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Returns Affect Frequent Buyer |
  
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Returns Affect Frequent Buyer |
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How Customer Returns Affect Frequent Buyer Awards
When the customer chooses to return a product which has earned him points or store credits, POSitive will not automatically reduce the points or store credits already awarded and on hand. Instead, POSitive makes notation of the value returned.
The customer must then purchase more product to cover the returned value before earning new points or credits. In other words, if an item is returned and a refund issued, then the refund value will create a negative number of points or credits and are displayed as a negative balance.
Again, the negative and positive totals of points are not recalculated. Future purchases will whittle away at the negative value until they are gone and then positive points will be tallied again.
For example,
A customer made a purchase which earned her 25.90 in credit (or points). She now has a Balance Toward the next Reward of 0.06 (see (A) below)
(Note of Explanation: the purchase of 45.06 utilized the 45.00 to generate a reward and the .06 was unused, hence it became the Balance Toward Reward. (see (B) below))
The customer then returned the item on a new Invoice #1306. The amount returned was again $45.06 (see (C) below) however the negative 45.06 was added to the positive 0.06 to create a total of negative 44.92. (see (D) below)
Note that the Total Rewards of 25.90 never changed during the return process. (see (E) below). This is by design.
(Editor's Note: As of this writing it is anticipated that this process and procedure will be streamlined to make an immediate adjustment to the Total Rewards in a future version of POSitive.)
This means that before the customer will earn a new reward, the customer will have to make purchases to offset the -44.92 first and then additional purchases to reach the reward plateau before a new reward will be issued.
