Loyalty programs in restaurants: A primary customer engagement platform

With consumer eating out habits changing, competition is yet again expanding across previous borders. One of the primary marketing platforms, restaurants are adopting, is Loyalty programs.

Loyalty programs designed to reward loyal customers with unique and customized benefits and at the same time to maintain a long standing [mutually rewarding] relationship. According to a recent survey held on loyalty program memberships for restaurants, it was revealed that on average each family affiliates to, on average, 18 loyalty programs. Compared to 20 years ago where reward programs were mainly Air Miles, it is evident the importance of loyalty programs and the ever increasing popularity of this strategy.

The Next Idea, the leading Hospitality and Restaurant Consulting Group, points out he advantages of loyalty programs as follows:

  • Customers feel specialwhen rewarded with benefits tailor made for their needs; this has two positives: 1) Continued patronage and 2) Spreading the word about their affiliation and the rewards they receive.
  • The ability to analyze consumer behavior, and further target customer types and profiles with different offers and promotions
  • Loyalty membership can also be offered to casual customers through offering them on the spot offers motivating them to take an instant decision to sign up for the membership, therefore again increasing the number of regular customers and visits.
  • Expanded guest engagement in other affiliated companies and brands

With the average mindset of food lovers opting for tastier, healthier and cheaper food, loyalty programs in restaurants can also benefit the customers. Enlisting as a member of any loyalty program entitles customers to rewards which would not have been possible if they ate out elsewhere.

For information about Restaurant Loyalty and marketing, contact: The Next Idea [International], 818 887 7714 email: info@thenextidea.net

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