When running an earn and burn program as part of your loyalty program, it's important to plan your point strategy. Consider how many points customers should earn, for which actions, and most importantly - when should those points expire.

This article describes the different point expiry models available in Engage and shares best practices to help you choose the right model based on your earn and burn/loyalty strategy.

The models available are:

• Rolling
• Calendar year
• Contact Inactive
• Never

What is “Rolling”?

In this model, each transaction of points expires a set number of months after it becomes valid — for example, 24 months after the earning date. Each transaction has its own individual expiration.

When to use this model

Rolling expiry is ideal if you want to

• Ensure a consistent, predictable lifespan for points
• Avoid seasonal spikes in point expiration

Best practices for implementation

Typical duration: 12, 24 or 36 months

Set up triggers: Send reminders via email or SMS before expiration, but be aware that points can expire from day to day, so don't over-communicate

What is “Calendar year”?

Points expire on January 1st a set number of calendar years after the year they were earned. For example, for a 2-year setting, points earned during 2023 expire on January 1st, 2026.

Number of years (x) before the points expire.

x = 1 -> ongoing year and next year is valid.

x = 2 -> ongoing year and next two years is valid.

And so on.

When to use this model

Fixed calendar expiry is great if you want to:

• Simplify communication with a single annual expiry deadline
• Run Q4 urgency campaigns ("Use your points before New Year!")
• Reduce confusion for both customers and support staff

Best practices for implementation

Common setting: 1 or 2 calendar years

Focus campaigns in Q4: Drive urgency during holiday shopping

Communicate early: Avoid last-minute expiry complaints

Use earning year segments if you have more than 1 calendar year: Build selections to identify whose points will expire next January,

What is “Contact Inactive”?

In this model, the whole points balance expires if the contact has not had any point-generating activity for a certain period of time (months) — for example, no purchases or other activities that resulted in a point transaction within x months.

When to use this model

This is the right fit when you want to:

• Reward only engaged, loyal customers
• Automatically clean up points for inactive or lapsed contacts
• Promote re-engagement with your brand
• Make customer communication straightforward (e.g., "Your points will expire soon!")

Best practices for implementation

Typical inactivity period: 12–36 months

Customer terms must reflect this: Be clear that inactivity affects point balance

Create reactivation journeys: Trigger reminders before expiration to drive action

Monitor outcomes: Track how much point value expires and adjust the period if needed and if you feel that point debt increases.

What is “Never”?

Points never expire. Customers can save and redeem their points at any time in the future.

When to use this model

This model is useful when:

• You want a frictionless loyalty experience
• Your program targets low-frequency, high-value customers
• You’re running a premium or simplified loyalty setup

Best practices for implementation

Promote it as a benefit: Highlight “Your points never expire” in onboarding and promotions

Use motivational triggers anyway: Even with no expiry, encourage redemption with nudges so that the point debt won't grow in eternity.

Generate vouchers more often: Decrease point debt

Switching between methods

If you want to change expiry method, Engage supports this, but be aware that the change will only be applicable on new point transactions, i.e. old transactions that had, for example, expiry "Never" will still have a life long validity even if the expiry method is changed.

Also, consider how to communicate the change towards your members. You probably describe the expiry method/rules in your member terms, so consider how and when to change those so they are aligned with the change in Engage.

Article last reviewed 12 February 2026 11:32