Whether you operate a fine dining, full-service, QSR, or fast-casual restaurant, your business needs customer loyalty. Luckily, today’s technology makes implementing an intelligent loyalty program easy.
Points-based programs reward customers with free items or discounts. Tiered programs allow regulars to advance in status and receive perks like access to premier tables or early reservations.
Customer loyalty
Customer loyalty is a significant element of any restaurant strategy. While restaurants have the opportunity to bring in new customers through their rewards programs, they also need to encourage existing patrons to keep coming back. The restaurant customer loyalty program does just that by incentivizing people to visit the establishment more often and boosting spending.
If you’re looking to foster a feeling of togetherness or provide immediate discounts, the best restaurant loyalty programs out there are perfect for you. Some programs focus on accumulating bonus perks or experiences, while others have a more gaming-like feel. Regardless of which restaurant loyalty program type you choose, it is essential to emphasize that it should be unique and tailored to your establishment.
To ensure your reward program is successful, promoting it across all channels is critical. It includes social media, direct mail, and training your team to mention it during each visit. Once you have a solid marketing plan, your loyal customers will be more likely to enroll in the program and start earning points or discounts immediately.
Loyalty programs can increase your revenue by bringing in more repeat customers and increasing their average check size. That is because loyal customers are 59% more likely to select a brand over its competitors and tend to spend more when racking up rewards.
Another way to grow your customer base is to connect the loyalty program with your guests’ credit or debit cards. Doing this will give them loyalty rewards each time they swipe their card. Moreover, they will be notified when they are close to unlocking an incentive, making them more motivated to visit your restaurant.
The best way to build a customer loyalty program is by rewarding your guests for critical engagements, such as ordering in person or using your mobile app. These actions can earn them points or even a free meal. Similarly, you can incentivize them by offering exclusive rewards for those who engage with your restaurant on social media or give referrals.
Customer retention
Attracting and maintaining customers can take time and effort in the restaurant industry. Using a loyalty program to incentivize repeat visits effectively increases customer retention and boosts revenue. Restaurants spend less retaining customers than acquiring new ones.
Loyalty programs can help a restaurant understand its guests better than ever before. By tracking data such as purchase behavior, frequency of visits, and order size, restaurants can use the information to offer targeted promotions and rewards that increase engagement and drive sales.
Building a sense of community among your customers is one of the most significant advantages of a loyalty program. It encourages customers to return and motivates them to recommend your restaurant to others. Therefore, the loyalty program should focus on providing value to the customer instead of just offering discounts or freebies.
A well-designed loyalty program should allow customers to share their restaurant experiences with their loved ones. This word-of-mouth marketing approach can help create positive brand awareness and generate favorable buzz about your business. You can encourage your loyal customers to spread the word about your business by offering them incentives such as discounts on their next visit or entries into a giveaway.
Another great way to motivate your existing customers to keep coming back is to offer them the opportunity to skip the line. It can be a great perk on special occasions or during busy periods (e.g., Valentine’s Day or the big game). It will make your customers feel valued and appreciated, which is a great way to generate repeat business.
Another critical aspect of a successful loyalty program is training your front-of-house staff to promote it. Ensure that your servers, food runners, and bartenders know about the program and can talk to customers about it. It will ensure that the program is being promoted consistently and in a way that will make it easy for customers to sign up.
Increased sales
The best restaurant loyalty program ideas focus on boosting sales and encouraging repeat visits. One great way to do this is by gamifying purchases and offering rewards like discounted food, free menu items, or access to exclusive events. It encourages guests to dine at your restaurants more frequently and increases the average check spent by loyal customers compared to non-loyal visitors.
Another great way to increase sales is using a customer loyalty program to upsell and cross-sell. For example, suppose you have an omnichannel ordering system that allows customers to order and pay from anywhere. In that case, you can offer loyalty points for buying online or in-venue and use those rewards to deliver a free appetizer or dessert with their next meal. It helps increase sales by introducing new items and drives traffic during slow times.
Loyalty programs can also incentivize recurring purchases, such as a buy-one-get-one coupon for your bestselling dessert, or encourage special occasions like birthdays or National Doughnut Day. This type of marketing is especially effective when paired with the right restaurant POS, making it easy to create personalized offers and send them to many loyal customers.
In addition to these more traditional methods of promoting your loyalty program, it’s also essential to use innovative rewards to keep your programs current and relevant. For example, some QSRs focus on mobile apps that make it simple for customers to earn and redeem rewards. It is an efficient way to connect with your customers as it doesn’t require them to sign up for anything extra; it ties directly into their purchasing habits. A great way to encourage your customers to participate in your loyalty program is by rewarding them with loyalty points for sharing pictures of their meals on social media or leaving reviews on your website. It helps promote your loyalty program and increases customer engagement and loyalty toward your business. Another option is to include a link to your program on receipts. These methods are a way to drive recurring business and boost your revenue like never before. With so many new dining options on the market, it’s essential to stand out from your competition and offer a customer-centric experience that will keep them returning for more.
Increased revenue
A restaurant loyalty program can boost your business’ revenue in many ways. First, customers may order more than they planned to get the maximum points or rewards they can receive. Those extra purchases may include more drinks, appetizers, or desserts. Loyalty programs are a great way to send targeted promos to your customers. Even if they don’t redeem the offer, seeing your name and cuisine in their inbox keeps you at the top of your mind.
By implementing a loyalty program, you can gain insightful knowledge of your customers’ purchasing habits and preferences. This information can be used to make informed decisions on menu items and marketing strategies that cater to the needs and interests of your customer base. For example, if you notice that certain rewards are more popular than others, you can experiment with offering different types of incentives to see what works best for your business. It will help you attract more customers and keep them coming back.
Loyalty programs also encourage upselling and cross-selling, as a reward can inspire customers to purchase more than they originally intended. For instance, a coffee shop can boost sales of hot and cold beverages by offering bonus points to customers who order a combo instead of a la carte items. Similarly, a fast-casual restaurant can increase revenue by encouraging customers to buy additional sides and drinks with online delivery or pickup orders.
Restaurants depend on repeat business for survival, and a restaurant loyalty program is a great way to incentivize this behavior. According to the Bond Loyalty Report, 78% of customers say they’re more likely to continue spending with a business that offers them rewards.
A loyalty program can be integrated with your online ordering and POS system so customers can earn rewards and track their orders in real-time. One way to enhance your guests’ dining experience is by allowing them to choose their preferred dining location and track their orders online or in-venue. It can help you monitor customer activity in real time and make well-informed decisions to improve the overall experience. It will help you drive more recurring traffic, especially during slow days.