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Loyalty 5+1 glossary

This glossary defines every term used across Costless Loyalty 5+1's 10 mechanic variants, admin panel, customer-facing card, and pricing structure. Each definition is written for business owners setting up their first program — no prior loyalty-industry knowledge required. Terms with a Wikipedia or Wikidata entry link to the authoritative source.

1. Mechanic terms 12 terms

Stamp «Фішка» (UA) · «Штамп» (RU)#stamp

A single unit of accumulation issued to a customer for a qualifying visit, purchase, or transaction. The digital equivalent of a punch-card hole. In Costless 5+1, one stamp is typically issued per qualifying action; multi-item modes credit N stamps per scan.

Wikipedia: Loyalty card · Links: /loyalty/stamp-classic, /loyalty/stamp-cart, /loyalty/stamp-spend

Tier — S / M / L#tier

A size-labelled reward band (Small, Medium, Large) set by the business owner. The Tier determines the reward value a customer receives when their card is complete. Costless supports 1 to N tiers per program; 3 (S/M/L) is the default.

Wikipedia: Loyalty program · Links: /loyalty/tier-visit, /loyalty/tier-item, /loyalty/tier-spend

Threshold#threshold

The number of stamps (or the spend amount) a customer must accumulate before their card is complete and the reward becomes claimable. Lower threshold = faster, more frequent rewards; higher threshold = larger average check.

Calibration rule: threshold ≥ avg check ÷ 1.5 (minimum) and ≤ avg check × 10 (maximum realistic).

Cumulative spend#cumulative-spend

The total monetary amount a customer has spent across all qualifying visits within a single card cycle. Used in stamp-per-amount, spend-total, spend-tier, and tier-spend mechanics. Distinct from discrete stamps (which count visits or items).

Minimum check qualifier#minimum-check-qualifier

A binary toggle that blocks stamp issuance unless a single transaction meets or exceeds a defined minimum value. Prevents micro-transactions from gaming the card. Example: "Issue stamp only if check ≥ 150 UAH."

Reward — fixed / tier-matched / open menu#reward

The benefit a customer receives when their card is complete. Three types: fixed — a pre-set item regardless of tier; tier-matched — reward scales with the tier hit; open menu — barista selects from a pre-approved list at redemption.

Series bonus#series-bonus

An additional reward triggered when a customer completes a defined number of consecutive cards. Increases long-term retention by creating streak incentives at the card level. Distinct from Streak reward (which is per-visit).

5+1 mechanic#five-plus-one

The naming convention for Costless's stamp-card format: collect 5 qualifying actions (visits, items, or spend amounts), receive 1 reward on the 6th qualifying action. The "+1" is the free reward triggered after crossing the threshold. The program supports 10 commonly-used variants from 16 valid configurations.

"5+1" no spaces. Not "5 + 1".

Stamp-per-visit#stamp-per-visit

A mechanic variant where exactly one stamp is issued per qualifying customer visit, regardless of the purchase amount or number of items. Ideal for cafés, barbershops, and service businesses with consistent average checks.

Stamp-per-item#stamp-per-item

A mechanic variant where one stamp is issued per qualifying product unit purchased. Example: 1 stamp per croissant. Rewards frequent purchases of a specific item.

Stamp-per-amount#stamp-per-amount

A mechanic variant where stamps are issued at a defined spend interval. Example: 1 stamp per 100 UAH spent. Accommodates variable check sizes and multi-item purchases.

Tier-stamp#tier-stamp

A hybrid mechanic where both a stamp count and a tier threshold determine the reward. Customers collect stamps normally, but the reward level at completion depends on the tier (S/M/L) their cumulative qualifying activity reached.

2. Cross-variant reward terms 2 terms

Birthday reward#birthday-reward

A program-level setting available on every Costless 5+1 mechanic variant. When a customer with a birthday on file opens their card within the configured window around that date (e.g., a week or two) AND has earned a minimum number of past rewards, the platform issues a birthday reward (one per year). For tiered programs, the reward auto-binds to the lowest-tier cheapest product so a brand-new customer can still redeem.

