PROGRAM Guide Selling Sterling Rewards is a proven way to RETAIN MERCHANTS AND INCREASE YOUR EARNINGS. It is a program that sets you apart from your competition and keeps your merchants with you because it works. Sterling Rewards is a differentiator that gives you the tools to be a consultative business partner with your merchant the ticket to building both your merchants and your business with more sales and more profit.
TABLE OF CONTENTS Program Overview...3 Product Features...4 Customer Communication...9 Agreement & Enrollment Form... 10 Implementation... 11 Marketing Materials... 12 Frequently Asked Questions... 13 Addendums... 16 Merchant Agreement/Enrollment Form... 18
PROGRAM OVERVIEW Sterling Rewards is a product designed for mid to large volume merchants who wish to incent customers to frequent their business. Sterling Rewards Cardless program. The Sterling Rewards Cardless program is virtual. With this program, the merchant never has to order plastic cards. Customers register for the rewards program via an online portal or mobile website. Sterling provides the merchant with marketing collateral that lists the rewards portal URL (website address) for registration, along with QR code linking to the mobile version of the merchant s reward portal allowing simple customer registration by smartphone. When a customer wants to redeem their accumulated rewards, they simply log in to their rewards account and print out their rewards card, or simply display their rewards card on their smartphone at the register. Sterling Rewards Card Issuance program. The Sterling Rewards Card Issuance program allows a merchant to provide pre-designed or custom designed rewards cards to their customers. The high quality plastic cards are printed and personalized with both the merchant s name and customer s name. They are mailed directly to the customer within 10 business days of their registering on the merchant s secure rewards portal. Tony s Restaurant www.tonysrestaurant.com John Smith Web Portal The merchant also receives marketing collateral displaying the rewards portal website address, as well as a custom QR code that can be used by their customers to register for the rewards program onsite with their smartphones. The merchant can choose a web portal design using one of 4 template options, or the portal can be completely customized for larger accounts. Both programs automate rewards to a customer s reward account. The rewards are computed for each transaction and processed as a credit to the reward account. These rewards are processed to the rewards card or account one day after the original transaction is made. Eligible Merchants Counter Display Both variations of the Sterling Rewards program are available to single and multi-location merchants processing a minimum monthly volume of $15,000. Recommended merchant types include fast casual restaurants, car washes, and dry cleaning establishments. The merchant must be settling on Sterling s proprietary back end system (SEAN). POS systems must support the Flexcache gift card system. 3
Product Features Merchant Offer Sterling Rewards allows participating merchants the ability to give rewards to eligible cardholders for their purchase. The reward is automatically loaded to a rewards card or account, and the rewards can be used for future purchases at the participating merchant. Rewards value can only be spent at the issuing merchant s establishment. Robust Merchant Reporting Merchants receive notification of the amount of rewards issued to registered cardholders each day in the secure SNAP merchant portal on www.sterlingpayment.com. Merchants can view the reports on-line and download the data in the Excel format. Merchant Monthly Report The merchant may have up to five (5) rewards offers, which can include a percentage of the amount purchased or a fixed amount. The merchant may also choose a maximum reward offering and a minimum purchase amount. The merchant can also set the time of day or day of week for each offer. There are a maximum of five (5) time frames set for each day of the week. The reward is applied to all sales transactions during the set days and times, and is computed on the full amount of the transaction. The maximum amount is applied per transaction (if a maximum amount is specified), even in cases where multiple transactions occur on the same day. Important Note: There is no ability to exclude tax or tips. No adjustment can be made for returns, so if the purchase is returned, the cardholder is not debited the rewards that were initially loaded to their rewards account. Rewards are earned from any Visa, MasterCard, Discover or American Express card (if the merchant accepts American Express) registered by the customer on the merchant s rewards portal. Credit and debit cards are both included. The rewards monthly report details the overall effectiveness of the merchant s reward program. This report includes reward members activity and spending habits vs. non-member customers. The report also includes enrollment numbers, total announcement of e-mail and text-messages sent, and number of visits of each reward member along with a cumulative total. 4
