Cashback in the Dots app is a built-in loyalty program: a percentage of each order returns to the customer's balance as points, and points pay for part of a future order. No plastic cards, no separate loyalty app — the balance lives in the same profile the customer already orders from.
Cashback costs less than the same-size discount
A 10% discount costs you 10% of every order it touches, immediately, including orders that would have happened anyway. Cashback at 10% costs nothing today — it becomes a cost only when the customer returns and redeems, and part of the balance is never redeemed at all. Factor in redemption behavior and the same perceived reward runs roughly 40% cheaper than a discount, while doing something the discount never does: giving the customer a concrete reason to come back to you instead of scrolling a marketplace. We compared the two mechanics line by line in cashback vs discounts.
That returning behavior is the point. Money on a balance is a small unfinished deal — leaving it unspent feels like losing something, and that quiet pull is what turns second orders into habits.
How it works in the Dots app
You set the accrual percentage and the redemption rules in the admin panel: how much of an order can be paid with points, when points expire, and different rates for different customer groups if you want a VIP tier. The app shows the balance on the profile screen, accrues points automatically after each completed order, and lets the customer apply them at checkout with one tap.
Because every accrual and redemption is tied to a customer, the analytics show exactly what the program costs and returns: repeat rate of members versus non-members, average check with and without redemptions. Combined with push campaigns ("you have $4.20 expiring Friday"), the balance itself becomes a retention channel with zero ad spend.
Who gets the most out of it
- Brands with weekly-frequency products — coffee, pizza, sushi, lunches — where a small pull decides the default choice.
- Operators pulling regulars off marketplaces: aggregators cannot match a personal balance in your app.
- Venues that want loyalty without discounting their whole menu in public.
Related features
Branded app with cashback, push campaigns, and analytics — launched in about two weeks.