How Frega Works
Frega is an integrated ecosystem where businesses and customers connect through tools designed to strengthen community relationships while protecting privacy.
This page provides a complete overview of how the platform operates, including features available now and those due to launch. For detailed information on specific components, follow the links to dedicated pages.
The Big Picture: How It All Connects
Frega operates as a unified platform where multiple components work together seamlessly:
Core Platform Components
Each component serves a specific purpose while integrating seamlessly with the rest of the platform. Some are available now, others to follow.
Growth Points Loyalty Rewards (Available Now)
What it is: A branded loyalty reward system where businesses reward customers for their support.
How it works: Businesses pay a small fee (typically 1% of transaction value) to issue Growth Points to customers. Points are branded to the business and redeemable only with that business, building loyalty and repeat visits.
Why it matters: Creates direct relationships, builds customer databases, establishes communication channels, and rewards community support. This is our primary tool for organic growth.
Current status: Live and operational with existing clients using Growth Points actively.
Frega Chat (Available Now)
What it is: Integrated communication enabling direct dialogue between businesses and their customer communities.
How it works: Built directly into the platform, Frega Chat establishes immediate, efficient communication channels when businesses issue Growth Points or customers engage with services.
Why it matters: Creates genuine two-way relationships, enables responsive customer service, and builds community connections beyond simple transactions.
Current status: Live and operational.
Transaction Statements (Available Now)
What it is: Complete accounting of all transactions as they occur for both businesses and customers.
Current status: Full transaction-level statements available now. Profit and loss and balance sheet capabilities launching in 2026 with direct tax office integration.
Geospatial Discovery (Currently Launching)
What it is: Built-in mapping that plots every business location and enables location-based discovery.
How it works: Businesses are automatically mapped. Customers can discover nearby businesses, and businesses can run geographically-targeted campaigns. Location tracking is opt-in and can be disabled anytime.
Why it matters: Helps customers discover local businesses organically, enables businesses to reach their geographic community, and removes dependency on expensive third-party mapping services.
Current status: In the process of launching. Will become increasingly sophisticated over time.
Enhanced Dashboards (Launching February 2026)
What it is: Comprehensive activity measurement dashboards for all user types using our "Get Rid of the Red" management methodology.
How it works: RAG (Red/Amber/Green) traffic-light system consistently applied across all dashboards to flag areas needing attention. Will be increasingly interrogated by AI with automated prompts and processes.
Current status: Going live in the next two weeks. Will be progressively enhanced with AI automation.
Nova AI Assistant (Launching Q2 2026)
What it is: Every user's personal AI assistant that operates entirely within Frega's privacy-protected ecosystem.
How it works: Nova draws only on data within the Frega "garden fence," providing help, support, and recommendations while maintaining strict GDPR compliance. Currently being trained with Q&A data.
Why it matters: Reduces burden on human support, helps users optimize platform usage, and provides personalized assistance without compromising privacy.
Important: Nova is a support and productivity tool only. It does not manage money, balances, or financial products.
Current status: In development, launching Q2 2026. Free with optional upgrades at $2.50 each.
AI Agent Marketplace (Launching Imminently)
What it is: A library of specialized AI tools created by community members and available to all users.
How it works: Users can develop and publish AI agents using Azure Foundry. Other users subscribe at $2.50/month with publishers receiving a revenue share of the subscription, while Frega handles distribution, payments, and compliance.
Why it matters: Creates opportunities for skilled community members to build valuable tools while providing the entire ecosystem with an ever-growing library of capabilities.
Current status: Launching Q2 2026 with first agents. We anticipate strong adoption from developer publishers creating increasingly sophisticated tools.
AdDrops (Launching Q2 2026)
What it is: Targeted promotional campaigns that enable businesses to reach specific community segments efficiently.
How it works: Businesses create targeted offers that are presented to relevant community members. Will become increasingly sophisticated as we build datasets and targeting capabilities.
Why it matters: Performance-based promotion where businesses pay only for completed transactions, not clicks or impressions.
Current status: Launching Q2 2026.
Privacy-First Data Model (Core Foundation)
What it is: The "garden fence" architecture that keeps all user data within Frega's protected ecosystem.
How it works: Data is never sold to third parties, used only for explicitly agreed purposes, and handled under strict GDPR compliance. Monetization comes from aggregate, anonymized insights only.
Why it matters: Builds trust, protects privacy, and ensures users control their own data while still enabling valuable platform features.
Community Roles: How People Participate
Frega's community includes several distinct roles, each serving a specific purpose in the ecosystem. Some roles are fully operational now, others are being established.
Customers (Operational Now)
Who they are: Anyone who uses the platform to interact with businesses, earn Growth Points, or access tools.