Product Features Program Members Report This report includes demographic information on enrolled cardholders. It is intended to allow the merchant to analyze the customer base and create special offers and promotions driven by customer data. This report includes: n Cardholder name n The most recent eligible rewards transaction n Number of cards registered n Date enrolled in the rewards program n Transaction amount (most recent eligible rewards transaction for a specific date range) n Rewards amount (rewards earned from the most recent eligible rewards transaction for the date range) n Transaction count (the number of transactions that have earned rewards for the specific cardholder) Manual Rewards Report It includes the following customer demographics: n First name* n Last name* n E-mail address* n Cell phone number n Birthdate (mm/dd format) n Street address* n City/State/Zip* *Indicates required cardholder registration fields. Member Totals Report This report lists rewards issued for cash transactions. This report includes: n Customer s name n Authorization date and time n Rewards amount n Terminal ID number This report is sorted alphabetically by a cardholder s last name. 5
Product Features Redemption Report This report includes: n Customer s name n Type of event n Rewards amount n Credited date n Registered date n Rewards card number (truncated) n Birthdate n E-mail status n SMS (text message) status n Date of last activity Messaging Log This report includes: n Customer s name n Authorization date and time n Rewards amount n Terminal ID number Event Rewards Report The Messaging Log provides a daily detail of the optional e-mails and text messages that can be sent to the rewards merchant s customers. This report lists rewards issued automatically (if merchant chooses to) for new accounts, birthdays or inactivity (miss you). Each message is listed by the method sent (text or e-mail), the account it was sent to, and the message type (welcome, birthday, miss you, thank you). 6
Product Features Program Transactions Report Rewards Modification Form This report lists the credit and debit card transactions that have earned rewards and the reward amounts posted to the customer s rewards account. This report includes: n First name n Last name n Authorization date and time (the time and date of the sale) n Card number (truncated) n Transaction amount n Rewards amount n Offer number (the merchant s reward offer) n Offer (the percent of the transaction or fixed amount the customer earned) n Minimum ticket (the minimum purchase required to receive rewards) n Maximum credit (the maximum reward amount eligible if rewards is a percentage of sale) Merchants are provided an on-line form in Sterling s SNAP merchant portal where a merchant can make adjustments to their rewards program. Merchants can also contact Sterling s Rewards specialists directly at 800-383-0561. Cardholder Registration To participate in the program, cardholders must register on-line. The cardholder must enroll in the program by visiting the merchant s secure rewards web portal. The portal is accessed from the merchant s website (if the merchant does not have a website, a direct URL (web address) is provided. On the homepage of the portal, a link for first-time registration is displayed. A cell phoneoptimized mobile site is also provided to each participating rewards merchant. 7
Product Features To participate in the program, the cardholder must register a truncated version of at least one MasterCard, Visa, Discover or American Express card (if the merchant accepts American Express). Cardholder Reporting In the rewards portal, the cardholder can view the rewards that they earned by using their registered cards and by transaction (cash transaction rewards are not displayed). In addition, the cardholder must register both their e-mail and mailing addresses. Their cell phone number and birthday are optional. The cardholder also sets a unique password for secure login to the portal. Important Note: Cardholders can only receive rewards after they have registered. There is no ability to provide rewards on sales prior to their online registration. The original transaction date and amount are shown with the reward amount earned. These transactions are displayed by a calendar month drop-down. The cardholder can use the rewards portal to add or delete qualifying cards. This is important to remember when the cardholder receives a new card or if an account number is changed through a lost or stolen card replacement. Rewards post to the customer s account approximately one business day following the original transaction. 8
CUSTOMER COMMUNICATION A powerful add-on to Sterling rewards program is its automated announcement messages. This option allows the merchant to send pre-formatted e-mail and text messages to participating customers. When a customer enrolls, they are asked how they would like to receive communication from the merchant about the program and special offers. Customers can choose e-mail, text messaging, both, or no communication. For Welcome, Birthday, Thank You and Miss You messages, merchants can choose (by message type) to offer a rewards bonus on the rewards account. The merchant can also send free-form text messages to all customers in the program that opted to receive text messages. These messages can be a maximum of 125 characters and must be submitted via the merchant form in Sterling s SNAP merchant portal. To allow for processing, these messages must be submitted at least 15 minutes prior to intended distribution. Rewards Communicator If the merchant participates in this program tool, messages are automatically sent to welcome customers to the program, thank them for each purchase, wish them a Happy Birthday (at a merchant-defined number of days before the birthday) and send a We Miss You message (at a merchantdefined number of days since the customer s last rewardearning transaction). This report includes: n Queued messages n Requested delivery date n Message distribution status n Message text n Action 9
