loyalty program should feel authentic — not just a tactic to increase sales. Customers are more likely to join and stay engaged if the program connects to a deeper brand mission.

Make it about something bigger than transactions. Link your program to values like sustainability, empowerment, or personalization — depending on your brand’s ethos.

Pro Tip: If you’re a purpose-driven brand, allow customers to earn rewards for actions like recycling packaging, choosing eco-friendly options, or supporting social causes.

3. Reward more than just purchases

Customer loyalty isn’t built only at the checkout. Reward actions that reflect genuine engagement, such as:

  • Referring a friend
  • Sharing your product on social media
  • Writing reviews
  • Watching videos or completing product tutorials

These touchpoints reflect brand affinity and should be celebrated.

Pro Tip: Build a points system that tracks both transactional and non-transactional actions to increase touchpoint frequency and engagement.

4. Offer reward variety

Not every customer values the same thing. Some may want discounts, while others prefer exclusive experiences, free subscriptions, or the chance to support a cause.

Offering options helps you connect with different customer motivations and makes your program more inclusive.

Pro Tip: Let customers choose how they use their points — for purchases, donations, event access, or even charitable gifts — to boost perceived value.

5. Assign real value to points

If you’re using a points system, make sure it’s clear what those points are worth. Transparency builds trust and gives customers a tangible goal to work toward.

Use visual tools like a rewards calculator or simple conversion rates (e.g., 100 points = ₹100) to simplify the math and reinforce value.

Pro Tip: Periodically showcase how customers can redeem points to inspire action — especially during promotions or seasonal events.

6. Incorporate non-monetary benefits based on shared values

Your most loyal customers likely share your values. Reflect those in your rewards.

This could include giving customers the option to:

  • Convert points into donations
  • Support social or environmental initiatives
  • Participate in community-led projects
Pro Tip: Survey your audience to find out what causes or themes matter most to them, then design rewards or seasonal campaigns that align with those passions.

7. Promote enrollment everywhere

Don’t wait for customers to stumble upon your program. Actively promote it across:

  • Product pages (e.g., “Earn 100 points with this purchase!”)
  • Email campaigns
  • Redes sociales
  • Checkout pop-ups
  • In-app or on-site banners
Pro Tip: Use contextual nudges like “You’re only 50 points away from your next reward” to drive real-time signups and redemptions.

8. Explore strategic partnerships

Collaborating with aligned brands can elevate your program’s appeal. It exposes your loyalty initiative to a wider audience while enhancing reward options.

For example, pair up with a fitness app, event platform, or eco-conscious brand to offer cross-benefits that appeal to both audiences.

Pro Tip: Choose partners whose products complement yours and whose customers share similar interests or values.

9. Add a gamified twist

Gamification boosts engagement and gives users a sense of progress. Use badges, levels, leaderboards, or milestone unlocks to make loyalty feel like an achievement.

Make it fun, visual, and goal-oriented — so customers look forward to reaching the next level.

Pro Tip: Tie gamification to both behavior and time. For instance, reward users who engage weekly, hit monthly milestones, or complete missions like “Refer 3 friends in 30 days.”

Examples of customer loyalty programs in India

Captar la atención de "nuevos clientes" e intentar convertirlos en "clientes fieles" es una tarea tediosa, larga y costosa. En su lugar, basta con que se hable de su marca para atraer a nuevos clientes.

But how can this be done? How do you use positive reviews, eye-catchy tweets Instagram mentions and other social networking websites to boost the development of your business? It’s over here where the customer loyalty program proves to be useful.

A continuación se destacan algunos de los mejores ejemplos:

1. Point-based programs

En función de su capacidad de gasto, los clientes acumulan puntos que pueden canjear por productos o servicios gratuitos. Funciona con una sencilla funda: "gasta más para ganar más". Cada vez que un cliente realiza una compra obtiene una determinada cantidad de puntos en función del volumen de su compra.

El sistema de puntos debe ser sencillo y fácil de calcular y comprender para los clientes. Por ejemplo 50 rupias = 1 punto.

