Industries

Loyalty Programs for Toy Shops

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In short A toy store loyalty program works best as points earned in proportion to spend, because a US$6 pocket toy and a US$60 building set should not earn the same credit. Set the rate so a regular reaches a reward in about five visits, count every product at one rate, and sign the buyer up at the till, since the adult pays and the adult returns. Points need no rules beyond spend, earn and redeem, which suits customers who shop for birthdays and holidays.

What should a toy store loyalty program reward?

Reward what the customer spends. A toy shop sells a US$6 pocket toy, a US$25 puzzle, a US$45 craft kit and a US$120 building set to the same pool of shoppers. If every visit earns the same reward, the grandparent who buys a big birthday present gets no more than the child who spends pocket money. Points earned in proportion to the bill fix that without extra rules.

The behaviour you want is repeat buying from you rather than from a big-box shelf or an online marketplace. A points-based loyalty program gives the customer a running balance in one place, a reason to think of your shop first when the next party invitation arrives. Toy buyers shop for occasions, so many visit a handful of times a year. A customer who sees you that rarely will not relearn a clever scheme each time, which is why the rules need to stay at spend, earn and redeem.

How big is the toy trade, and what is selling?

The Toy Association publishes Circana’s retail tracking data for the US. For 2025, Circana reported that total annual dollar sales grew 6%, with the average selling price up 4% and units sold up 3%.

Measure (US, 2025)Figure
Total annual dollar sales+6%
Average selling price+4%
Units sold+3%
Sales vs 2020+16% (3% a year)
Games and puzzles, the largest supercategory+37%
Toys priced US$30 to US$69.99+18%, fastest of any price segment
Outdoor and sports, plush, dollsLargest declines

Source: Circana via The Toy Association, release of 3 February 2026, checked 7 November 2026. Circana’s retail tracking covers part of the market, and the release does not break results out by independent shops.

Two points matter for a shop owner. First, the fastest growth sat in the US$30 to US$69.99 band, so a typical basket may be larger than the pocket-money toy near the till. Second, the growth leaned on a few categories and properties. Your own mix will differ, so check your own till history before you copy any national pattern.

When do toy shops make their money?

Late in the year. The US Census Bureau’s monthly survey of hobby, toy and game stores (NAICS 45112) shows how sharply November and December stand out.

Month (US, not seasonally adjusted)20242025
SeptemberUS$1,368 millionUS$1,680 million
OctoberUS$1,536 millionUS$1,879 million
NovemberUS$2,380 millionUS$2,684 million
DecemberUS$2,452 millionUS$2,848 million
Typical month, January to August 2025about US$1,200 to US$1,650 million

Source: US Census Bureau, Monthly Retail Trade, hobby, toy and game stores, read through the St. Louis Fed FRED series MRTSSM45112USN (data page updated 15 October 2026, accessed 7 November 2026). Figures are in current dollars and Census revises them. Adding the two months from the same table, November and December were about 27% of 2025 sales and about 27% of 2024 sales (our arithmetic).

The practical point is timing. Many people who walk in during the holiday rush are customers you will not see again until next year, unless they have a reason to. A balance in their phone is that reason. Sign people up in the busy weeks and they hold points in January, when you have the most room to talk to them and the least traffic.

How do you set points when baskets vary in price?

Your own till history tells you the real basket. These examples assume a customer spending US$45 a visit. They are illustrations, not benchmarks.

ProgramSpend to earnRewardBack on spendVisits to a reward at US$45
1 point per US$1, 100 points = US$5 offUS$100US$55%3
1 point per US$1, 200 points = US$10 offUS$200US$105%5
1 point per US$1, 300 points = US$20 offUS$300US$206.7%7

If a regular visits every two months, a reward that needs seven visits takes over a year. Most customers forget it. Start with the first row and watch how many people reach it. Check your margin by product before you pick a rate, because licensed toys, board games and craft kits can differ widely. Our guide to setting your points earn rate works through the calculation from your own average bill.

A stamp card is the more complex option here, since a stamp gives a US$6 toy and a US$120 set the same credit and needs extra rules to correct that. Our comparison of stamp cards and points sets out the difference. Tiers, such as a collector club with levels, are more complex again, because the customer has to track a status. Points only need the amount.

Why do customers ignore loyalty programs, and does it apply to toys?

Research on consumer programs points to friction as the main reason. KPMG’s 2019 survey of over 18,000 consumers in 20 countries found that 60% agree programs are too hard to join or earn in, and 55% of enrolled consumers use them a few times a month or less.