AGREEMENT & ENROLLMENT FORM All participating merchants must execute the Rewards program contract amendment and agree to participate in the program for a minimum of one year. In addition to the contract agreement, the Sales Agent must complete the Sterling Rewards program enrollment form. STERLING REWARDS PROGRAM Amendment to Merchant Processing Agreement A G R E E M E N T / E N R O L L M E N T F O R M IV. Privacy and Indemnification: Privacy and Indemnification: Sterling shall not provide access to cardholder account information to any third parties in the Rewards Program process. Demographic information provided to Merchant as part of the Rewards Program is for Merchant s sole use. Merchant agrees to indemnify, defend and hold harmless Sterling, its directors, officers, agents, employees and affiliates from and against any and all proceedings, claims, losses, damages, demands and expenses, direct and indirect, incurred resulting from providing Rewards Program services to Merchant. V. Extent: This Agreement constitutes an amendment to the Merchant Processing Agreement in effect between Merchant and Sterling, and the parties agree that it is incorporated by reference and its terms and conditions are applicable to the parties. This Agreement constitutes an amendment to the Merchant Processing Agreement between ( Merchant ) and Sterling Payment Technologies LLC ( Sterling ), effective as of the date both parties execute the same (the Effective Date ). In this agreement, Sterling and Merchant may be referred to collectively as the Parties. Whereas Merchant wishes to enroll in Sterling s Rewards Program (the Rewards Program ), the Parties agree to the following Terms and Conditions: Sterling will provide a 90-day trial period to commence at the date of this agreement for three full months. During the 90- day trial, the merchant will not be charged the Rewards monthly fee. Setup fees and the $2.50 per-card issuance fees (if applicable) still apply. The Custom Card program will not be included in the 90-day trial offer. The 90-day trial period will include generic rewards portal and mobile site, email marketing, and SNAP reporting. At the end of the 90- day trial the merchant agrees to pay the following fees to Sterling for Reward program services provided. I. Functionality: Sterling agrees to provide Merchant with an automated system for rewarding and tracking cardholder activity. This Rewards Program facilitates a credit to the cardholder s account for each purchase made with a registered card. Merchant acknowledges that this process affects all sale transactions on all registered cards. Rewards are computed on the full amount of the transaction including sales tax and tips (if applicable) up to a maximum amount per transaction (if selected). Reward adjustments are not processed on returns. Sterling will offer marketing material, modified with Merchant s web-site information, to be used to inform merchant s customers of the program and indicate where to enroll. REWARDS SETUP FEE *one time fee Cardless Rewards Program $ Card Rewards Program* $ Custom Card Rewards Program* $ Sterling will provide and maintain a web portal to be used to facilitate the enrollment and servicing of the Merchant s customers. The portal is customized with the Merchant s program name, location(s), telephone number and reward offer(s). The portal allows the Merchant s customers to enroll eligible card accounts in the Rewards Program, view their reward activity, and send inquiries via email to the Merchant. The portal remains the property of Sterling and is available for use only while the Merchant is a processing customer of Sterling and enrolled in the Rewards Program. Sterling will provide reporting information on the activity in the Rewards Program to the Merchant via Sterling s portal. Information contained in the reporting may be modified as updates are made to the Rewards Program. II. Disclaimer of Warranties: All functions and services provided as part of Rewards Program are provided to Merchant as is, without any warranty expressed or implied. Sterling specifically disclaims any and all implied warranties, including but not limited to the implied warranty of merchantability, non-infringement and fitness for a particular purpose. Sterling specifically does not warrant that the Rewards Program will operate error free. III. Limitation of Liability: In no event shall Sterling be liable to Merchant for any incidental, indirect, special, and consequential or punitive damages arising out of this agreement. Under any circumstances, Sterling s total liability for any damages whatsoever arising out of this Agreement shall not exceed the amount which Merchant has paid in fees and charges directly related to the Rewards Program. > *On Rewards card and custom card program, there will be a $2.50 fee per card that