Example: Myntra Insider

Myntra's Insider program rewards customers with points for shopping, writing reviews, and engaging in promotional activities. These points can be redeemed for exclusive benefits, such as early access to sales and personalized styling sessions. The program is free to join, with eligibility based on shopping history.

2. Programa escalonado

Se trata de un sistema avanzado de puntos. Tras acumular un determinado número de puntos, el cliente pasa al siguiente nivel y recibe las ventajas de ese nivel. Cuanto más fieles sean los clientes a su marca, mayores serán las recompensas. Este programa se utiliza en el comercio electrónico y especialmente en el sector de los viajes.

Example: Shoppers Stop – First Citizen Club

Shoppers Stop's First Citizen Club offers a multi-tiered loyalty program where members progress through levels like Classic, Silver, Gold, and Black based on their shopping frequency and amount. Benefits include exclusive previews of new products, personalized shopping experiences, and priority services.

3. Paid program

Este programa es fácil de entender, ya que los clientes pagan una cuota mensual o anual para unirse, formar parte y beneficiarse de las ventajas del club de socios VIP. Para que este programa sea eficaz, se necesita una base de clientes sólida.

Example: Amazon India – Amazon Prime

Amazon Prime is a subscription-based program offering members benefits like free shipping, exclusive deals, and access to Prime Video and Music. As of 2024, Amazon offers various Prime membership plans based on duration, providing flexibility to customers.

4. The value-based program

Crear algo creativo y único en lugar de meros puntos puede hacer que el cliente recuerde su marca. El programa basado en valores es adecuado para el sector del comercio electrónico. Si un programa de fidelización se estructura en torno a los valores de sus clientes, hay muchas posibilidades de que se conviertan en fieles a su marca.

Example: Tanishq – Golden Harvest

Tanishq's Golden Harvest program allows customers to save a fixed amount monthly over a set period, which can be redeemed for jewelry purchases. This program emphasizes value and savings for loyal customers, offering a special discount upon maturity.

5. The coalition program

Since loyalty programs are gaining importance; customers are looking for suppleness in rewards. Customer Loyalty programs can be created by partnering up with other businesses. This will let you build new relationships as well as give more prospects to customers.‍

Example – Rakuten

Rakuten is one of America’s most popular cashback and loyalty platforms. Formerly known as Ebates, it allows customers to earn cashback rewards and points when they shop through its platform across thousands of partner retailers, both online and in-store.

Points earned at online stores
When shopping online at popular retailers like Macy’s, Walmart, Best Buy, or Sephora via Rakuten’s website or app, customers earn a percentage of their purchase amount back in the form of cashback. For example:

-Macy’s: Up to 10% cashback during promotions
-Nike: 6% cashback on eligible purchases
-Sephora: 4% cashback during regular seasons

In-store shopping
Rakuten also supports in-store cashback at select retailers. Members can link their credit or debit cards, shop in-store, and automatically earn cashback on qualifying purchases.

Bonus opportunities
Rakuten members can earn extra rewards by referring friends (e.g., $30 for each successful referral) or by taking part in seasonal promotions and special cashback events.

Rakuten’s cashback rewards are paid quarterly via PayPal or check, making it a convenient and rewarding loyalty program for everyday shoppers in the U.S.

6. Cash back program

Estos programas son fáciles de crear, mantener y comprender. La propuesta es fácil de entender: "Recibes una cantidad determinada a cambio de la cantidad X que has gastado". Estos programas se utilizan para aumentar los importes de las transacciones y reducir sus tasas de abandono.

Example: HDFC Bank – SmartBuy

HDFC Bank's SmartBuy program offers customers cashback and rewards across sectors like travel, entertainment, and retail by partnering with brands like Amazon, BookMyShow, and Myntra. Customers can avail of up to 10% cashback on select categories.

7. Hybrid program

Este programa es una combinación de más de un tipo de programa. Este programa permite a los clientes ganar puntos, así como obtener algunas recompensas atractivas también.

