Non-tangible rewards

Difficulty level — medium
Arrange your own Oscar Awards and reward your customers! Set up a system of non-tangible rewards and combine several non-tangible reward mechanics to draw users' attention to your product. Use badges, statuses, rating systems, and rewards for completing the tasks, win, or special product events.


Attachment to the product will strengthen
Set up a system to grant users a non-tangible reward for every significant action. For instance, grant badges for setting up a deposit account or upgrade users' status for using cashback points. Positive reinforcement motivates the customer to repeat the action and hence develop a habit.
Coverage will increase
Set up a "share" button; this way, customers will share their non-tangible rewards on social networks. This mechanic will increase the coverage of the information about your product and possibly trigger word-of-mouth marketing.

Key Performance Indicators

increase in the number of completed targeted actions
Track whether the targeted actions that you reward for are being done. They can come in any form: purchasing, reposting a referral link, leaving a review, or subscribing to social networks.
number of reposts
The number of reposts indicates the creativity level of your copywriters and designers. A reward should spark an emotional response so that people will share it on social networks.

Required resources

Graphic designer

Game mechanics

How to apply the Potion

Connect the targeted actions to your KPIs
With the assistance of an analyst, link the overall KPIs of your company to the actions that are required from the user. If you need to lower new customers' engagement costs, encourage users to leave feedbacks and share their promo codes with friends. If LTV is important to you, focus on re-visits to the service. Develop a super-detailed table relating your business' KPIs to those targeted actions that could contribute to their changing.
Divide the target audience into segments
Divide your customers into several categories. You can divide them based on various indicators: for instance, based on the length of the customer retention period or behavioral characteristics. You may also divide them based on the demographics. That will help you understand what type of rewards to grant every category. Do not put all of them under the same roof. Adjust the division into categories depending on the level of the effectiveness of the targeted actions.
Try various types of rewards
Test the system during the first six months of implementation. Combine several types of rewards or leave only one, for instance, badges, if it has proven to be effective.
Inform the user about the reward
Getting a non-tangible reward should bring out pleasant emotions. Involve a designer and think of an appealing way to give out the award. Do not forget to set up the "share" button and include a place in your service where rewards will be stored and accumulated.