Revenue Recognition Revenue is recorded for store sales upon the purchase of merchandise by customers. Transfer of control takes place at the point at which the customer receives and pays for the merchandise at the register. E-commerce sales are recorded when control transfers to the customer, which generally occurs upon delivery of the product. Shipping and handling revenues are included in total net sales. Shipping costs incurred by the Company are included as cost of goods sold. The Company maintains a customer loyalty program. Under the program, customers accumulate points based on purchase activity. For customers to maintain their active point balance, they must make a qualifying purchase of merchandise at least once in a 365-day period. Once a loyalty program member achieves a certain point level, the member earns awards that may be redeemed for credits on merchandise purchases. To redeem awards, the member must make a qualifying purchase of merchandise within 60 days of the date the award was granted. Unredeemed awards and accumulated partial points are accrued as unearned revenue and as an adjustment to net sales using the relative standalone selling price method. The unearned revenue for this program is recorded in accrued expenses and other current liabilities on the consolidated balance sheets and was $1.7 million as of September 29, 2018 and $1.9 million as of September 30, 2017. The following table provides a reconciliation of the activity related to the Companys customer loyalty program: Customer Loyalty Program (in thousands) September 29, 2018 September 30, 2017 Beginning balance as of March 31, 2018 and April 1, 2017, respectively $ 1,705 $ 2,060 Year-to-date provisions 2,123 2,440 Year-to-date award redemptions (2,117) (2,618) Ending balance $ 1,711 $ 1,882 Revenue is recorded net of estimated and actual sales returns and deductions for coupon redemptions, estimated future award redemption and other promotions. The sales return reserve reflects an estimate of sales returns based on projected merchandise returns determined through the use of historical average return percentages. The total reserve for returns is recorded in accrued expenses and other current liabilities in the consolidated balance sheets. The Company accounts for the asset and liability separately on a gross basis. Proceeds from the sale of gift cards are deferred until the customers use the cards to acquire merchandise. Gift cards, gift certificates and store credits do not have expiration dates, and unredeemed gift cards, gift certificates and store credits are subject to state escheatment laws. Amounts remaining after escheatment are recognized in net sales in the period escheatment occurs and the liability is considered to be extinguished. The Company defers recognition of a layaway sale and its related profit to the accounting period when the customer receives the layaway merchandise. Income from the redemption of gift cards, gift card breakage, and the sale of layaway merchandise is included in net sales. The following table provides a reconciliation of the activity related to the Companys gift card program: Gift Card Program (in thousands) September 29, 2018 September 30, 2017 Beginning balance as of March 31, 2018 and April 1, 2017, respectively $ 7,857 $ 7,108 Year-to-date issued 4,057 2,631 Year-to-date redemptions (3,851) (3,036) Ending balance $ 8,063 $ 6,703 As a result of the adoption of ASU No. 2014-09, the Company has provided incremental disaggregated revenue disclosures. Disaggregated Revenue The Company disaggregates net sales into the following major merchandise categories: Thirteen Weeks Ended Twenty-Six Weeks Ended % of Net Sales September 29, 2018 September 30, 2017 September 29, 2018 September 30, 2017 Footwear 53% 53% 53% 53% Apparel 33% 32% 33% 31% Hats, accessories and other 14% 15% 14% 16% Total 100% 100% 100% 100% The Company further disaggregates net sales between stores and e-commerce: Thirteen Weeks Ended Twenty-Six Weeks Ended % of Net Sales September 29, 2018 September 30, 2017 September 29, 2018 September 30, 2017 Stores 84% 84% 84% 84% E-commerce 16% 16% 16% 16% Total 100% 100% 100% 100%