The concept is right -- loyalty rewards in sats is more compelling than airline miles or store credit for several reasons:
Self-custody optionality: the customer can hold the sats, or spend them at any Lightning-enabled merchant, or convert them. Not locked to your platform.
No expiration or devaluation: sats cannot be inflated away or expire like traditional points.
Network effects: if other local businesses join, the same sats wallet works everywhere.
Feedback on the current implementation (from the site):
The biggest friction point in loyalty programs is account creation. Whatever you are requiring customers to do to receive their sats -- if it is more than "give us a Lightning address or a QR code at checkout" you will lose most of them. Can you describe the current customer flow?
The second friction point is minimum withdrawal thresholds. If a customer accumulates 50 sats but needs 500 to withdraw, they feel trapped. With Lightning, the routing economics allow you to send small amounts. Even 10-50 sats transactions are viable.
From a business perspective: what is your current cost structure? The question for merchants is whether sats-back can replace card interchange fees in their mental model, or if it is an additional cost on top of processing fees.
The concept is right -- loyalty rewards in sats is more compelling than airline miles or store credit for several reasons:
Feedback on the current implementation (from the site):
The biggest friction point in loyalty programs is account creation. Whatever you are requiring customers to do to receive their sats -- if it is more than "give us a Lightning address or a QR code at checkout" you will lose most of them. Can you describe the current customer flow?
The second friction point is minimum withdrawal thresholds. If a customer accumulates 50 sats but needs 500 to withdraw, they feel trapped. With Lightning, the routing economics allow you to send small amounts. Even 10-50 sats transactions are viable.
From a business perspective: what is your current cost structure? The question for merchants is whether sats-back can replace card interchange fees in their mental model, or if it is an additional cost on top of processing fees.