is produced and mailed to your customer. These fees will automatically bill at the end of the month. ACTIVE REWARDS MEMBERS PER MONTH PRICE PER MONTH 0 25 $ 26 50 $ 51 75 $ 76 100 $ 101 200 $ For more than 201 Active Reward Members, merchant will pay plus an additional $ per 100 active reward members monthly. Rewards Processing Agreement and Enrollment Form 3/12 Page 1 of 3 Sterling s Initials: Merchant s Initials: Merchants must also agree to promote the program and provide a link from their website to the program portal if they have a website. Rewards Processing Agreement and Enrollment Form 3/12 Page 2 of 3 Sterling s Initials: Merchant s Initials: The enrollment form is required because it details information necessary to establish the merchant s program in SPOON Sterling s main database, set up the cardholder portal and create hardcopy collateral. To complete the form, the merchant must provide a program onsite point person s name and contact information, desired launch date, rewards card order information (if ordering cards) and whether the merchant chooses to send announcement messages (welcome, thank you, birthday and miss you) e-mails and text messages. 10
IMPLEMENTATION The merchant s completed Rewards program agreement and enrollment forms are forwarded by the sales agent to Sterling s Applications Processing department. Upon receipt and approval by Sterling, the Rewards implementation specialist will manage the remainder of the implementation process. Included in this process: Set up the rewards program in SPOON n Inclusion of participating rewards merchant account n Set desired reward percentage(s) or fixed amount along with maximum reward and or minimum purchase (if applicable) n The specialist will also perform program testing Set up marketing collateral n Order reward cards for merchant (if applicable) n Set up card and card carrier production schedule and expected delivery date n Submit order for marketing collateral (window clings, point of purchase displays and table tents with QR code) Merchant Training Review the following with merchant: Explain n Online merchants Rewards reports n How merchant can respond to customer questions n How to modify rewards settings including time of day and day of week, percentages and maximum amounts and minimum purchase required n Use of the QR code Set up cardholder portal n The specialist will build the merchant s rewards portal with the merchant s unique URL (web address) n Modify Terms and Conditions, FAQs, and Program Overview n Set merchant address and contact information in program documents n Set merchant reward offer(s) n Set up cardholder inquiry/ support process n Perform program testing 11
Marketing Materials Web Portal Window Cling Button Counter Display 12
Frequently Asked Questions Important questions and answers about the Sterling Rewards program: How does the program work? Your customers receive rewards automatically loaded to a rewards card or account when they use an enrolled credit or debit card to pay for transactions at your establishment. It s that simple. Rewards are credited automatically to your customers reward card or account (two business days) after each transaction. Our technology tracks the sales your customers make and calculates the rewards they receive. Your customers can access their account at any time from your secure rewards portal to see the rewards they ve earned and manage their account. You are able to view your merchant rewards reports through Sterling s secure merchant web portal SNAP (www.sterlingpayment.com). If merchants have a question about their program, they can contact Sterling s Merchant Services representatives at 800-383-0561 or via e-mail through SNAP or via merchant.services@ sterlingpayment.com. How do my customers register for the program? Your customers visit the secure rewards web portal that has been set up for you. The URL (web address) is available on the marketing collateral that is provided to you. It just takes a minute to register their Visa, MasterCard, Discover or American Express card (if American Express is accepted). Credit or debit card(s) are eligible for registration. Then, any time after they register and they log in to the portal, they ll be able to see the rewards they ve earned. What information do my customers need to provide to become a member? They need to provide their name, mailing address, and the last eight (8) digits of their Visa, MasterCard, Discover or American Express card (if applicable). They can also provide their cell phone number and birthday, but this information is optional. How does a customer/cardholder start earning rewards? Customers must first register their credit or debit card(s) online at the secure rewards web portal Sterling established for you. Customers can register any Visa, MasterCard, Discover and American Express card (if American Express is accepted). It s important to note that your customers will not begin to receive rewards until they register their card accounts online. They will receive their reward only after they have registered the payment card they wish to use. That s it! Your customers rewards will be processed and automatically credited to their reward card or account within two business days. 13