Example: Tata Group – Tata Neu

Tata Neu combines various Tata brands into a single platform, allowing customers to earn and redeem points across different services, from retail to hospitality, providing a hybrid loyalty experience. The NeuPass program integrates rewards from brands like Taj Hotels, BigBasket, and Croma.
Pro tip: Avoid combining too many different programs as this would leave the customer confused.‍

8. Healthcare card loyalty program

El seguro de enfermedad suele cubrir los gastos de hospitalización. Para el resto de las necesidades médicas, como pruebas diagnósticas, revisiones, consultas con el médico, etc., estos gastos tienen que correr a cargo de los clientes. Por otra parte, los precios siguen subiendo de vez en cuando, lo que tampoco ayuda.

Esto deja un vacío entre las prestaciones que ofrece la aseguradora y los gastos que soporta el cliente en asistencia sanitaria. Las compañías de seguros intentan colmar esta laguna ofreciendo tarjetas de descuento sanitario, que son un tipo de tarjeta de fidelización. Los clientes pagan una cuota de afiliación y la aseguradora les ofrece una tarjeta con la que pueden beneficiarse de descuentos de entre el 30 y el 35% en gastos relacionados con la hospitalización y no hospitalización, como revisiones, pruebas diagnósticas, medicamentos, etc.

Customer loyalty program example: Apollo Pharmacy

Apollo Pharmacy, a part of the Apollo Hospitals Group, offers a healthcare loyalty program through its Apollo 24|7 Circle membership. This program is aimed at encouraging customer retention and offering additional healthcare value.

Key Features of the Loyalty Program:
Free Doctor Consultations: Members get free or discounted online consultations with general physicians and specialists.
Exclusive Discounts: Up to 25% off on medicines and healthcare products purchased through Apollo Pharmacy and Apollo 24|7 app.
Priority Access: Faster appointments and reduced waiting time for diagnostics and health check-ups.
Reward Points: Earn points on every transaction, redeemable on future purchases.
Personal Health Records: Secure cloud storage for digital health records and prescriptions.

9. Stamp card and mobile app loyalty program

Se trata de un antiguo y conocido programa de fidelización. La idea básica que lo sustenta es proporcionar a los clientes tarjetas de fidelidad que la marca puede sellar cuando compran determinados servicios y productos. Esta tarjeta sellada puede ser utilizada por el cliente como recompensa para obtener productos o servicios gratuitos del mismo valor. Los clientes también pueden obtener puntos haciendo un pedido a través de una aplicación móvil.

Air India – Flying Returns

Air India's Flying Returns program has been enhanced with a mobile app, allowing members to track points, book flights, and access exclusive offers, providing a seamless mobile loyalty experience. The revamped program offers a simplified structure and more customer-friendly features.

Build loyalty that grows with your brand

Customer loyalty programs have steadily gained traction across India in industries such as retail, travel, healthcare, telecom, and hospitality. However, while the presence of loyalty programs is widespread, their potential remains largely underutilized.

Many of these programs are still centered around basic mechanics like points, discounts, and vouchers. These models often lack emotional connection and personalized experiences that create long-term brand affinity.

The real challenge lies in bridging the gap between collecting customer data and transforming that data into meaningful, actionable insights. Without a structured approach and a well-organized database, most marketers are left struggling to measure impact or scale results effectively.

This is exactly where Loyalife transform the way you think about loyalty.

Loyalife is a complete loyalty innovation ecosystem designed for marketers who want to create more than just transactional relationships. You can go beyond generic offers and start designing experiences that are personal, intelligent, and built around your customers' values and behaviors.

Whether you are launching your very first program or revamping an outdated one, Loyalife empowers you to:

  • Build flexible and intuitive loyalty journeys.
  • Segment and reward your audience based on real behavior and preferences.
  • Integrate seamlessly with your existing customer platforms.
  • Track, analyze, and optimize in real time without guesswork.

Loyalty is not about handing out rewards. It is about making your customers feel like they belong. It is about showing up consistently, knowing what matters to them, and proving your value at every stage of their journey.

If you are ready to create loyalty programs that customers actually care about, Loyalife is ready to help you make it happen.

👉 Explore how Loyalife can power your next generation of customer loyalty. Get started with a personalized demo today.
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