For the complete documentation index, see llms.txt. This page is also available as Markdown.

Allow Points to become Negative

YouTube: How to Allow Negative Loyalty Point Balances for Retail Customers?

How to Allow Negative Loyalty Point Balances for Retail Customers?

In this tutorial, we will learn how to allow a customer's loyalty point balance to become negative during Sales Return transactions using the "Allow Points to become -ve" option in Logic ERP. This feature allows sales returns to be processed even when the return causes the customer's loyalty points to fall below zero.


Objective of This Feature

  • Allow Sales Returns when loyalty points become negative

  • Prevent Sales Return restrictions based on loyalty point balance

  • Track negative loyalty point balances accurately

  • Automatically adjust future earned points against the negative balance

  • Maintain an accurate Customer Point Ledger


Access to the Customer Points Configuration

  • Navigate to the Set Customer Points Configuration module.

  • Locate the option labeled as:

"Allow Points to become -ve"

When enabled, the system allows the customer's loyalty point balance to become negative during Sales Return transactions.


Understand the Default Behavior

Loyalty Point Configuration

For this example:

  • ₹100 Purchase = 1 Loyalty Point

  • 1 Loyalty Point = ₹10

First, let's observe the behavior when "Allow Points to become -ve" is disabled.

Generate Sales Bills

  • Create a new Sale Bill and add a new Loyalty Customer.

  • Save the Sale Bill.

  • Search for the same customer again.

  • You will see that 40 loyalty points have been earned and added to the customer’s account.

  • Create another Sales Bill for the same customer.

Observation

Based on the previous purchase, the customer has earned 40 loyalty points.

  • Redeem all 40 loyalty points in the second Sales Bill.

  • Save the transaction.

The customer's available loyalty point balance is now zero.

Generate a Sales Return

  • Create a Sales Return for the product purchased by the same customer.

  • Click on Enter Return.

  • Select the item to be returned.

  • Save the Sales Return.

Result When the Feature is Disabled

The software restricts the transaction and displays an error message indicating that the customer's loyalty points would become negative.

Therefore:

  • The Sales Return cannot be saved.

  • The negative loyalty point balance is not generated.


Review the Customer Point Ledger

Open the Customer Point Ledger Report.

The report shows:

  • 40 points earned from the first bill.

  • 40 points redeemed in the second bill.

  • Current balance: 0 points

  • The unsuccessful Sales Return is not reflected in the ledger.


Enable Negative Loyalty Points

  • Return to the Set Customer Points Configuration module.

  • Enable "Allow Points to become -ve".

  • Save the configuration.

Reattempt the Sales Return

  • Return to the Sales Bill module.

  • Recreate the Sales Return for the same customer.

  • Select the required item.

  • Save the transaction.

Result

The system now allows the Sales Return to be saved even though the customer's loyalty point balance becomes negative.

Verify the Loyalty Point Ledger

  • Open the Customer Point Ledger Report again.

  • The Sales Return transaction is now reflected in the report, and the customer's loyalty point balance becomes -40.


How Future Points Are Adjusted

When the customer earns loyalty points from future purchases:

  • The newly earned points are first adjusted against the negative balance.

  • The customer does not start accumulating a positive balance until the negative balance has been completely cleared.

  • Once the negative balance reaches zero, the customer starts earning loyalty points normally again.


Key Benefits

  • Flexible Returns: Allows Sales Returns even when loyalty points become negative.

  • Accurate Tracking: Negative balances are properly recorded in the Customer Point Ledger.

  • Automatic Adjustment: Future loyalty points are automatically adjusted against the negative balance.

  • Smooth Transactions: Prevents unnecessary Sales Return restrictions.

  • Better Loyalty Management: Maintains a clear and accurate loyalty point balance.


Final Outcome

By enabling "Allow Points to become -ve", Logic ERP allows Sales Return transactions to be processed even when they result in a negative loyalty point balance. The negative balance is recorded in the Customer Point Ledger and is automatically adjusted against loyalty points earned from future purchases.

Last updated