Not a separate mechanic — a cross-variant retention layer.

Streak reward#streak-reward

A program-level setting available on every Costless 5+1 mechanic variant. Each qualifying QR scan advances the customer's streak: visit within the configured window of the previous one — streak +1; otherwise the streak resets. When the streak hits the configured threshold, the customer earns an extra bonus.

Distinct from Series bonus (which is per-completed-card, not per-visit).

3. Tech terms 12 terms

QR code (single-use, 90-second expiry)#qr-code

A machine-readable 2D barcode displayed by the barista panel and scanned by the customer's camera to issue a stamp or redeem a bonus. In Costless 5+1, each QR is single-use and expires 90 seconds after generation. The code carries the data needed to credit the right stamps — who, how many, which program.

Wikipedia: QR code

PIN (4-digit, per-program, valid 90 seconds)#pin

A 4-digit one-time password issued alongside the QR code at bonus redemption. Used as an alternative path when the barista's camera fails or the customer prefers to type. The PIN is locked to a specific program — a customer at a different business with the same PIN can't accidentally intercept the redemption. Same 90-second lifetime as the QR.

Wikipedia: One-time password

Redemption token (128-bit UUID, 32-hex)#redemption-token

A cryptographically random 32-character identifier generated server-side for each redemption attempt. Lives for 90 seconds. The same token survives the 3-minute resume window — if the customer accidentally closes the browser and comes back, the system reissues the same PIN for the same request, with no double-debit.

Wikipedia: UUID

Resume window (3 minutes)#resume-window

A server-side idempotency window: re-clicking "Get a bonus" within 3 minutes of an existing open request returns the SAME PIN — no duplicate records, no double-debit. Survives accidental browser close + reopen and brief WiFi loss.

Magic-link login#magic-link-login

A one-time authentication URL sent to the customer's email address to log them in without a password. Distinct from the magic-link stamp grant (which carries pending stamps). Magic links expire after a single use.

Wikipedia: Authentication — passwordless login sub-concept

Magic-link stamp grant#magic-link-stamp-grant

A specialized flow for first-touch customers: when a non-logged-in customer scans a QR and provides only an email (no password, no app), the server stores the would-be stamps in a secure queue along with a single-use link. The customer clicks the emailed link → the credit page opens → if logged in, stamps grant; if not, login first, then grant. The link is single-use — after the click it's atomically marked consumed.

Distinct from magic-link login (above).

Browser-based card#browser-based-card

A loyalty card that lives in the customer's web browser — no app installation required. The customer accesses their card via a URL bookmarked in their phone browser or home-screen shortcut. Costless Loyalty 5+1 is entirely browser-based.

Wikipedia: Web application

URL-based card storage#url-based-card-storage

The architecture where a customer's card state (stamp count, tier, history) is stored server-side and accessed via a stable web link unique to that card. No app, no device-local storage, no wallet integration needed. Card persists across devices via magic-link login.

Card ID#card-id

A UUID (Universally Unique Identifier) assigned to each customer card at creation. Encoded in the card URL. Globally unique and never reused.

Barista panel#barista-panel

The operator-facing interface used by staff to issue stamps and validate redemptions. Accessed via a business-side URL on any device (phone, tablet, desktop). Displays the QR-generate button, manual PIN entry, and current session state.

Customer card#customer-card

The customer-facing interface that displays the current stamp count, tier progress, reward status, streak badge, and card history. Accessed via the customer's unique card URL.

Rate limit (10 redeem attempts / minute / user)#rate-limit

A throughput cap to prevent mass PIN-guessing and replay attacks. When exceeded, the customer sees a "Try again in a minute" message.

