Reference

The channel loyalty glossary.

Every term that matters in Indian trade loyalty — defined in plain language, from counter share to Section 194R.

Channel Loyalty Program

A coordinated rewards strategy spanning every distribution tier — distributors, dealers, retailers and trade influencers — that pays verified behaviours (stocking, selling, recommending) across the route to market.

Retailer Loyalty Program

A program rewarding retail outlets (kiranas, counters, chemists) for purchases and brand advocacy, typically earned via invoice uploads or QR scans and redeemed as UPI cash, vouchers or merchandise.

Dealer Incentive Program

Slab-based commercial schemes for dealers built on purchase volumes, growth and SKU mix, settled via credit notes or UPI with quarterly or monthly cycles.

Influencer Loyalty Program

In Indian distribution, programs rewarding trade professionals — masons, electricians, painters, plumbers, carpenters, mechanics — whose recommendation decides the brand purchased.

Trade Scheme

Any time-bound commercial incentive offered to channel partners — volume slabs, festive multipliers, display contests, early-bird stocking offers.

Slab Scheme

An incentive structure with escalating payout rates at defined achievement levels (e.g. 80/100/120% of target), designed so the next slab always feels reachable.

Earn and Burn

A loyalty mode where points are redeemed shortly after earning rather than accumulated — suits daily-wage trade audiences who value instant gratification.

QR Serialisation

Printing a unique, cryptographically generated QR code on every unit (and its cartons/pallets), enabling loyalty rewards, authentication and traceability per unit.

Anti-Counterfeit QR

Serialised single-verify codes that expose fakes: a copied code shows as already-scanned or invalid, making mass counterfeiting uneconomical.

Track and Trace

Following each unit's movement through the supply chain — plant, depot, distributor, retailer — via scan events at every hop.

Primary Sales

Sales from the brand to its distributors — the invoice the brand's ERP sees. Easily inflated by channel stuffing if incentives stop here.

Secondary Sales

Sales from distributors to retailers. The honest measure of market demand — best verified through retailer and influencer scans rather than distributor claims.

Tertiary Sales

Sales from retailer to end consumer — visible through consumer scans, warranty registrations and cashback claims.

Sell-Through

The rate at which stock actually moves to the next tier or end customer, as opposed to sell-in (stock pushed into the channel).

Counter Share

The share of a category's sales at a specific retail counter captured by your brand — the outlet-level market-share metric retailer programs exist to move.

Channel Stuffing

Pushing excess inventory into distributors to book primary sales — the pathology secondary-verified incentives are designed to kill.

Scheme Settlement

The computation and payout of incentive achievements at period end; settlement speed and transparency are the top drivers of channel trust.

Credit Note

An ERP-issued credit against future purchases — the standard settlement instrument for large dealer and distributor scheme payouts, with clean GST treatment.

Section 194R

Indian Income-tax provision (2022) requiring 10% TDS on business benefits/perquisites above ₹20,000 per beneficiary per year — covering channel rewards in cash and kind.

MAU (Monthly Active Users)

Channel members who performed a rewardable action in a month — the standard pricing and health metric for loyalty platforms.

Redemption Catalog

The menu of rewards available against points — UPI cash, brand vouchers, digital gold, merchandise, travel — calibrated per audience tier.

Festive Multiplier

Elevated earning rates during festival windows (e.g. 2x points for 3 weeks before Diwali) that ride seasonal demand peaks.

Beat Route

A field representative's planned sequence of outlet visits; beat compliance means visiting the right outlets at the right frequency.

Geo-Fencing

Restricting or validating scans by location — core to anti-gaming (site vs counter scans) and diversion detection (stock outside its territory).

Dealer Bulk Scanning

The classic loyalty leak: a counter scans many units before sale, harvesting influencer rewards — caught by velocity rules and geo-clustering.

Anti-Gaming Engine

The detection stack (velocity rules, geo-clustering, KYC binding, anomaly ML) protecting program budgets from fraudulent earning — typically saving 15–25% of spend.

Digital Warranty (DWAM)

QR-based warranty registration and asset management: scan-to-register at purchase, serial-bound validity, automated claims and service history.

Loyalty Tiers

Progressive status levels (silver→gold→platinum) unlocking higher earn rates and benefits — the progression mechanic that compounds engagement.

UPI Payout

Instant bank transfer via India's Unified Payments Interface — the reward format Indian trade trusts most; benchmark is scan-to-credit in under 10 seconds.

Scan Rate

The percentage of serialised units actually scanned by the audience — the key budgeting variable for QR programs (20–45% for influencer programs).

Influencer Meet / Mela

On-ground gatherings (with demos, food, recognition and live payouts) that anchor digital influencer programs in human relationships.

Loyalty Management Platform

The software running the whole stack: enrolment/KYC, earning rules, schemes, anti-gaming, redemption, payouts, TDS compliance and analytics.

Want this configured for your brand?

Unotag mirrors your channel in a sandbox within 48 hours — email support@unomok.com.