Can a restaurant owner increase sales through customer loyalty? A loyalty program that’s well-designed can increase traffic and customer satisfaction, keeping clients coming back for more. A study by Loyalogy has found restaurant loyalty programs increase visits by 35%.
The key is knowing how to design a program that works for your restaurant so you can achieve maximum benefit. What may work for a brunch place may not work for a pizzeria, and it’s important to keep this and other factors in mind.
Here are some points to seriously consider when designing or upgrading your restaurant’s loyalty program to ensure it provides payback:
1) Not all restaurants benefit from a loyalty rewards program. Restaurants catering to large lunch crowds near customers’ workplaces and neighborhood restaurants often have regulars; offering a loyalty program will be something they would be interested in.
2) A well-designed program will provide motivation to frequent a restaurant more often. Rewards that customers want entice them to engage and accumulate reward points. Using information captured by the loyalty program allows businesses to design rewards that customers want. Businesses can then use data collected from loyalty programs to craft rewards customers want. While one person will come back for more so they can get a free dessert, another may be motivated by receiving half off a signature item.
3) Understand your customers. Knowing what a customer likes in terms of rewards is just the start. Be creative and come up with a variety of rewards and ways to achieve them. Switch between desserts and appetizers to a discount on meal when a minimum amount is purchased. Little changes to your rewards program keeps customers eager to participate in the next challenge, and help attract new diners to your tables.
4) Explore untapped opportunities like mobile loyalty programs. Restaurant frequenters say they like alerts on deals and specials via email. However, a restaurant’s reach can be amplified by employing a digital loyalty program, similar to Jayu Rewards. It’s unobtrusive, seamless and easy to use, for both the restaurant owner and the consumer. The data that powers reward program apps helps restaurant owners use insights into customer preferences to better customize and offer programs that work.
Employing a loyalty program helps restaurants compete effectively in today’s marketplace. Mobile loyalty apps make this possible, offering data that powers reward programs with insights into customer preferences – allowing restaurant owners to better customize and offer programs that deliver positive results.