Frequently Asked Questions If my customer has a question about program, how can I help them? If your customer has a question, you should always refer them first to the rewards portal, where they can see the cards they have registered and the transactions they have made that qualified for rewards. If your customer does not see a rewards transaction, you can ask them if the transaction took place after they registered for the program. Your customers must register for the program before they will begin receiving rewards. The rewards are not retroactive. The second question to ask is, did they pay for the purchase with a registered credit or debit card? Visa, MasterCard, Discover and American Express credit or debit cards (if you accept American Express) can be registered for the program. Your customer must use a registered credit or debit card to pay for their purchases in order to receive a reward. If you still cannot resolve your customer s issue, you can verify your customer s rewards transactions by logging into your SNAP merchant reports at www.sterlingpayment.com. Click on the rewards tools icon in the navigation list on the left hand side of your screen to view your rewards reports and tools. How can I change my reward amount? You can send a request to change your reward amount online in SNAP. Simply login at www.sterlingpayment.com, click on the rewards tools in the navigation list on the left hand side of the screen and click on the update rewards tool. This will allow you to send an e-mail to Sterling with your change. You can also contact Sterling Merchant Services representatives by calling 800-383-0561 or e-mailing them at merchant.services@sterlingpayment.com. Please allow 2 business days for the change to become effective. Will my customers still earn a reward if they use a check/debit card instead of a credit card? Yes. They will earn rewards on all Visa, MasterCard, Discover and American Express (if you accept American Express) credit and debit cards that have been registered with the program. Do customers need to let a merchant know that they are a member of the program to receive their rewards? No. Rewards are automatically tracked as long as the customer uses their registered credit or debit card(s). Will a customer s reward be reflected on their receipt? No. To view their reward transactions, customers must go to the merchant s rewards portal and log in to their account. There they will see their current rewards, past monthly totals and amount earned to date. For their current rewards balance, customers should log in to their rewards account online or call the toll-free number listed on the back of their rewards card (if they have received a plastic card). Is there a membership fee? No. Unlike many other rewards programs, your customers are not charged a membership fee to join the program. Can customers update their registered cards? Customers can add or delete their credit and debit cards at any time by logging into their account on the rewards portal. Once they have logged in, they click on the manage my account link to update their card information. 14
Frequently Asked Questions Is there a limit on the number of times customers can receive a reward? No. They will receive a reward each time they use a registered card to pay for a purchase on a day and time you have set for your rewards. How do customers find out the amount of the reward being offered? The percentage you have set is displayed on your rewards portal. The amount of the reward is equal to the purchase amount multiplied by the percentage. A maximum reward per transaction and/or minimum purchase may also be listed. For example, if your customer made a purchase of $50 with a reward percentage set at 5%, they would earn a reward of $2.50. You can also specify a fixed reward amount. Is my customer s information secure? Yes. When your customers enroll or access their account information, they are communicating with Sterling through secure web servers protected by state-of-the art encryption software (SSL). We never ask for their full credit or debit account numbers or expiration dates. No sensitive information is stored in the web portal. There is no risk of compromise. All of their information is encrypted before they send it to us and before we display it back on the site. Additionally, all of the personal information and purchase data we collect is protected from unauthorized access using extensive security measures. Also there is no sharing of information without their specific consent. Why do customers need to create a username and password to use the rewards website? By creating a username and password, customers can securely log in to their account and manage their profile on the rewards website. Once logged in, your customers can: n Change their username and password. n Add or remove credit or check cards. n View sales and track rewards credited and earned. 15