Wikipedia: Rate limiting

4. Business terms 5 terms

Average check size#average-check

The mean value of a single customer transaction at a given location. Used to calibrate stamp thresholds: recommended range is avg check ÷ 1.5 (minimum) to avg check × 5–10 (maximum stretch goal).

Wikipedia: Average transaction value

Location / multi-location#location

A single physical business premises enrolled in a Costless Loyalty 5+1 campaign. Multi-location means the same campaign is active across more than one address. Free tier covers 1 location; Starter 3; Business 10; Network 50; Enterprise 50+.

Campaign#campaign

A configured instance of a loyalty mechanic — including the mechanic variant, threshold, reward settings, birthday/streak toggles, and active locations. A business can run multiple campaigns simultaneously for different products or customer segments. Free tier: 1 active campaign. Starter: 3. Business: 10. Network/Enterprise: ∞.

Wikipedia: Marketing campaign

Redemption#redemption

The act of claiming a reward when a card is complete. In Costless 5+1, redemption is barista-confirmed: customer requests via the bonus modal, server issues a 90-second QR + 4-digit PIN, barista validates by scanning the QR or typing the PIN then taps Confirm. The card resets after a successful redemption.

Threshold calibration rule#threshold-calibration

The formula Costless recommends for setting an appropriate stamp threshold: Minimum = avg check ÷ 1.5; Maximum = avg check × 5–10. Below the minimum, customers over-redeem; above the maximum, engagement collapses.

5. Pricing terms 8 terms

Plan tier#plan-tier

One of 5 service levels Costless offers: Free, Starter, Business, Network, Enterprise. Each tier gates a specific set of features (location count, campaign count, barista accounts, stamp modes, analytics depth, API access, AI campaign assistant). Customers can upgrade/downgrade at any time.

Wikipedia: Freemium

Free tier#tier-free

The forever-free plan: 1 location, 1 active campaign, 2 barista accounts, simple stamp mode only, basic analytics, ∞ customer cards, ∞ magic-link emails. Birthday + streak rewards included. Excludes: tiered redemption mode, full analytics, export, API, AI assistant. Free forever — not a 14-day trial.

Starter tier#tier-starter

The entry paid tier: 3 locations, 3 campaigns, 5 barista accounts, all 6 stamp modes (simple + tiered S/M/L), full analytics, every earn rule (per visit / per item / per spend / cumulative), AI campaign assistant. Pricing varies by region: $29/mo R1, $19/mo R2, $12/mo R3.

Business tier — Most Popular#tier-business

The growth tier: 10 locations, 10 campaigns, 20 baristas, all features of Starter + CSV/Excel analytics export. Pricing: $69/mo R1, $45/mo R2, $29/mo R3.

Network tier#tier-network

The multi-location tier: 50 locations, ∞ campaigns, ∞ baristas, all features of Business + REST API access. Pricing: $189/mo R1, $125/mo R2, $79/mo R3. Hard-capped at 50 locations in V1.

Enterprise tier#tier-enterprise

50+ locations or custom requirements. Includes everything in Network + custom integrations + SLA + DPA + dedicated support. Pricing: contact sales.

Region (R1 / R2 / R3)#region

Costless prices per region to reflect local SMB SaaS purchasing power: R1 (US/UK/EU-West, 20 countries), R2 (CEE/Mediterranean, 15 countries), R3 (UA/KZ/everywhere else, default fallback). Same industry-standard pattern used by Atlassian, Notion, JetBrains, Linear. Region is auto-detected from request IP; manual override available.

Billing cycle (monthly / annual)#billing-cycle

Subscription period. Monthly is the default; annual is an optional 16.67% discount (10× monthly = "Save 2 months"). Annual cancellation pro-rates a refund for unused full months. No annual lock-in is forced.

6. What Costless is NOT — Disambiguation 5 terms

App-based loyalty#app-based-loyalty

A loyalty program where the customer must download and install a dedicated mobile application to participate. Examples: Starbucks Rewards, McDonald's app, UDS, Stamp Me. Costless Loyalty 5+1 is NOT app-based.