What they do: Support local businesses, earn and redeem Growth Points, communicate with businesses through Chat, and benefit from privacy-protected data practices.
Current status: Active customers using Growth Points and Chat with participating businesses.
Businesses (Operational Now)
Who they are: Small and medium businesses using Frega's tools to serve their communities.
What they do: Issue Growth Points to reward customers, use chat to communicate with customer communities, access transaction statements, and benefit from substantially reduced costs compared to competitors.
Current status: Existing clients actively using Growth Points and Chat. Additional features (geospatial targeting, dashboards, AdDrops) rolling out through Q2 2026.
Advocates (Operational Now)
Who they are: Community members whose normal platform activity leads others to discover and register for Frega.
What they do: Share Frega with existing connections who might benefit. Advocates are created automatically—there are no recruitment requirements, targets, or obligations.
Important: This is about genuine recommendations within existing circles, not network building. Advocates receive modest thank-you payments for helping the community grow, tied to continued platform usage not sign-ups.
Current status: Operational with existing advocates receiving ongoing payments.
Consultants (Operational Now)
Who they are: Community members identified as technically capable and willing to help others optimize platform usage.
What they do: Provide onboarding support, answer questions, help clients optimize tool usage, and ensure clients achieve their goals. Compensation is linked to client service usage. Compensation is for support services delivered, not for recruitment or network expansion and engagement.
Important: Consultants are compensated for providing support services, not for recruitment or network building.
Current status: Active consultants supporting existing clients. Enhanced dashboards launching in next two weeks.
Licensees - Territory & Area (Being Established)
Who they are: Community coordinators who provide local, face-to-face presence in specific geographic regions.
What they do: Coordinate local activities, serve as go-to contacts for community needs, and provide the personal touch that complements digital tools. Compensation is based on regional activity and service usage.
Important: Licensees cannot hold other roles (Advocate, Consultant, Publisher) to maintain clear separation of responsibilities.
Current status: Licensing program has commenced with territories being allocated.
Publishers (Launching Q2 2026)
Who they are: Community members who develop and publish AI agents for others to use.
What they do: Create specialized AI tools using Azure Foundry, publish them to the marketplace, and earn a revenue share when others subscribe.
Current status: Developer program launches Q2 2026. We anticipate strong adoption from publishers creating increasingly sophisticated agents.
How Money Flows Through the Platform
Frega operates on a transparent, performance-based pricing model where businesses pay for actual results, not promises.
Growth Points Pricing Example
When a business pays $100 to issue Growth Points:
- $65 is the service fee (Frega's revenue, distributed to service providers)
- $35 is deferred as a liability for future point redemptions (IFRS 15 compliant)
The $65 service fee is distributed to Advocates, Consultants, Licensees, and Frega based on who provided services.
Important: The 35% deferred liability is not revenue—it's an accounting provision for future redemptions. This is compliant with IFRS 15, Appendix B, paragraphs B39-B43, the international standard for loyalty programs.
Other Services
- AI Agent Subscriptions: $2.50/month (publishers receive a revenue share of the subscription, remainder for token costs and distribution)
- Nova Upgrades: $2.50/month each
- Business Tools: Competitive pricing, substantially lower than traditional SaaS competitors
Privacy and Data Protection
Privacy isn't a feature at Frega—it's the foundation. Every aspect of the platform is designed with privacy first:
- Garden fence architecture: All data stays within Frega's protected ecosystem
- Never sold: User data is never leased or sold to third parties
- Explicit consent: Data is only used for purposes explicitly agreed to
- GDPR compliant: Full compliance with UK and EU data protection regulations
- Aggregate only: Monetization comes from aggregate, anonymized insights where no individual is identified
- User control: Users can view, export, and delete their data
What Makes Frega Different
Community-Powered Cost Savings
We've eliminated fixed overheads (expensive offices, employed staff, marketing campaigns) and replaced them with community-based services. Every cost saving gets passed to our users, making enterprise tools accessible at SMB prices.
Performance-Based Pricing
Businesses pay only when transactions complete, not for clicks and impressions. This aligns our success with their success.
Integrated, Not Fragmented
Everything works together through a single login. No more juggling multiple services, passwords, and interfaces.
Privacy-Protected by Design
We don't make money selling your data or attention. Our business model is built on providing genuine utility, not extracting value from privacy violations.
Ready to Learn More?
Explore detailed information about specific components:
- Growth Points → Complete loyalty rewards explanation
- Consultants → Community support services
- Advocates → How community growth works
- Privacy → Our data protection model
- Definitions → Official terminology reference
Or learn about Frega for customers, businesses, or partners.