# What is redemption rate?

Redemption rate is how much of what you gave out actually got used. It is the most useful number in a loyalty programme, because it tells you whether people think the reward is within reach.

Source: https://fidella.app/glossary/redemption-rate
Last reviewed: 2026-08-30

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If you track one thing, track this.

## What it tells you

Whether the finish line is reachable. A low rate almost never means customers
did not want the reward; it usually means they could not get to it.

## Measure it against your own history

An industry benchmark encodes somebody else's threshold, price point and visit
frequency. Your own rate before and after a change is worth far more than a
number from a report.

## The direction it should move

If you lower the threshold and the redemption rate does not rise, the problem
was never the threshold. It is more likely nobody remembers they have a card.