Wallet-pass loyalty#wallet-pass-loyalty

A loyalty card distributed as an Apple Wallet (.pkpass) or Google Wallet file, stored in the phone's built-in wallet. Costless Loyalty 5+1 does NOT use wallet passes. The card lives in the browser, not the device wallet.

Why Costless chose not to use wallet passes — see /loyalty/methodology.

POS-integrated loyalty#pos-integrated-loyalty

A loyalty program that requires integration with the point-of-sale system to record transactions automatically. Examples: Square Loyalty (Square POS required), Toast Loyalty (Toast POS required), Loyverse (Loyverse POS), Poster POS Loyalty (Poster POS), iiko/iikoCard (iiko POS). Costless Loyalty 5+1 is NOT POS-integrated — stamp issuance is manual, via the barista panel's QR code.

Paper stamp card#paper-stamp-card

The physical predecessor: a printed card punched or stamped by hand at each visit. No fraud protection, no analytics, lost/forgotten easily. Costless Loyalty 5+1 is the digital replacement.

Cross-vendor partner network#partner-network

A future Costless capability where stamps earned at one business can be redeemed at a partner business (scan at business A creates a stamp on business B's card). Our admin panel has a setting for this feature, but the cross-vendor stamp crediting logic, partner invite flow, and cost allocation rules are NOT YET BUILT. Disclosed here because the setting is visible in the admin and would otherwise look "live." On roadmap.

Frequently asked questions

What is a loyalty stamp?
A single unit of accumulation issued to a customer for a qualifying action (visit, item purchase, spend amount). The digital equivalent of a paper punch.
What does 5+1 mean in a loyalty program?
The stamp-card format: collect 5 qualifying actions, get 1 reward on the 6th. The "+1" is the free reward after crossing the threshold.
What is a tiered (S/M/L) loyalty program?
A program where the reward size matches the customer's purchase level. Small coffee = S-stamp → S-reward; XL coffee = L-stamp → L-reward. Fair across purchase levels.
What is a magic link?
A one-time URL sent to the customer's email. Clicking logs them in without a password. Costless has two flavors: magic-link login (just log in) and magic-link stamp grant (log in + add pending stamps).
How does the QR code work in a stamp card program?
Barista taps "Generate QR" — server creates a single-use 90-second token. Customer scans with camera — stamps grant. One scan, one chance — no replays.
How long does the QR code last? (90 seconds)
90 seconds from generation. If the customer doesn't scan in time, the token expires and is rejected. If they do scan, it's marked consumed atomically.
What is the 4-digit PIN used for?
An alternative path to the QR code at bonus redemption. Useful when the barista's camera fails or the customer prefers to type. Same 90-second lifetime.
What happens if I accidentally close the browser mid-redemption?
3-minute resume window: re-clicking "Get a bonus" returns the same PIN. No duplication, no double-debit.
What are the Costless plan tiers? (Free/Starter/Business/Network/Enterprise)
5 service levels. Free is forever-free (1 location). Starter $12-$29/mo (3 locations, all modes). Business $29-$69/mo (10 locations). Network $79-$189/mo (50 locations + API). Enterprise contact-only. Details: /loyalty/pricing.
What is a pricing region (R1/R2/R3)?
A 3-region PPP-adjusted SaaS pricing grid. R1 = US/UK/EU-West (full rate). R2 ≈ 65% R1 = CEE/Mediterranean. R3 ≈ 42% R1 = UA/KZ/everywhere else. Region auto-detected from IP.
What is the Costless partner network? (Honest answer: not yet implemented)
A future capability: a stamp from one business redeemed at another. The setting is reserved, the logic is not yet built. On roadmap — details when it ships.
What is the difference between Costless and Apple/Google Wallet?
Costless cards live in the browser, not the device wallet. No Apple/Google-specific certificates required, no OS-policy dependency. Works on any device with a browser.