Purpose-Linked Rewards Loop
Route part of every purchase reward to a cause the user chooses
- Difficulty
- Moderate
- Time to result
- ~weeks to results
- Steps
- 5
- Confidence
- 98%
The Purpose-Linked Rewards Loop connects ordinary spending to recurring charitable giving. A user chooses a charity and sets the percentage of earned rewards that will go to it. Each time the user pays through the platform, the transaction produces a reward, the chosen share is directed to the cause, and the remaining value can benefit the user. The mechanism avoids asking the user to initiate a separate donation every time; the giving decision is made once and then applied repeatedly. Jones describes the resulting behavior as spending money with a purpose because buying food, clothing, travel, or other planned items simultaneously supports someone else. Clear transaction data closes the loop by showing the amount spent, the reward received, and the amount allocated to charity.
Origin
Ken Jones described building Givebox around a set-and-forget reward allocation that connects routine spending with charitable giving. Extracted from Coffeez for Closers.
Core principles
- 01Attach giving to transactions people already make
- 02Let users choose the beneficiary and allocation
- 03Automate the allocation after initial setup
- 04Reward the user while preserving a mandatory giving component
How to run it
- 1
Choose the cause
Let the user select the charity or community organization that will receive part of the rewards.
Pro tip Offer causes that reflect different local and personal priorities.
Watch out Do not make the beneficiary unclear or invisible.
- 2
Set the allocation
Require the user to choose what percentage of the earned rewards will go to the selected cause.
Pro tip Make this a one-time setting that can support repeated transactions.
- 3
Make the planned purchase
Have the user pay through the platform at a participating merchant for a purchase they already intended to make.
Pro tip Reduce extra steps so purpose does not add payment friction.
Watch out The loop weakens if using the platform is harder than the user's normal payment method.
- 4
Split the reward
Generate the transaction reward and automatically direct the selected percentage to the user's chosen charity.
Watch out Keep the reward source and allocation rules transparent.
- 5
Show the impact
Display the purchase, user reward, and charitable allocation so the user can see the result of the transaction.
Pro tip Present the information as an immediate feedback loop rather than static account data.
In the wild
A user chooses a food bank and assigns part of every reward to it. The family then pays a $100 restaurant bill through the app. The purchase generates a reward, the chosen portion is allocated to the food bank, and the app records what the user spent, earned, and gave.
→ A routine meal also produces a recurring charitable contribution without requiring a separate donation flow.
Common mistakes
Adding a separate donation chore
Requiring a fresh giving decision after every purchase removes the set-and-forget advantage Jones described.
Hiding the allocation
Users need clear data showing what they spent, what they earned, and what the charity received.
Is it for you?
Best for
It is best for payment or loyalty products that can fund rewards and support user-selected charitable allocations.
Not ideal for
It is not ideal when rewards cannot be funded transparently or users cannot verify where their allocation went.
From the transcript
“we mandate that you have to give some of those cash rewards to a charity of your choice”
“You give a piece of your rewards away to a charity of your choice and it happens like like inside the app.”
“It's like set it and forget it.”
From the episode
Revolutionizing Shopping and Giving ft. Kenyatto Jones
Kenyatto Jones