MeasureFigure
Consumers who say programs are too hard to join and/or earn in60%
Enrolled consumers who use programs a few times a month or less55%
SampleOver 18,000 consumers, 20 countries

Source: KPMG via PR Newswire, 26 November 2019, re-opened 4 November 2026 for our other guides. The survey covers programs in general, not toy shops.

A toy shop sees customers less often than a coffee counter, so the 55% figure is a warning. Keep joining to one scan, and keep the earning rule to something a seasonal helper can say in one sentence. For a wider look at the cost and benefit, read whether a loyalty program is worth it.

Should every product earn points?

In most shops, yes. Games, puzzles, craft kits, plush and party goods are all part of the bill.

  • Count the whole bill at one rate. One rule is easier for every member of staff to remember, including holiday temps.
  • Decide about sale and clearance items. Many shops pay points on the price actually charged. Pick one rule and tell every cashier.
  • Handle gift cards clearly. If you sell store gift cards, decide whether buying one earns points and whether spending one does. Choose a single treatment and avoid paying points twice on the same money.
  • Handle pre-orders and special orders. Say whether points arrive at deposit or at pick-up, and write it on the order slip.

How do you get toy buyers to join?

The best moment is at the till while you bag the purchase. The customer is waiting and holding a phone, and a child is often tugging at the other hand. Put a QR code by the register and on the gift-wrap station. The customer scans it, enters an email and has a card on the phone before paying. Ask once, and do not push people who say no. Our guide to getting customers to join covers where to place the code and what to say.

Sign up the adult who pays. The member is the parent, grandparent or friend buying the present, not the child. Expect fewer sign-ups from one-off visitors, and count success as a local household that buys from you at birthdays, holidays and back-to-school time.

What happens at the till?

Keep the step to one scan:

  • The customer shows the QR code on their phone.
  • The cashier scans it with the phone or tablet at the till.
  • They type the amount and the balance updates.

The scan can happen while you bag or wrap the item, so it adds nothing to the queue. No new terminal is needed.

Should points expire in a toy shop?

Be cautious. A household that buys for two or three occasions a year may return after your expiry window has closed and find nothing left, which feels like losing money. Expiry also adds a rule the customer has to remember. Weigh it against your accounting and your cash position, and read our guide on whether loyalty points should expire before you decide.

What if you run more than one store?

A single balance across stores lets a customer earn at one and redeem at another. See loyalty programs across multiple outlets for how that works. Owners who also sell books, games or gifts can read the gift shop guide and the retail shop guide.

Toy store loyalty program checklist

  • Give points in proportion to spend, so a building set earns more than a pocket toy.
  • Set the earn rate so a regular reaches a reward in about five visits, within your margin.
  • Count all products at the same rate, and decide the sale item, gift card and pre-order rules before launch.
  • Invite the paying adult to join once, at the till.
  • Sign people up in November and December so they hold a balance in January.
  • Think hard before adding expiry to a seasonal shop.

Gimify is free for one store with unlimited members and no time limit. Customers join from a QR code with their email, the card sits in Google Wallet, and staff add or redeem points on any phone at the counter, so holiday temps need no new hardware. A chain of toy stores can run one points balance across every outlet on the US$99 a month plan.

Questions owners ask

What is the best loyalty program for a toy store?

A points program in which customers earn points in proportion to what they pay and redeem them against a later purchase. A US$6 toy and a US$60 set follow the same rule, so nobody needs the scheme explained at the counter.

How many points should a toy shop give per dollar?

Pick a rate that returns about 3% to 7% of spend, depending on your margin. For example, 1 point per US$1 with 200 points = US$10 off returns 5%. A customer spending US$45 a visit reaches that reward in five visits.

Should a toy store use a stamp card?

No. A stamp per visit gives a US$6 toy and a US$60 set the same credit. Points follow the amount paid, so the bigger basket earns more with no extra rules for staff to explain.

Who should join the program, the child or the parent?

The adult who pays. The member is the person at the till with a phone, so sign up the parent, grandparent or gift buyer. Keep the sign-up to a QR scan and an email address.

How do I handle the November and December rush?

Sign people up during the rush so they hold a balance in January, when toy shops are quiet. Census data shows hobby, toy and game stores took about 27% of their 2025 sales in those two months.

Do customers need to install an app?

No. The card opens from a QR code and sits in Google Wallet. The customer already has a phone in hand at the till.

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