STERLING REWARDS PROGRAM A G R E E M E N T / E N R O L L M E N T F O R M Amendment to Merchant Processing Agreement This Agreement constitutes an amendment to the Merchant Processing Agreement between ( Merchant ) and Sterling Payment Technologies LLC ( Sterling ), effective as of the date both parties execute the same (the Effective Date ). In this agreement, Sterling and Merchant may be referred to collectively as the Parties. Whereas Merchant wishes to enroll in Sterling s Rewards Program (the Rewards Program ), the Parties agree to the following Terms and Conditions: I. Functionality: Sterling agrees to provide Merchant with an automated system for rewarding and tracking cardholder activity. This Rewards Program facilitates a credit to the cardholder s account for each purchase made with a registered card. Merchant acknowledges that this process affects all sale transactions on all registered cards. Rewards are computed on the full amount of the transaction including sales tax and tips (if applicable) up to a maximum amount per transaction (if selected). Reward adjustments are not processed on returns. Sterling will offer marketing material, modified with Merchant s web-site information, to be used to inform merchant s customers of the program and indicate where to enroll. Sterling will provide and maintain a web portal to be used to facilitate the enrollment and servicing of the Merchant s customers. The portal is customized with the Merchant s program name, location(s), telephone number and reward offer(s). The portal allows the Merchant s customers to enroll eligible card accounts in the Rewards Program, view their reward activity, and send inquiries via email to the Merchant. The portal remains the property of Sterling and is available for use only while the Merchant is a processing customer of Sterling and enrolled in the Rewards Program. Sterling will provide reporting information on the activity in the Rewards Program to the Merchant via Sterling s portal. Information contained in the reporting may be modified as updates are made to the Rewards Program. II. Disclaimer of Warranties: All functions and services provided as part of Rewards Program are provided to Merchant as is, without any warranty expressed or implied. Sterling specifically disclaims any and all implied warranties, including but not limited to the implied warranty of merchantability, non-infringement and fitness for a particular purpose. Sterling specifically does not warrant that the Rewards Program will operate error free. III. Limitation of Liability: In no event shall Sterling be liable to Merchant for any incidental, indirect, special, and consequential or punitive damages arising out of this agreement. Under any circumstances, Sterling s total liability for any damages whatsoever arising out of this Agreement shall not exceed the amount which Merchant has paid in fees and charges directly related to the Rewards Program. > Rewards Processing Agreement and Enrollment Form 3/12 Page 1 of 3 Sterling s Initials: Merchant s Initials: 16
IV. Privacy and Indemnification: Privacy and Indemnification: Sterling shall not provide access to cardholder account information to any third parties in the Rewards Program process. Demographic information provided to Merchant as part of the Rewards Program is for Merchant s sole use. Merchant agrees to indemnify, defend and hold harmless Sterling, its directors, officers, agents, employees and affiliates from and against any and all proceedings, claims, losses, damages, demands and expenses, direct and indirect, incurred resulting from providing Rewards Program services to Merchant. V. Extent: This Agreement constitutes an amendment to the Merchant Processing Agreement in effect between Merchant and Sterling, and the parties agree that it is incorporated by reference and its terms and conditions are applicable to the parties. Sterling will provide a 90-day trial period to commence at the date of this agreement for three full months. During the 90- day trial, the merchant will not be charged the Rewards monthly fee. Setup fees and the $2.50 per-card issuance fees (if applicable) still apply. The Custom Card program will not be included in the 90-day trial offer. The 90-day trial period will include generic rewards portal and mobile site, email marketing, and SNAP reporting. At the end of the 90- day trial the merchant agrees to pay the following fees to Sterling for Reward program services provided. REWARDS SETUP FEE *one time fee Cardless Rewards Program $ Card Rewards Program* $ Custom Card Rewards Program* $ *On Rewards card and custom card program, there will be a $2.50 fee per card that is produced and mailed to your customer. These fees will automatically bill at the end of the month. ACTIVE REWARDS MEMBERS PER MONTH PRICE PER MONTH 0 25 $ 26 50 $ 51 75 $ 76 100 $ 101 200 $ For more than 201 Active Reward Members, merchant will pay plus an additional $ per 100 active reward members monthly. Rewards Processing Agreement and Enrollment Form 3/12 Page 2 of 3 Sterling s Initials: Merchant s Initials: 17
MERCHANT AgREEMENT Agreed To and Accepted By Merchant Date Merchant s Name By Title STERLINg PAYMENT TECHNOLOgIES LLC Agreed To and Accepted By Sterling Date Sterling Payment Technologies LLC By Title Program Enrollment Form Merchant Name: Sterling Merchant Number(s): Merchant Contact/ Onsite Program Coordinator: Name: Telephone Number: Best Time To Call: Email Address: Merchant Website: Program Options: l l Rewards Cardless l Rewards w/ Card Rewards Custom Card Qty. Desired Implmentation Date: *Minimum transaction must be set to at least the fixed reward amount. Additional Locations The pricing above includes the primary location. For each additional location there is a monthly fee of $25.00 per month. Rewards Processing Agreement and Enrollment Form 3/12 Page 3 of 3 Sterling s Initials: Merchant s Initials: 18