Keeping a customer coming back costs 6 to 7 times less than attracting a new one (yes, Forbes says so). But how do you do that in a market as volatile as the restaurant business? This is where loyalty programs come into play! Discover all their advantages and how they can help you build a core of loyal customers.
It's a fact: we've never eaten out so much! At the same time, competition between chains is fiercer than ever. Restaurants have diversified and understood that quality pays. That's why setting up a loyalty program is such a good way to re-establish ties with your customers in this highly competitive environment.
Rewards programs encourage you to come back for rewards. We all like what's free! And in the end, customer retention is quantifiable, with indicators that will enable you to measure exactly how profitable the loyalty program is. For example, for Pongo partners, monthly sales increase by an average of 10 to 25% after implementation.
Gifts, discounts, personalized messages... Customers are sensitive to these little touches and will pay you back by coming back to your store (+13% to 15% monthly visit frequency with Pongo). Loyalty programs allow you to stand out from the crowd by offering something more than the competition, and thus initiating a special relationship.
Another bonus: the program allows you to gather customer information, which is very useful in marketing. Basic information (date of birth, e-mail address) is requested at the time ofregistration, with the consent of your customers. But that's not all: with the long-term follow-up involved in a loyalty program, you'll gain in-depth knowledge of their preferences and consumption habits.
And just as well, millennials love personalized experiences. Knowing more about their habits will enable you to create typical profiles and tailor offers and rewards to their tastes and colors. Or, to take it a step further, eveninclude your VIP customers in the new menu during a vote or a tasting evening!
Implementing a loyalty program increases the average shopping basket, which is generally between €10 and €20 in fast & good restaurants. Cross-selling and up-selling, preferential rates and rewards unlocked by cumulative purchases are highly motivating, and boost the bill in a give-and-take mode.
The loyal customer can then reach his final form, that of theambassador! That's what we call a customer who becomes a regular. A loyal customer will sing your praises over hill and dale! Well, maybe not, but there's no denying that word-of-mouth can, in the end, bring new customers among friends.
After all these advantages, we've saved the best for last... Setting up a loyalty program isn 't as expensive as you might think! Program management is automated and gifts don't have to be expensive, the best being original and unique rewards that only you can offer. So, are you ready to give it a try?
